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VVV

Have you reconsidered large purchases during C-19

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VVV

We could really do with a new kitchen (I am reluctant to say need as its not like it’s unsafe or not in working condition.) Even though we thankfully weren’t impacted during C-19 with job losses, I still feel really reluctant to spend such a large amount of money. I keep thinking about further job losses, recession, long term impacts and get really worried about needing those savings for the future. I also know there is an upside in that we are supporting a local business. Has anyone else struggled with big decisions thanks to C-19 and the current state of things? How do you know what the right thing to do is?

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22Fruitmincepies

Actually we are bringing forward some big spends on renovations etc, because we won’t be spending on international travel (or even interstate it seems), possibly for quite a while. It’s become a lot more attractive to spend money on making our home more comfortable when we have the possibility (probability) of more stay home orders. 

But I’ll say that we are extremely fortunate that DH’s sector is doing very well, and that he personally is doing very well. So we don’t have that job uncertainty. For anyone with job uncertainty I can absolutely understand they would be putting off large purchases (image losing your job half way through a kitchen reno). 

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AllyK81

My business has been positively impacted by COVID and my husband has a very secure banking job. During the small window when people could travel our beach house also brought in significant revenue. We are better off to the tune of tens of thousands as a result of COVID.

BUT we are treating it as a war chest. Times are uncertain and I feel more comfortable putting it all in the offset.

This will sound very privileged, but EOFY I usually buy myself a designer handbag. My business was more profitable this past EOFY than any previous year but I didn't buy one. It just didn't feel right.

 

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dadwasathome

DP and I have reasonable job security and, as with some PPs, have brought forward some expenditure as a logical stimulus.

We're evn talking about finally getting around to speaking with architects.

That said, we do also have a savings "war chest", which reduces risk.

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nom_de_plume

My job is insecure (short term contract) so at this stage we are holding off on any major purchase decisions.

We are saving money on things like petrol, gym memberships, kids activities but this is offset by the increase in utility bills and groceries.

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Hands Up

We’ve just booked two intra-state holidays. We’ve saved thousands by not going out, despite DH’s redundancy. Time to put that money back in to the poor tourism industry. We also have a war chest in our redraw so some cheap local holidays are ok for us. 

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Silverstreak

Yep, we've been holding off on discretionary purchases for the most part and paying rent early instead, although we did buy two mattresses during an end of financial year sale. 

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Mooples

We were going to start looking at a new house but not anymore. If dh was out of work for too long we wouldn’t be able to pay the mortgage so it’s not worth the stress even though his job is perfectly safe for now. 

We are in Vic, so saving heaps at the moment. No going out, no kids’ activities, no parties to buy presents, minimal petrol, holiday cancelled and refunded with no opportunity to rebook at this stage, we have even cut down on take away as it’s just easier to cook at home as we are always here now. 

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hills mum bec

We are also considering a new kitchen as well as some other renos.   DH lost his job when all the lock down of hospitality started but has since found a new one that is a lot better paying than the old one.  We sold our caravan when DH lost his job and still have the money for that sitting in the bank.  We would like to keep a savings buffer and then maybe spend the rest on renovations which would also help if we were ever in the position where we had to sell the house.  We are still procrastinating about it all because I am a bit nervous about spending the money.

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MadMarchMasterchef

That's a good question.   We have actually purchased a heap of things lately but they were all items we needed like a new bed. 

I guess you could look at it as an investment in your house, assuming it increases the value of your house.  That's not a bad thing in itself to spend money on. 

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Kiwi Bicycle

We got new heating ducts installed ( required, they were blowing insulation through the vents and were laying on the ground under the house) and just got new blinds for the spare room DH is working in ( formerly broken, dusty timber venetians).

So smaller " big" purchases but still feeling like at least some money going out to the economy, but not too much.

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Prancer is coming

We have just ordered double glazed windows for our entire house (which cost a lot!).  We did hold off for a bit.  My job is safe, DH should be, but could be impacted.  We also saved heaps in the COVID times, school fees were refunded and got some payments from the government.  We are paying for the windows outright and have enough in our savings to manage if we did lose our jobs.  I am about to pay a heap of bills like rates for the whole entire year, so that way there are less bills to pay throughout the year if it all falls apart.  
 

 

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~LemonMyrtle~
8 minutes ago, Kiwi Bicycle said:

We got new heating ducts installed ( required, they were blowing insulation through the vents and were laying on the ground under the house) and just got new blinds for the spare room DH is working in ( formerly broken, dusty timber venetians).

So smaller " big" purchases but still feeling like at least some money going out to the economy, but not too much.

Ooh, how did it go? We have the exact same problem. And quotes are around$7k for new ducts and a new unit. I want to get it done, it needs to be done, but it’s such a pain in the ass job. I dread the inconvenience and mess.

 

Spending is the same for us for big items. We will get our heater done, and anything else big that comes up. But we will still keep a big chunk of savings just in case.

But really big items, we are putting off. Like we want to do an extension. Pre-covid we probably would have just done it, borrowed more money to do it well. Now we probably won’t do it, or will do a simpler version that doesn’t increase the mortgage.

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seayork2002

Well we were planning on booking a trip to the uk so not really doing yet

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Dianalynch

We did buy a house, that’s a pretty big purchase lol, just moved in, BUT we bought a house where we’d have no mortgage, moved to a less desirable suburb to achieve that, and spent considerably less than what our incomes would suggest we could spend. Work is precarious, we didn’t want to be caught out. We’re also spending very little, outside of the move. It just seems like a time to save for leaner years ahead. 

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Expelliarmus
Posted (edited)

With permanent jobs in education and health we’ve gone ahead with the back verandah reno. 
 

The builder needs the work so it was a no brainer. 

Edited by Expelliarmus
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JRA

With no work in the last 6 weeks, and other income SIGNIFICANTLY reduced, we are not going out to spend more capital when we don't know what will happen in the next 12 mths and how this will end both from a society and financial perspective.

 

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Kallie88

Not reno level, much as there's stuff I'd love to get done, but we probably wouldn't have done it yet anyway just because we're pretty conservative with big purchases/ financial risk. But I've been spending money on household stuff that's been put off and will hopefully save us money in the long run as well: like a bulk lot of cloth nappies for the kids, new period undies for me

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Kiwi Bicycle
Just now, ~LemonMyrtle~ said:

Ooh, how did it go? We have the exact same problem. And quotes are around$7k for new ducts and a new unit. I want to get it done, it needs to be done, but it’s such a pain in the ass job. I dread the inconvenience and mess.

We replaced the outside heater 18 months ago, it had a cracked manifold and had to be decomissioned. It cost over $ 3K.  We decided not to do the ducting as the company wanted to dig out under the house, put down plastic sheeting and $$. BTW a new heater with a extra star energy rating saves us $300 per quarter gas bill, so ROI is great.

So this time DH contacted a company that just cleans and replaces ducts and they did a $ 100 inspection, said no we didn't have to do plastic or dig out, they offered  a 12 warranty on the ducts. 

They didn't come into the house at all! Just had a really thin guy crawling underneath. They didn't have to replace the vent boxes as ours were metal and the guy said they were far superior to  the new plastic ones, so didn't have to access the inside. They took away all the old ducts.  No mess at all.

All up it cost just over $ 3K for the ducts, so your quote of $ 7K for both is in the ballpark.

 

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blueskies12

Yes absolutely, we aren't doing any big purchases for a while. My husband's job is secure, but may be impacted by reduced hours next year if things slow down in his industry. If you know your positions are permanent and your hours are permanent then I would consider a big purchase.

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Ozquoll

Not reconsidering exactly, but I begrudge having to buy a new fridge because the old one has become unreliable 😒. Gotta have a fridge though 🤷

DH's job should be secure, but after years out of the workforce as a SAHM it is looking increasingly unlikely I will be able to get paid work again. So we are battening down the hatches and saving up for a house deposit while we are in the (very fortunate) position of living rent-free for the next few years.

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Popper

We are certainly agonising over spending money right now. DH has excellent job security and my job feels safe enough for now, but I am agonising over spending approximately $16k on various home improvements we really need to move on. We have the cash, we have a savings buffer but my anxiety over the economy is at an all time high. It really doesn’t help working as a commercial banker right now, I think I am seeing too much pain and a lack of confidence.

I am also wary of falling into the trap of thinking house prices will hold and money spent on the house will see an equal return in value. The other concern we have is starting new work and having a lock down with a half finished project. For this reason we are not replacing our kitchen this year as planned pre covid.

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kadoodle

We’re only getting my (reduced) income, so nope, not spending anything. We are mid renovation (started last year), but that’s going at snails pace because it’s DIY.

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Charli73

Even though my job is safe (emergency services) and DH work is in a Covid booming industry we are saving in kids activities but spending more on utilities and food. 
 

I am still nervous about spending money on a front fence, quotes are coming in for over $10K and it makes me nervous knowing what we could spend that amount on so getting more quotes. Happy to keep tradies working and I’m sure they are booming right now. I’m seeing heaps of people get work done now they are home.
 

This is a time for saving money without a doubt, you just never know what is around the corner. 

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coolbreeze

We got the hydronic heating put in finally after saving for about 18months. That cost 17000 and brought a new TV.

we had been shivering in this house for about 5 years with substandard heating and our TV was at least 10years old.

We are building up our savings again. I feel really anxious about future spending. We have moderately high school fees to pay etc.

 I have a very secure job but my husbands work has slowed right down. People reluctant to spend or have trades people in the house. We are in Victoria-lockdown 2.0. So we are reasonably comfortable but yeah nervous.

CB

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