Thinking of getting yourself a cute little puppy?
Like this Japanese Spitz winter dog here?
Think again! It may reduce the loan amount you can get to buy your first home 🤕
Pet care is looked at by most banks as additional living expenses, on top of the “bucket” they use to group everything else (and apply a minimum benchmark for). This means, even if you eat instant noodles every day and literally amass huge amount of savings every week you get paid, the banks will still penalise you and consider that your pet care is causing you to spend more than the average Australian who doesn’t eat instant noodles every single day.
According to https://www.budgetdirect.com.au/blog/real-cost-owning-pet-australia.html, the average cost of owning a dog is $1475 per year, or $123 per month. This will reduce your maximum home loan amount by around $20k.
In reality though, if you love your dog, you will spend more than $123 a month. A single dog wash at a quality pet shop is probably already almost $100. Your home loan amount will probably drop by $50k.
Life is tough…
Disclaimer:
This is not a financial advice and is not any form of advice. It is an entertainment article which may not be well researched. No responsibilities are taken for any financial or non-financial loss.