MY MONEYSURVIVAL GUIDE
rent in advance to show you are serious. You might
include references from previous landlords. Make
sure you have a rental bond equivalent to four weeks’
rent to offer for security purposes.”
Theagentmaychecknationaltenancydatabases
foryourrentalhistoryandseekverificationforallthe
otherinformationyou’veprovidedsuchasworkhistory
and pay. “Some agents request a prospective tenant to
provide a consent for them to obtain access to their credit
reportforthepurposeofcheckingtheircreditworthi-
ness. However, the act prohibits disclosure to anyone
other than a credit provider. Therefore, credit reporting
agencies are prohibited from providing this information
to a landlord or property manager,” says Hassan.CAR LOANS
When buying a car, don’t accept the first loan you see,
saysHassan.“Comparelow-interestloansfromcredit
unions, banks and dealers and factor in any monthly
fees. Regardless of which lender you decide to go with,
negotiate a discount on your interest rate and ask for
theupfrontfees[$100to$600]tobewaived.Ifyou
can,provideadepositfromsavingsorintheformofa
trade-in. This means you’re borrowing a smaller amount
compared to the value of the car.”
The corporate watchdog ASIC says it’s a good idea
to know what’s on your credit report. “You are entitled
to check your credit report for free once a year. If you
needtoseeitquickly,theremaybeachargebutifyou
arepreparedtowaitalittlelonger(about10days)it
won’t cost you anything.”
Anincorrectlistingcanalertyoutoidentitytheft.
But don’t give your details to any credit agency on
thenet.Thereareplentyofscams.Findoutmoreat
moneysmart.gov.au/tools-and-resources/publications/
factsheet-your-credit-report.BUYING PROPERTY
Thebiggestchallengeformillennialsistogetatoehold
in the property market. For generations home ownership
has been the cornerstone of wealth creation. Remove
itandtherearedireimplicationsforlifeinretirement.
Rafterysaystheearlieryoucanbuythebetteroff
you will be. “I know when I did the numbers years
agowhenIwasinthatagegroup,25yearsofpayinga
mortgagewasalotbetterthanpaying50yearsofrent,
which is dead money.”
But don’t overextend yourself. “Discount by 30%
whateverthebanksaysyoucanborrow.Notonlywill
itmaketheloanmoreaffordablebutitwillalsoprotect
youonthedownside.Whatifyoudon’tgetabonusor
lose your job?”
Try to pick a place where there is a greater likelihood
ofappreciation,hesays.“I’mahugefanofbuyingahouse
with land of a decent size rather than a unit. By buying a
unit all you are doing is buying air rather than anything
else.Theabilitytoappreciateinvalueisn’tasgreat.”
While new blocks of units with underground parking,M
arlee Redshaw, 24, is in her final year of
abachelorofbusinessmanagementat
theUniversityofTechnologySydney,majoring
in events management. She also juggles two
jobs:oneattheuniversityinitseventsteamand
theotheronweekendsforaneventsmanage-
ment company.
Her work helps pay the bills: all the costs asso-
ciatedwithgoingtouni,runningacarandhaving
some sort of a social life. “I also try to save 10%
aweekbutthingscomeup,”shesays.Shekeeps
acreditcardforemergenciesonly.Whilehercurrent
jobs pay super, there are no employee benefits.Marlee hopes to move to Sydney from the NSW
central coast next year for work. “It would have to be
shared accommodation because rents are so expen-
sive. It makes it difficult to save for a house deposit,
stampdutyandeverythingelsethatcomeswithbuy-
ingandowningahouse.
“MyfamilyhasalwaysownedahousesoIantic-
ipatewantingtoownmyownhometobringupmy
familyin.ButwhenIlookatthemarket,Iwonder
whetherit’sgoingtobeafutureofrenting.”
Redshawhasapaidinternshipunderaprogramrun
by UTS, which should give her an edge after gradua-
tion. “It’s hard to get into the industry you’ve trained
forthesedays.Ifyoulookatjobads,theyallwanttwo
or three years’ experience. The best way to get in is to
volunteerwiththoseorganisationsandgetyourname
knownsoyouhaveabetterchancewhenapaidposi-
tion becomes available.
“Iwasluckyenoughtogetapaidinternshipbut
some of the internships aren’t paid. So you need to bal-
ancethehoursyouarevolunteeringtogetthejobat
the end of your degree but still cover your overheads
and costs.” She says she been fortunate to be able to
live at home.CASE STUDY
“Volunteer
and get your
name known
so you have
abetter
chance when
apaidjob
comes up”