This might be something that you'd rather not answer and that's fine, but i was just wondering what % of your salary do you put into your mortgage?
DH and I have seen an awesome house in a suburb we love (currently living in the same suburb but in a villa. We want to upgrade to a bigger house before any babies come along) but even if we sell the place we are in now, our minimum repayments seem HUGE!
If we factor in that I will stop working for a period of time when we do have a baby, our minimum mortgage repayments are 75% of DH's after tax
I know that if your mortgage repayments are more than 30% of your before tax
income then you are officially considered to be under "mortgage stress" (ill have to find out what DH makes before tax to do the calculation). If the two of us remain working full time, the repayments would be 46% of our after tax
Is anyone else in the same boat of facing a seemingly huge mortgage? Is there anyone who has stopped working to have children and still has a big mortgage? I'd love to know what its like when you actually get there and suddenly have a lot less money to live off. Do you just cope or do you revert to living off "black and gold" and shopping at "good sammies"? Of course, I still look for a bargain and to save money wherever I can but we are pretty comfortable at the moment and don't need to worry too much about chasing the cheapest groceries around, still both buy our lunch at work most days, can afford to run and maintain two cars. We don't take holidays or go out for dinner much, don't buy CD's/DVD's unless they're on sale, don't buy new clothes/shoes very often or only when absolutely necessary and are lucky enough to be in a villa that hasn't needed renovations or any fixing up.
My mum seems to think that such a large mortgage is fine and we should go for it. But this is also the same person that until recently thought we should be able to afford to live in suburbs where the average house price is $800K (she's not even close) so I'm not so sure that she has any idea of the reality of what its like to try and buy a house so I'm not sure if i can trust her opinion. I know she's been there herself and raised three children on 1.5 incomes but it was also 4 times more affordable to buy an average house on an average income 30 years ago compared to now (read that in one of the papers last week).
Sorry for the massive rant, I am just feeling so stressed about the whole thing today and would love a comparison for how much other people commit when they buy a house