New financial ideas brewing and need to vent (in a good way) « Back to Group Discussions

[eirual]

So, we're renting out a 1BR apartment. Next year I'm off work and DH is in school (financial craziness)...but the following year when we're both back to work we'll be laughing.

A house just came onto the market down the street (we're renting in the area I grew up, so DS is going to the same school I went to, my parents are just around the corner, nice old neighbourhood and CONVENIENT, and it happens to be my best friend from childhood's old house...it's been re-done with a nice big back yard). We already own a home out-of-town that we're renting out. This is a house that is in line with our values. It was built in the 70s and is a bungalo, so modestly sized with the bonus of having a finished DRY basement....at least it better or that would totally be a deal-breaker).

I can't get the idea of purchasing this house and sharing it with friends (we have friends moving back to town who are gearing up to save and have talked about sharing accomodations to save us both money) to help off-set the cost. We could LIKELY....maybe? (still lots of details to work out) get an entire house for just a smidge more than we're paying in rent for a super-tiny space, especially if we shared the space with friends to off-set the mortgage and utility costs.

There are a LOT of things that would have to fall wonderfully into place for this to really happen, but I can't get the idea out of my head and I'm finding myself getting uber excited about it. Too soon to share with the real world, but had to get it out.

Cons: we have no down-payment because we've been saving for tuition instead. Pros: I have a financially successful father who just may be willing to lend us said down payment or co-sign or somehow help to make it all happen IF that's something he's comfortable with (and we're comfortable with...we'd have to seriously look at numbers to see if it would be a real possibility.)  

[Sarasyn]

Good luck with that!  It sounds like an awesome opportunity and a wonderful stroke of luck on your part.  It sounds like it'll be a great chance to move into somewhere great for your family and still keep it affordable.  I'll keep my fingers crossed that it all works out for you!  And if it doesn't, I'm sure that just means something even better is on the way.

[Monkey's Mum]

Wow, congratulations, that sound like a cool opportunity!  I hope it can work out for you. Have you thought about selling your out of town house? The bank would probably not need a down payment if you were waiting on the sale of another house. I remember there was something about that when we were looking into buying our second place.

[eirual]

We'll set up a meeting with the bank for Monday afternoon to talk about options. Still seeming like a GREAT idea, especially after looking closer at the local market. It's certainly wonderfully priced and best suits our needs.

[MamaInTheDesert]

I'm really excited about this opportunity for you. It seems like it would be a perfect fit for you, your family, and your out-of-town friends. I hope your meeting with the bank goes well tomorrow. You'll have to update us.

[mforeback]

Sounds wonderful!

Have you thought about using the equity in your out-of-town home to help purchase this one? Talk to a financial adviser. I think that would provide money for a down payment, and probably make for a smaller mortgage, too. Keep in mind that you can't use equity from a house that's already on the market. So you'd want to get the equity money first, then put it up for sale if you go that route. Hope everything works out well!

[eirual]

I'm going to post our up-dates here vs. Frugality and FInances because this is about so much more than the numbers (it is a financially risky move, but I also think there's a ton of potential for really great things to come of it).

We've put in an offer and it's come back and we're in the process of working it out with the owners. The bank's appraising our current property then we'll see where to go from there as far as accessing equity and such. We're also going to shop-around for mortgages since our bank hasn't exactly made a stellar offer of rates. It does look like it's moving forward though and should be settled by Friday.

[wanderinblues]

yay! so exciting for you :)

[MamaInTheDesert]

Very cool. How has it gone with regards to the other family that would be potentially moving in with you?

[eirual]

They haven't been through the house yet, but they are commited and were excited to hear that there's A: a seperate entrance, B: a washroom, and C: potential for a kitchenette in the basement (with the option of putting up a dividing wall in said kitchen space to create a seperate bedroom).

So, things are looking good :)

We'll know for sure on Friday.

[Monkey's Mum]

I'm excited for you! Good luck!

[eirual]

So, in about 12 hours it will be official.

We'll be moving June 1st....call me crazy....'cause I'm feeling it!

DH was like "this isn't just you 'nesting' is it? do you for real want to do this?"...but I do...and the longer I wait and the more I think about it the surer I am. We could have made our current 1BR apartment work just fine for another year, but the idea of a whole house for less a month with bright windows and your own space is totally appealing. DS is uber-excited (funny, because a few weeks ago before we had this crazy idea he made a list of things he'd need for baby which included: a gas mask, ear muffs, and a house with three bedrooms: one for him, one for dad, and one for me and baby....though that's not exactly how I expect it to work...). I guess he just needs a gas mask...

[Nicole730]

Yay! That is so exciting, it is awesome to come up with a great plan and then actually have it work out. Hope the move goes smoothly.

[MamaInTheDesert]

That's super awesome news! How exciting to have a new place to begin your life with another little one!

I think it's funny about your DS... do they make gas masks in newborn size?

[PrincessSputnik]

Congrats!! I know how stressful and nerve-wracking purchasing a home in the GTA can be, so it's great to hear a very positive story!!!

[Lite]

OMG how exciting for you!!!  And a little crazy! ;)  But it will be well worth it in the long run like you said.  Just don't try and do too much in the last month, remember you need your rest so ask for help!!

[Okapi]

How exciting! We are hoping to move before the baby gets here, as well. I hope it goes smoothly!