Have you ever wondered what it would be like to own two houses? This can be very convenient when you have to from Perth to Mackay.
Doing it though is not easy, so here is your guide to buying a second home in Australia.
No payment on the first home
Well yes, if you are still in debt with your current house the second one might be quite a strain. Paying two houses is no easy task. Depending on your income. Luckily though, if you have a second house you can also rent it, meaning the rent money can pay for that house instead. This does mean that you can have two houses in debt, but it will be a little more difficult to gain. And, if you only have one house to pay, which you can pay with the rent, you still have a more or less full income from your job plus a possible bonus from the second house
The benefits of having a second house
You don’t just want to get a second house for no reason. What’s the point of having a lot of houses if they don’t serve any benefit, but cost you more money? Well, here are a few benefits to consider:
- You can have an extra income by renting the house of your choice
- It can convenience you in traveling
- It can convenience you in storage
- It can create a familiarity with different environments
- One of the two homes can be a location for gatherings whilst the other is your personal living space
- It allows for tax deductions
- If you don’t allow more than two weeks rent charge per year, then your taxes are completely deductible
- Can convenience you as a holiday home
Finding a second house
This is a more diligent task, depending on your reason for the house. But try to benefit all possible benefits to the house. To do so look for:
- Find a location that is far to where you might need or want to travel to a few times in the future
- Look for a house that is at a beneficial location that attracts people. The house could be at the beach, have a beautiful view, etc.
- Look at the price. It is not guaranteed that you will have people renting your house, nor do you want to rent a house that is too expensive for most to rent.
- Compare it to your current house
To expand upon the list, the location has to be convenient in various ways. You have to choose which is best. Does it benefit your job in some way, or is your current house enough? If your current house is adequate for your job, then you won’t need a second house for the same purpose. Then you can move on to some more fun decisions. Such as, where is the house and where do you want a house. If you are buying a beach house, for example, then you probably want the house to have a view of the ocean. And near or on a beautiful calm beach at that. The choices are all yours. A good choice like this could also attract some renters if you ever consider renting it.
Next, the price. The price cannot be above your payload. Remember, you might never even rent the house after all. Meaning it is entirely up to you to pay it. This might sound like you’re just adding some more debts to your name, but it might not be true. As previously discussed, your first house should already be done in payment. This means that choosing a home with the right price corresponding to what you can afford should make it a lot easier for diligent budgeting. Maybe you can save enough money to buy a second house without the need of any lenders or even a lease.
Finally, comparing the two houses. This is mostly due to the requirements that you have decided to use your second house. You do not want a house that serves the same purpose as your first house. Because it would provide little to no benefits. The location of the second house is a good start. As we said, the house can convenience you in both travelings across Australia or going on a vacation. This makes a house near you quite obsolete. Although, when it’s for something like gatherings and special occasions because you want one house to be more personal. Then it can be anywhere. Near you, this means everyone still goes more or less the same way. Or on a special location with a view and activity-based areas near it, making it quite convenient for the gatherings. Then finally, what’s the price and rental rate of the second house compared to that of the first? What’s the size and appearance of the house? This will ultimately make you choose a satisfying second home.
Do your research
There are a lot of houses, buyers, and sellers and you do not want to be inconvenienced in any way by the various parties. Firstly, to find a good house you will have to know about as many houses as you can. Search for different towns, provinces and public attractions that you would like to go to go to Australia. And live by yourself. Do whatever you want in your own house. This means that you shouldn’t go looking for a house not knowing what you want. If you know what you want and stick to it, you won’t regret it.
Research not only means finding houses, sellers and different loan options. But also going to the house itself or locating very recent and reliable images that show much of the area surrounding the house. You do not want to buy a house and then arrive there and realize the images you saw were outdated or false. You also need to understand the location. You need to know how much work will you have to put into the lawn and the house to keep everything working and well placed. You don’t want to inconvenience yourself with a second home.
Having some fun
You must understand that this is your second house, this means you should be able to do whatever you want with it. Since you already have a house. Try enjoying yourself a bit when buying the house. Maybe search for a spot where an interesting event took place in the past. Or where myths and legends once walked. Or maybe a house filled with some old folklore.
Understanding the meaning of a house can make the house all the better, personal, satisfying to live in and worth it. Your second house can be so much more. You can renovate it, change it, decorate it. The freedom of choice is all there and the limits are gone.