Being a part of generation Y has its challenges. One of the many challenges currently facing 20 something’s is buying a house.
For students like myself, there are really only two options available. Live with your parents or start renting.
Today’s property market is both challenging and rewarding for those who are able to enter the market. For people like myself, a 22-year-old university student, the possibility of self-funding a deposit for a home is virtually impossible. So the question stands, how do I fund my future? It seems a daunting task, with lending from the bank seeming like a never-ending trap of interest rates.
Luckily, I’ve found a solution. The #BankOfMumAndDad or BOMAD. Although this may seem like a cop-out to some, I’ve found this is my only way to get my foot in the door and set myself up for the future. With many speculating that real estate prices will drop in the next year, I have devised a plan to help secure my future in the real estate market.
Using #Credi, my parents and I are going to organise a payment plan, where I will pay them back over a due period. By using Credi I can formalise and manage this agreement with my parents or BOMAD. I will also be able to take advantage of the low property prices expected in the next year, without falling into a heap of debt with a bank.
Once I finish Uni at the end of 2017, I am hoping to gain full-time employment, which will help me gain the finances needed to pay my parents back for the initial loan over time. In a time where my generation is struggling to get out of the rent trap, #Credi is a life raft, allowing those who are fortunate enough to get a loan from the bank of Mum and Dad to get their foot in the door of Perth’s profitable property market.
In a time where my generation is struggling to get out of the rent trap, #Credi is a life raft, allowing those who are fortunate enough to get a loan from BOMAD to get their foot in the door and access the property market.
Credi’s ability to let you pay back the loan over anytime, of any amount and including any conditions is attractive. They’re also in the process of creating a document that can document the agreement as a gift, which some parents like to do. The platform also helps you take steps to become financially minded, by helping you manage your money and loan agreements without affecting your credit rating. It’s almost practice for later on in life when we might need to go to a bank for a larger loan.
Written for Credi Pty Ltd by Nicholas Perman
Tim K. Dean, Credi Founder | Commentator & Expert on Family Lending, Bank of Mum & Dad and Neo-Credit Scores is available for media interviews and appearances. More…
Credi Pty Ltd is a Financial Technology business, not a marketplace lender. Our mission is to change the way we lend money. We want to empower people to help each other and take control of their financial relationships without creating friction and stress.
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