Bal­ance act with re­pay­ing

The Weekend Post - Real Estate - - Front Page -

I RE­CENTLY had an in­ter­est­ing con­ver­sa­tion with my Baby Boomer fa­ther who was telling me now is the time to pay more off a mort­gage.

Yes, he is to­tally right and I en­tirely agree, how­ever where is the bal­ance point?

Typ­i­cally, those in their 20s are fin­ish­ing their stud­ies, take a gap year or travel pe­ri­od­i­cally and work hard to save a de­posit.

They then buy a prop­erty, spend too much money on a wed­ding (be­ing fancy seemed like a good idea at the time) and in their late 20s some de­cide to start a fam­ily.

We are all dif­fer­ent, but to gen­er­alise – that is the usual change of events.

I have just hit 30, there is a tod­dler run­ning around the house and I am fi­nally get­ting back on my ca­reer track.

I sim­ply told dad that “ex­tra money” was not typ­i­cally easy to find in this chap­ter.

Here’s the dif­fer­ence though be­tween my par­ents’ gen­er­a­tion and mine – they in­creased their in­come to pay off their loans quicker.

Gen­er­a­tion X and Y more often than not have the “pay-itoff-later” men­tal­ity, rather than flog­ging them­selves in a sec­ond or third job. I’m not say­ing one way is bet­ter than the other but I do feel slightly guilty now if we go out to a restau­rant for dinner or if I or­der a cou­ple of cock­tails with the girls.

Ac­cord­ing to dad: “You just didn’t do that in our day”.

DIF­FER­ENT VIEW: Gen­er­a­tions X and Y have a ‘pay-it-off-later’ men­tal­ity.

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