FLOURISHING AFTER 50: We’re facing a miserable Christmas thanks to our sky-high mortgage. Is home ownership worth the struggle?

Dear Vanessa,

I feel so stressed about this Christmas. It’s becoming a huge turn off for my kids. We can’t afford the usual presents or our beach vacation this year. Everything feels so tight, and with interest rates the way they are, our mortgage is now costing us an extra $26,000 a year compared to when we bought the house. All the money we used to spend on fun is gone.

I’ve thought about taking a second job to help out, but the thought of leaving my kids alone over the holidays breaks my heart. My husband has been working double shifts to save some money, but it feels like we’re stuck in an endless cycle.

Is home ownership really still worth it? We’ve worked so hard to get here, but now I’m wondering if it’s all too much. What should we do? How can we make this Christmas special without spending a lot of money?

Christine.

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Dear Christine,

First let me say that your letter will resonate with many families at this time. You’re not the only one feeling the pressure of rising interest rates and the impact they have on household budgets. An extra €26,000 per year on your mortgage is not a small amount; it’s no wonder the fun money has disappeared.

Let’s answer your biggest question: is home ownership in Australia really worth it? Owning a home has long been seen as an important part of financial security in this country, offering stability and the potential for long-term growth. But the rising cost of living and higher interest rates are forcing many to reconsider. The truth is that homeownership is a very personal choice, and what works for one family may not work for another.

You and your husband need to assess whether staying in your home aligns with your overall happiness and financial goals.

Start by talking to your lender or a mortgage broker to see if there’s room to negotiate a better rate. Many people pay more than necessary simply because they didn’t ask for a better deal. Mine free tool can help you compare your current rate with what is available. It’s worth discovering: every little bit saved makes a difference.

If lowering your mortgage payments isn’t possible, take a step back and reconsider your priorities. If your home is putting too much strain on your family, there’s no shame in considering downsizing or renting. This doesn’t mean you have to give up; it means adapting to live a life that works better for your family.

Now let’s talk about Christmas. Remember that what children value most is not the size of the presents or a nice holiday; it’s the time with their parents and the memories you create together.

Instead of focusing on what you can’t give, think about what you can give. A day at the local park, a homemade picnic or even a backyard camping adventure can be just as special as a trip to the beach. You can involve your children in planning the festivities, for example by baking Christmas treats or making decorations together. These simple moments can be magical and won’t cost you a fortune.

As for the idea of ​​a second job, I understand your hesitation. Balancing work and family life is a challenge, especially during the holidays. Consider options that can help you make some extra money without sacrificing too much time with your kids, such as flexible freelance work or selling items you no longer need online.

Finally, remind yourself that this is a season of your life, not the entire season. These financial pressures will not last forever. By taking small, manageable steps now, you can lighten the burden while finding ways to make this Christmas meaningful and joyful for your family.

I wish you strength, clarity and a beautiful Christmas full of love and togetherness.

Kind regards,

Vanessa.

Do you have a question about decisions about family, money or big lives? Send it to floringafter50@dailymail.com.au

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