BIG NEWS GUYS
We are moving out! Yep at the ripe old age of 26 we are moving out of home again it’s like we are 18 year olds moving out again and it’s so bloody exciting but at the same time It's a bit bitter sweet.
We tried to buy a house and when I say tried I mean we really really really tried to buy a house like I tried everything and it just wasn’t going to happen, I thought I would write about it because there’s a lot in the media about first home buyers at the moment and not one thing has been alike our story. I have nothing against these articles because hey these people have been able to get into their own home in interesting ways but seriously they aren't that helpful?! But I guess someone might get something from it, like someone might not realise there’s a town called Oamaru that you could move to and buy a house for like $250,000 but then who can really just up and move to the middle of nowhere? I'm also a little but over the people commenting oh well I brought a house in easy as in 2000 and fucking 1 when I was in my twenties, yes I wish I had brought a house then but I was like 11 and it's not that easy now ok. Trust me I have looked at every single angle of us buying a house right now and if one of these solutions applied to us I would have grabbed it with two hands but they don’t.
I had been working as a casual reliever for the last year which was great I was like perfect I have an income but I was wrong and that’s cool I totally get the whole casual thing is a risk so I accepted that, I am also self-employed and have been for a year now so that doesn’t help. I have done draft financials and projections and tried to find any loophole I could but it just wasn’t good enough and I accepted that I needed to be self-employed for the full two years so we were told to wait, ok we weren’t told to wait we weren’t told anything no one would tell us what to do and it was a little bit frustrating. In the past two months we have seen six mortgage brokers because my theory was I’ll keep going until someone says yes, we saw our bank Kiwi bank who were actually really great and said to try again in six months, they also accepted us for a less that 20% deposit because we only had like 12% which again we were very appreciative about because it was a step closer to getting a yes. We don’t qualify for the welcome home loan even though I always thought that was the way to go because of numerous things but mainly Jared not being in the job for 12 months and myself not being self-employed for two years.
Jared has a good job and a bloody stable job he is not going to be laid off tomorrow, he has worked for the government for seven years now respectively with the Army and then the Police he got kiwi saver through the army but missed out on superanuation, his was the first intake that didn’t get superannuation and got kiwi saver instead which is great shit anything is better than nothing but it’s still a hard pill to swallow when his peers are using their supers to purchase their first homes and Jared only has a quarter of that in kiwi saver.
To be completely transparent Jared makes what I would call an average salary, I have googled what the average income is in NZ extensively and can’t find anything so I have actually no idea but after asking a few people I would say he earns just a nit stick above the average kiwi income, he has a great pay scale and is very secure in his job. We had debt we had a decent amount of debt and we worked our bloody butts off to get that paid off we are debt free apart from my student loan which is only around $4000.00 and it isn’t incurring interest so we were told it wasn’t affected our attempts to obtain house finance. When we first went and got advice on buying a house we were probably $20,000 in debt if not more basically from being young and stupid and making terrible financial decisions and on top of saving for our wedding which is totally another contributing factor which I will talk about we were able to become debt free (minus student loan) we were under the impression that was all we needed to do there was never any mention of my income being an issue or Jared not making enough in our initial efforts to gain information.
As I write this I’m starting to think is this a bloody whinge? And I guess it is it’s a bit of a rant and a bit of a poor us, but at the same time it’s one family to another sharing our trying to get a foot on the property ladder journey. I feel like if this is anything like stuff or NZ herald we will be criticised because there’s always something we could have done to help our situation out and there totally is, we got married a few months ago and we used money that could have potentially brought us a house to get married and essentially have a big shin dig, but at the same time we truely believed with our deposit and income it would be an issue and whole heartedly believed we could do both. The other thing is we were able to live at home which is essentially how we got debt friend paid for the wedding (in all fairness we didn't move home to do either of those things we moved from the North Island to the South Island and moved in to mum and dads whilst we got our feet on the ground we just ended up staying longer than planned) and just like the other articles where I'm all that's not something everyone can do I'm well aware people are thinking well thats not achievable for everyone either. I have been asked by every point of contact in the mortgage world can a family member help you out with a gift of money, the answer is no not because they don’t want to well I haven’t actually asked them so they might not want to haha but in our situation they can’t, they both contributed to our wedding and have helped us out along the way in our transition to the real world. We have been living with my parents for 18 months and that is important to mention because that allowed us to pay for our wedding and become debt free when most would move home to save for a house we had other priorities and again as I type this I know at least one of you are rolling your eyes saying well there you bloody go you chose a wedding over a home, and that's a fair call yo.
I have asked every broker do we need a larger deposit? will that help us? they have all said no the banks are lending at 90% so that is fine but our income is the issue, servicing the mortgage is our issue. They didn’t care that we had been able to save a large sum for the wedding or that we were able to pay off such large debts on the income we have and again I do get that because we had little outgoings, we hit every single wall there was to hit when I thought we were in the perfect position to buy as a family looking to move back out and head back into the real world, I could not get my head around renting and 'servicing' someone else mortgage when we could be paying our own mortgage especially when our rent would be almost exactly the same as our mortgage repayment and I am totally aware that we would have rates etc. on top of that.
You know those big regrets? yep we have them, we should have brought when we were young before we had kids and when we were both on good incomes, I love my kids and wouldn't change them for the world but when the broker's would ask me about dependable's my heart sunk a little more every time because I knew that was a huge factor in us not being able to 'service' a bloody mortgage. We should have brought in Palmerston North when we could have ‘serviced’ a mortgage so that we had that god damn foot in the door but we didn’t because who thinks about stuff like that, ok a lot of you I know there are a lot of young kiwis doing just that and doing it well. I was told by more than one mortgage broker that six months ago it would have been a no brainer and we would have had the finance just like that, I was also told in a matter of weeks or months it could all change again and we could get in there but right now things are so tight there’s just no way on our ‘one’ income we could get a home loan. I cannot even fathom what it must be like to live in Auckland and be facing the same thing we are looking at house prices of $360,000 - $400,000 which everyone in the know has told us is in our realm every single broker said it’s doable but the banks just aren’t lending to people like us one income families.
I have a budget it is thorough and it works with servicing a mortgage but we can’t get a mortgage Jared can on his own but we need my kiwi saver to make up our deposit you see a wife and two kids isn’t that appealing to the banks but the single guy works. This is something that might work for us however we need roughly another $10,000 for Jared to be able to get the home loan on his own and right now that might be quicker than waiting another year for my income to be recognised.
On Monday we move out of mum and dads and we go back to a family unit of four, well we don’t go back to it Ruby was born at mum and dads and she pretty much thinks four parents are normal. We got lucky we are renting a house that is on the cheaper side in a good area and it’s a good house, close to Jared’s work, Rocky’s kindy and mum and dad’s place we got this place pretty easily when I was convinced it would be months before we found a place I put a lot of work into our application and treated it like a job I wrote a cover letter and I totally played on the Jared’s a cop thing, this was the first and only house we had to look at shit we got super lucky.
We also found a house we wanted to buy so bad we tried everything and it wasn’t going to happen this house has been on the market for 8 weeks and I still think about how we can buy it every single day which is crazy I know but I do ha, we are paying rent that is so close to what our mortgage would have been and that is what gets me that is what frustrates me but that is a bridge I am building and I will get the fuck over it because I have too! The house is so perfect I didn't just get attached to the house it's self but it has a story and we wanted to fill it with a new family that will grow and learn and play in it we wanted to create a new story for such a loved family home, seriously there were so many things aligning for this house it broke my heart when I realised it isn't going to happen. So right now we wait and we will eventually buy our first home I know that but in the mean time we will be paying someone else’s mortgage whilst trying to save more for our own. I am so aware that people are in worse situation and this isn’t about anything but me sharing our home ownership struggles, we found the perfect house without looking and that makes it so much harder.
If we are finding it this hard when A- I actually have an income they just won’t look at it and B- Jared has a great job, how the hell are single income families meant to get head and own their own home again it’s not a priority for everyone but it is for so many and right now it’s so bloody hard, it just makes me think how it must be a hell of a lot harder for someone else.
Any way after all that I need some recommendations for
- Washing Machine
- Vacuum cleaner
We are starting from scratch and need to get shit sorted so let me now your faves for all things house.