Me 30 & my wife 26 are buying a house new build worth $930k in Waikato on a family income of $180k with 10% deposit. Looking at mortgage of roughly $842k with 0.75% LEM added. I am getting a bit of cold feet as we would only be able to save $1000 a month tops after paying mortgage, rates, bills, grocery etc.
Is this a bad financial decision? We worry if we wait longer for 20% deposit we may be late and will end up paying $200k- 300k more for the house.
Also thought of having mortgage this big makes me a bit worried.
Any thoughts/suggestions on if is this feeling normal or am I just making a financial failure in long run?
Update 1: Would like to add few more details such as we don’t have any kids and don’t plan on doing any for another 2-3 years. Also planning to get a flatmate as its a 4 bedroom 3 bathroom house hoping that can generate $1000/month on top of standard savings. Other than this salaries are going to be up by end of this year and can hopefully save $1500 by stretch this is without the flatmate. Also aiming to get a second job and generate another $300-$400 weekly if possible. The house is a new build in Pokeno which comes with 10 years master build warranty and 12 months maintenance, we both work in Auckland and commute to work once a week only.
Update 2: Have a kept an emergency fund of $10,000 locked in for anything crazy.
Update 3: Really grateful and thank you for all the comments in the thread as this is giving me some good insights and points to consider.
Is this a bad financial decision? We worry if we wait longer for 20% deposit we may be late and will end up paying $200k- 300k more for the house.
Also thought of having mortgage this big makes me a bit worried.
Any thoughts/suggestions on if is this feeling normal or am I just making a financial failure in long run?
Update 1: Would like to add few more details such as we don’t have any kids and don’t plan on doing any for another 2-3 years. Also planning to get a flatmate as its a 4 bedroom 3 bathroom house hoping that can generate $1000/month on top of standard savings. Other than this salaries are going to be up by end of this year and can hopefully save $1500 by stretch this is without the flatmate. Also aiming to get a second job and generate another $300-$400 weekly if possible. The house is a new build in Pokeno which comes with 10 years master build warranty and 12 months maintenance, we both work in Auckland and commute to work once a week only.
Update 2: Have a kept an emergency fund of $10,000 locked in for anything crazy.
Update 3: Really grateful and thank you for all the comments in the thread as this is giving me some good insights and points to consider.