This is a large brain dump of all the things I need to work out to make some big adult decisions. ( It'll probably get long )
It kind of occurred to me that I've never really had to make real adult decisions before. All my major life decisions had an undertone of 'avoidance' in them - I rushed into marriage to move out of home, I had babies to avoid going to uni, and all of these decisions have been wonderful but this is my first real decision I have to make. And I just want to throw up and run away. I've been procrastinating with the idea that it's future decisions and well, the future is now.
Okay so here is the situation.
1. We live in a tiny house where I pay $260pw mortgage.
2. We have approximately $150k equity in this house.
3. This house once had termites and we want to be rid of it.
4. We live a fair way from the city centre, like I leave the house at 6:10am to start work at 8:00am.
5. I currently take home $800 per week after tax. This will continue until at least march 2017 but probably further.
6. Adam is a stay at home father, at uni, he will graduate end of 2016.
7. Liam starts school in 2016.
8. Adam has a lucrative casual job but we won't know how often he can work it until February.
9. The government also gives me $240 a week to help raise my kids because Adam doesn't work.
Okay. So we want to move. We want to move because
1. We have outgrown this house.
2. Adam will get a job in the city after he graduates so we need to move further in.
4. To move to a better school zone.
We cannot move because
1. Our house needs a few things finished before it is sell ready and Adam doesn't have time this very minute to do it.
2. I haven't been to a bank yet but I doubt they will give me a loan on the basis that I'm a single income with kids and even if they did I'm not positive I could service the loan.
So I came up with a plan.
I want to move this year, so we can enrol Liam in a decent school. I don't want to switch schools on him, on top of moving. He would not handle that well.
I researched schools in Melbourne and the best primary public schools are in Glen Waverley.
1. 30 min from city, 40 min on train.
2. 15 min from Adam's uni, as opposed to the 45min it is now.
3. 15 min from my parents, who are likely to look after my kids after school.
4. Chock full of good schools, amazing food, near a lake, beautiful tree area.
5. Houses are 1.2 million dollars.
Okay so my plan is to sell our house and rent in Glen Waverley for a year. Rent is approximately $400 per week for an old three bedroom house. That's $140 more than what we pay now.
Then when Adam starts work and we are dual income, we can buy in the next suburb over, Mulgrave, for 600k and still have Liam go to those schools.
Sticking points with the plan that I need to sort out.
1. If I sell the house and just put our equity in a term deposit for a year I'm not sure if the government will stop giving us payment.
2. Enrolment in schools starts fairly early 2015 and I don't know whether I can enrol in a school when I don't actually live there yet.
3. I don't know if that extra $140 per week is beyond my means until I redo the budget.
Adam hates the plan. He wants to live close to the beach. I can't find an affordable suburb near the beach that is not far away from the city or with good schools. He thinks the housing bubble will burst but the houses on the coast will hold their prices. He feels uncomfortable in land. Glen Waverley is approximately half an hour from the beach.
I'm uncomfortable with leaving the housing market.
I don't even know. It's doing my head in. I've got other things to consider too but I'm running out of battery.