lucyk Posted February 20, 2013 Share Posted February 20, 2013 Hi all, My husband and I are hoping to make the move in 2015 with our 3 children. Realistically we don't expect to have more than £10k in savings. We're currently renting (never owned a home), and had initially planned to buy somewhere in the UK first. However, saving for a deposit has proved difficult and house prices don't seem to be rising enough to make us a worthwhile profit in 2 years time once fees etc are deducted. Im concerned that we will find that buying a house in Aus is just as difficult to achieve as it is here in N. London. Should we consider delaying our move and buying a property here, or just go for it and see how things go in Aus? Any experiences would be great. Lucy Link to comment Share on other sites More sharing options...
wolvesaussie Posted February 20, 2013 Share Posted February 20, 2013 there are a lot of factors to consider. I'm going over with no savings or house to sell. for me house prices seem crazy in Australia but that's because I'm from west midlands were starter home is say 80k. however presuming I find employment I should earn 80 to 100 $ in Australia add my girlfriends income of say 60k and I think we could be able to afford one. unfortunately until prices crash which I'm sure they will house ownership now seems to be out of reach for single income families in Australia Link to comment Share on other sites More sharing options...
wolvesaussie Posted February 20, 2013 Share Posted February 20, 2013 so I would say house ownership is more difficult in Australia but maybe that's not case if used to London prices Link to comment Share on other sites More sharing options...
Johndoe Posted February 20, 2013 Share Posted February 20, 2013 prices won't "crash" as long as people keep migrating. There may be a "correction" but certainly not a crash IMHO. As you only rent int UK, whats' the downside of renting here? Link to comment Share on other sites More sharing options...
mumoffour Posted February 20, 2013 Share Posted February 20, 2013 Once you get here ( maybe visa dependent???) you can open a first home saver account where the Gov't contribute 17% of what you put into the account - there are timescales involved and the tax on interest is set at 15% (same as on your superannuation) so that's an incentive. Check it out - it'll sure help us to save up for our house! Don't tie yourself to a house in the wrong country that you might not be able to sell or maybe make a loss on. Also when you rent over here (check you qualify on the centrelink website) you might get rent assistance to help pay rent. Also renters don't pay council tax/rates here in Vic. There are grants to help you buy your first home here and they are more for building a new house than buying an established house - check google.....there can be a substantial saving in buying a "house and land package" - you only pay stamp duty on the value of the land. Also first time buyers are gradually getting more and more discount off stamp duty in Vic. These things all vary by State - so keep researching. Google is your friend! :-) http://www.ato.gov.au/individuals/pathway.aspx?pc=001/002/066 Link to comment Share on other sites More sharing options...
wolvesaussie Posted February 20, 2013 Share Posted February 20, 2013 wow I hadn't heard of that savings account sounds amazing. if I had know about that o would have been sending money back years ago as 17% helps soften the exchange rate blow Link to comment Share on other sites More sharing options...
bwatt99 Posted February 20, 2013 Share Posted February 20, 2013 Once you get here ( maybe visa dependent???) you can open a first home saver account where the Gov't contribute 17% of what you put into the account - there are timescales involved and the tax on interest is set at 15% (same as on your superannuation) so that's an incentive. Check it out - it'll sure help us to save up for our house! Don't tie yourself to a house in the wrong country that you might not be able to sell or maybe make a loss on. Also when you rent over here (check you qualify on the centrelink website) you might get rent assistance to help pay rent. Also renters don't pay council tax/rates here in Vic. There are grants to help you buy your first home here and they are more for building a new house than buying an established house - check google.....there can be a substantial saving in buying a "house and land package" - you only pay stamp duty on the value of the land. Also first time buyers are gradually getting more and more discount off stamp duty in Vic. These things all vary by State - so keep researching. Google is your friend! :-) whats the first home saver account you mention not heard about this before,can you give me more info where can i find out more about this and to get more details. Link to comment Share on other sites More sharing options...
Adjutant Posted February 20, 2013 Share Posted February 20, 2013 whats the first home saver account you mention not heard about this before,can you give me more info where can i find out more about this and to get more details. Just found this weblink which may help ... I'll be reading it myself. https://www.moneysmart.gov.au/managing-my-money/banking/savings-accounts/first-home-saver-accounts Link to comment Share on other sites More sharing options...
Adjutant Posted February 20, 2013 Share Posted February 20, 2013 Just found this weblink which may help ... I'll be reading it myself. https://www.moneysmart.gov.au/managing-my-money/banking/savings-accounts/first-home-saver-accounts Bummer - there is a minimum of a 4 years before you get your money back, so this is only suitable for those looking ahead to buy in several years time. "You have to save at least $1,000 each year over at least 4 financial years before you can withdraw the money." "If you buy your first home before the 4 year period is up, you can withdraw the money in your account at the end of the 4 year period to put towards your mortgage. You will not be able to make any more deposits once you have built or bought a property." Link to comment Share on other sites More sharing options...
Guest guest76088 Posted February 20, 2013 Share Posted February 20, 2013 I hope these posts are archived so we can all look back and smile. BigD prices won't "crash" as long as people keep migrating. Link to comment Share on other sites More sharing options...
bwatt99 Posted February 20, 2013 Share Posted February 20, 2013 Just found this weblink which may help ... I'll be reading it myself. https://www.moneysmart.gov.au/managing-my-money/banking/savings-accounts/first-home-saver-accounts So what is the benifit of having this then? Link to comment Share on other sites More sharing options...
bwatt99 Posted February 20, 2013 Share Posted February 20, 2013 We are heading over end of may,want to buy our own house but this will be later as need job,find an area we like etc.I could stick money away in this and i could get my wife to stick money away also so we get max pay out on this,but im not sure if a good idea,am i reading that we need to pay this for 4 years seems a long time to wait or be able use this,and if we dont we dont get it back. I really would hope to have my own house by 4 years,im still in the uk say if i wanted this could we open this now or do we have to be in oz to get this?If i sold my house in the uk,i could use some of that and put it into this account and wait a little longer to own our on place,but 4 years does seem a long way away. Link to comment Share on other sites More sharing options...
Adjutant Posted February 20, 2013 Share Posted February 20, 2013 So what is the benifit of having this then? Only really any good for long term savings when saving for a deposit will take a long time. I did read an article that the take up rate on these accounts have been extremely low. Now I know why. Link to comment Share on other sites More sharing options...
CrozierFamily Posted February 20, 2013 Share Posted February 20, 2013 So I notice a few references to housing prices having some kind of correction. Do people really think that is on the horizon? Link to comment Share on other sites More sharing options...
SaffanZimbo Posted February 20, 2013 Share Posted February 20, 2013 Hi all, My husband and I are hoping to make the move in 2015 with our 3 children. Realistically we don't expect to have more than £10k in savings. We're currently renting (never owned a home), and had initially planned to buy somewhere in the UK first. However, saving for a deposit has proved difficult and house prices don't seem to be rising enough to make us a worthwhile profit in 2 years time once fees etc are deducted. Im concerned that we will find that buying a house in Aus is just as difficult to achieve as it is here in N. London. Should we consider delaying our move and buying a property here, or just go for it and see how things go in Aus? Any experiences would be great. Lucy We will be moving in 2014/2015 as we need to save, save and save some more for set up money etc. We have two children and realistically expect to rent for the first 3-4 years in Oz as won't have the proceeds of a house sale either. We are going on a reccie in March/April to have a look as we are concerned about the cost of living tbh. Friends already there are telling us to "just come" as they say salaries are higher and quality of life much better than the UK... but then they all moved after selling property / or with much older children so didn't need child care cover which costs and arm and a leg! Fingers crossed we will have a positive vibe from our reccie as after 13 years in the UK the weather has sadly not grown on me at all! Link to comment Share on other sites More sharing options...
lucyk Posted February 21, 2013 Author Share Posted February 21, 2013 Thanks for all your replies. We rent a small 2 bed flat with no central heating or double glazing which is worth £260k in London. So finding a good area where we could get a house for around the same price or less would be great. It'll also be important that we can comfortably afford the rent to enable us to save for a mortgage. At the moment my husband wants to move near Sydney as his friend lives there and could possibly get him a job at the garage where he works. I have cousins in Point Cook, Melbourne and the difference in rent/ sale prices between the two is huge! Link to comment Share on other sites More sharing options...
Guest Posted February 21, 2013 Share Posted February 21, 2013 Have you thought about simply moving in the UK? We moved from Brentwood (Essex) up to Scotland in 2003 and were able to move into a 4x2.5 from a 2x1 and had 18k left over! Happy days! We still have a 3x1 in a very nice part of central Scotland which is probably worth aroiund 125k - our 90% mortgage is under 400 pounds a month. I will be very glad to see the end of my $3500 a month Aussie mortgage when we move back. Renting in Australia can be pretty awful, do a general search on here on 'renting' or 'landlord' and you will find some real horror stories. There are government schemes to help people get on the housing ladder - keystart in WA but then there are in the UK too, part equity schemes with housing associations etc. In the UK 95% mortgages are still possible, here anything more than 80% is quite difficult - we got 90% but had to pay over $10K LMI insurance! For a 95% mortgage the LMI was 22K! We're moving back because here we financially struggle whereas in Scotland we were more than comfortable, we're in perth so that does make a difference. I would suggest you consider Melbourne as housing affordability in Sydney is even worse than Perth! Jules Link to comment Share on other sites More sharing options...
lucyk Posted February 21, 2013 Author Share Posted February 21, 2013 I'm originally from North Wales and we did try moving back there from London a few years ago. The rent is a quarter of what it is here, but unfortunately so are the salaries. We wouldn't be any better off, and there are few opportunities for overtime and weekend work. I'll definitely investigate Melbourne further. Link to comment Share on other sites More sharing options...
John2012 Posted February 21, 2013 Share Posted February 21, 2013 We came to Australia with limited savings and 3 kids. We did stay with family for a while but found work, found a good rental property and moved in and never lookd back. Many people on here will say you need £100,000 etc but you dont. Do your homework, be frugle, find work and start your new life. The government can offer financial support through Centrelink, even to new migrants. If you dont try it, you will only regret not going for it. Good Luck. Link to comment Share on other sites More sharing options...
Que Sera Sera Posted February 21, 2013 Share Posted February 21, 2013 We came out with about 10000 GBP and we have built our own house. We managed to do it all on one wage. We didn't find renting a nightmare . We have found the more stressy people are the harder they make it for themselves renting wise. Just don't feel like you have to rush anything take you time and try to enjoy this wonderful experience. Link to comment Share on other sites More sharing options...
Guest Posted February 21, 2013 Share Posted February 21, 2013 I'm originally from North Wales and we did try moving back there from London a few years ago. The rent is a quarter of what it is here, but unfortunately so are the salaries. We wouldn't be any better off, and there are few opportunities for overtime and weekend work. I'll definitely investigate Melbourne further. It seems those with trades do seem to do well in Australia, providing they can find work, so I hope it works out well for you. Since you're renting and have £10k to your name you don't have a lot to lose. I suppose worse case scenario is you hate it and are stick until you can afford to come back. I word of advice (that you may not need!) I would not recommend a 457 visa in your situation. A lot of the schemes and benefits people mention would not be available to you, you have to have private healthcare and at any point if your job ends )for whatever reason) you have to return to the UK (the employer does have to pay your return flights though). We're in a very different situation, I earnt almost as much in Edinburgh as London and came to Perth on a salary less in $ than iI was in £, crazy but when the Australia obsession takes hold rational thought goes put the window We just don't have the same standard of living here. I believe Melbourne is more affordable than Perth though. Link to comment Share on other sites More sharing options...
lucyk Posted February 22, 2013 Author Share Posted February 22, 2013 Thank you all for your advice. Much appreciated Link to comment Share on other sites More sharing options...
Rupert Posted February 22, 2013 Share Posted February 22, 2013 wow I hadn't heard of that savings account sounds amazing. if I had know about that o would have been sending money back years ago as 17% helps soften the exchange rate blow It is hard to qualify for the first home savings account. A person who has been non resident does not qualify and also anyone who "has to complete a tax return" does not qualify either. Tax returns are mandatory for anyone that has PAYG during the year, so this pretyt much rules everyone out. Link to comment Share on other sites More sharing options...
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