What to do?

[Ko smo]

HY all

So simple what do you think what should I do?

I live in an flat near Poreč and every month I pay it 250 € + other extra costs water etc and my income in Croatia are around 800 € with high living cost etc.
So I work in 2 places to make it. I also pay 300 € for the car but this will be over in 8 months ..

Now as this flat has been paid for more that an year each month 250 € i could get my own flat any pay the bank loan. Reading many things about bank system all all that is done in the world I as my self would this be an good option? On one side I will pay 400 € but for something that will one day be my own flat but on the other side it is paid for 30 years and with all bank fees etc I will pay them double for nothing.

No other option is possible as my family does not have any property or houses where I could live so some solution has to be found.
Nowdays it is hard to have something if you do not buy it or own it by the family and large amount of cash is not something that I have ...

I find it had to thing about this so advise would be good, any advise, do you have some experiences with this, what is your situation, what did you do??

this is something that is on my mind last year and each time when decision is made something changes my mind

Maybe this is not and subject to be written here but as is says what is on your mind? this is

Thank you

BG
KO SMO?

 

[Jones]

I'm not sure of all the pro's and con's of the decision between renting or buying in your country, but this is an exercise that I took many clients through when I was working for the bank.

Here in Australia, if you rent your landlord pays the council rates and has the responsibility of repairing, maintaining or replacing appliances like hot water systems or stoves/ovens, plumbing problems or electrical problems. The land lord also holds the responsibility for insuring the property.

As a renter, you obviously have to pay your rent, the fees for the services (gas/electricity and water) you use and you may wish to insure your possessions that you keep at the property.

If you decide to take out a loan to purchase a property, you not only have to meet the repayments but you also have the additional costs that are listed above that the landlord would cover. Purchasing a property may not mean that you are saving money in the short term, in fact it could actually cost you more when all costs are taken into account. However, if you are prepared to pay a loan for 30 years, then there may be increases in property values that will make having higher costs in the short term worth while.

So the decision whether to buy or rent is really based on your lifestyle, age and short and long term goals, and the costs involved in both scenarios. Some people choose to buy simply because they want the freedom to treat their home as their own and not live by rules dictated by landlords, others because they want to leave assets for their kids. I would guess that around 10 - 15% of the clients that I took through cost comparison exercises elected not to buy in favour of having extra money for their lifestyle choices that renting allowed them. (This was not bank policy by the way )

Also you may need to have a deposit saved before you can qualify for a home loan.

My first suggestion would be to find out what the total costs of owning a property are in your country/area, in addition to knowing what the loan repayments will be before you make a decision.

All the best :)