Marriage or Mortgage: Should you forgo buying a house for your dream wedding?
Getting married and getting a house are both major life decisions that people should look into as these will have a significant impact on anyone’s life in the long run. Without proper planning and preparation, it can have a lasting negative on anyone’s financial stability.
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According to the government website moneysmart.gov.au, the average cost of having a wedding in Australia was pegged at $36,000. To finance this once-a-lifetime event, 82% of wouldbe couples in the country tap their personal savings, 60% take out loans.
Home or marriage?
This only shows how important getting married is for most people that they are saving up for it or willing to risk their financial stability by getting a loan for this one-day event.
Meanwhile, the average deposit for first homes in Australia was estimated to be at $106,743. This amount varies based on the location of the property, among other things.
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In terms of difference in housing loan deposit relative to location, Tasmania seemed to be the most affordable at $81,438, while New South Wales is on the opposing end of the spectrum at 128,469.
More home buyers, lesser marriages
In Australia, the number of marriages logged per year has steadily declined over the past years. According to a report from the Australia Bureau of Statistics, As of August 2020, the country recorded a total of 37,813 marriages, which is roughly 32 per cent lower than the same period a year ago.
But the figure for first home buyers in Australia is a totally different story. In fact, data from the Australian Institute of Health and Welfare, a total of 155,100 dwellings have been recorded as of first quarter this year. That’s significantly higher than the 82,500 dwellings logged for the same period last year.
Getting married is surely a significant milestone that many aspire for. But with the current situation that many people face these days, practicality remains at the forefront of everyone's priority above all.
But with proper planning and wealth management, anyone can have the best of both worlds by getting married and getting that dream house for your young family.
If you are unsure whether to get married or buy your first house or both, start by talking to a license broker sooner than later. At Intellichoice Finance, we will walk you through on which option works best for your current situation without sacrificing anything. Talk to one of our trusted brokers and will guide you through the intricate process of debt management during this time of high uncertainty. Visit our website or schedule your appointment by calling 1300 55 10 45.