Sally Tindall

Oh, thanks for having me.

It's lovely to be here.

yeah absolutely and so there's two problems facing first home buyers one is often the deposit stumping up enough to put down even just 5 10 or 20 deposit but the second one is what we call serviceability the bank needs to see factor in how much income you earn before they're going to accept your loan and that's often a stumbling block for people that are buying by themselves but of course

a little bit of thinking differently can get you over that stumbling block.

The issue really we're looking at right now is that interest rates are at record lows.

That's made serviceability a lot easier for a lot of first home buyers, but it is about to change.

I think we're potentially just a couple of months away from the first cash rate hike in 11 years.

and that will dramatically change those serviceability calculations.

The banks will start lending people less, and that's a worry.

Well, it's all about thinking outside of the box.

And so, for starters, the obvious choice is to potentially, well, to buy with a partner.

But if you're not married or if you don't have that special someone in your life, that's not often possible.

And so, looking to a family member can be an option.

Looking even to friends can be an option.

However,

It doesn't matter who you buy with.

It's really important to sit down and make sure you're both on the same page.

You've got to think through the short-term strategy, the medium-term strategy, but also the long-term strategy for that property and for your plans.

Otherwise, it could get quite messy quite quickly.

Absolutely.