tag:blogger.com,1999:blog-2371044562210490479.post6668850664160590950..comments2023-05-31T23:23:36.887+10:00Comments on Avoiding boredom: House Huntingglediarhttp://www.blogger.com/profile/05908277043099083339noreply@blogger.comBlogger2125tag:blogger.com,1999:blog-2371044562210490479.post-81837813393256041592008-08-23T09:29:00.000+10:002008-08-23T09:29:00.000+10:00I have heard things aren't good in the US but have...I have heard things aren't good in the US but haven't taken the time to find out exactly what's happening or why.<BR/><BR/>We've had a couple of very quick interest rate rises - stupid decisions by the Reserve Bank - knee jerk reactions with no wait time between to see if they're working. These rises have had the impact, within six months, of placing incredible pressure on home owners that run close to the wind with their ability to repay. That means more houses have come onto the market because people can't cope with the interest rate rises anymore, and the prices have dropped.<BR/><BR/>The rates are probably going to drop next month which means fewer people will need to sell their houses so it's a good time to buy before then.<BR/><BR/>How many houses do you need to own? The word 'own' is the key. If I didn't have mortgages to pay, four houses rented out would provide me with a reasonably comfortable income. It's having to pay the mortgages that is the killer. I have one house rented out now and, with only one mortgage to pay, it's allowed me to work part time. I'll probably have to go back to full time work next year to be comfortable with two mortgages.<BR/><BR/>I'd love to be enterprising and entreprenuerial but I'm not sure I could apply those terms to myself. I just don't want to teach forever. I want to get out of the classroom while I'm still enjoying it so I have good memories of teenagers. What I really want to do is write full time but I can't kid myself that I'll be able to live off that income, at least not in the short term, so I need to find something else that requires little effort once it's set up and maximum return. Rentals offer that.<BR/><BR/>I love fixing up houses but we're not looking for a "renovator's special" with this one. Neither of us have the time to devote to that. We want something in good condition that we can just hand over to a property manager and pay them 8% to look after it for us.glediarhttps://www.blogger.com/profile/05908277043099083339noreply@blogger.comtag:blogger.com,1999:blog-2371044562210490479.post-16292692290514137262008-08-22T22:10:00.000+10:002008-08-22T22:10:00.000+10:00Wow, I didn't know you were so enterprising. Over...Wow, I didn't know you were so enterprising. Over the years I have met people who had a clutch of rental houses that made them a nice income, but it sure does sound like a lot of work. Unless you love fixing up houses. Here in the states they have all kinds of TV networks devoted to that. By the way, how is the housing market in Australia? I'm sure you've heard about our housing crisis.<BR/><BR/>How many houses do you think you need to own before you can retire from your day job?Jim Harrishttps://www.blogger.com/profile/09953679196185650753noreply@blogger.com