Friday, February 13, 2009

I am in deep thought...

I went and looked at condos with my mom last weekend as well as some spec starter homes. All around the same price (300 000). My lease is up March 31, 2009. I could resign it, pay $1200 a month plus utilities while I continue to save for a down payment, I could look for a cheaper place (which is ideal), but having a dog and a cat does limit my options, or I can apply to see if I am approved for any kind of mortgage with a 0 down payment. I know in PF world this is very risky and I can see risks in it too. My thought process is that although the payments will be higher due to interest, I will still be putting the money into me as opposed to paying another person's mortgage. Both of my parents are down with this plan. A is a little worried about it, but can also see that it would be better for us to be ultimately paying ourselves every month as opposed to giving someone else money we work for all day.
I don't even know if we will get approved or qualify or what we would get approved for. I do know that this is the way I am leaning right now and I am collecting everything to put together to start the process.
The other thing is that A just signed a 6 month lease at his place, although I am sure if it came down to it he could leave (he is just living with friends and would just need to find someone to take his place). Sometimes I really wish someone would just give me a house.
I received my bonus on my pay cheque yesterday. It was for a little over $2800 and then minus tax ( a lot of tax...I like to help out the government with an interest free loan every year). I had a rocky start in January with vet bills and a splurging flu, so I had to pay off some charges on my credit card ($647!!!) and then put some into savings (upped my down payment account to $550). I left $1000 in my chequing account because if I do go through with this mortgage thing, I may need some money for unforeseen costs. I also paid all of my bills to date (I always pay them on time so no worries about that one) and loaded up on non-perishables yesterday.

I really, really, really want this house thing to work out. I would like to be able to breathe easier in my own home not worrying about when a lease will be up and looking for a new place for Molly.


Northern Living Allowance said...

Oh boy! What an opportunity. I think you need to sit down, work out a list of pros & cons (everything! no matter how silly or insignificant you think it is), play with your budget until it weeps for no more abuse and think about putting some more $$ into the house contigency fund. Closing costs can be way more than you think and seriously, while a house is great, you don't want to be house poor, and resent every second you spend there because you bought more than you can actually afford.

I'm not trying to dissuade you, but don't let your heart (or other people!) run rampant over that very wonderful head of yours, either!

Anonymous said...

I totally see why you think you're throwing your money away renting, I used to think the same thing. Now I own my condo, and for my situation, owning ends up costing about $100 less than renting. That's one thing I would be careful about. $300,000 is a lot of money, and then property tax and home repairs, and and and! AND do you want to be in Alberta forever and a day?

And from what I could read of this post, you're going in on this with A?

Do whatever you think is right for you, but be careful!