A proposal from Tae — 20 April 2026

Home Purchase Capital Plan

An interactive walkthrough of what we're asking, why it's the right move for the family, and how the numbers compound over the next 30 years. Every assumption on this page is editable — all the charts and projections update live.

Best-estimates using current market data and NAB's 2026-04-20 meeting outcomes. Happy to refine any assumption you want to pressure-test, or to have your accountant validate.

The summary

Do and I have aligned on buying a 3-bedroom property in Footscray or an adjacent inner-west suburb, target price around $820,000, settlement June–July 2026. NAB confirmed a staff owner-occupier rate of 5.64% this morning.

The specific ask
$190,000
A gift toward our deposit, funded by the sale of one Carlton apartment.

That gift level is the cleanest fit for the 3-bedroom plan. It gets us to a 21% deposit (no LMI), preserves my investment portfolio for long-term compounding, and leaves roughly $95,000 from the same Carlton sale for whatever deployment serves your retirement best. The second Carlton remains untouched.

If your position supports a larger gift of $210,000, an alternative plan opens up: a standalone house at ~$880k instead of a townhouse — a materially better long-term asset. Both scenarios (plus a lower-commitment fallback) are below, and you can play with the numbers yourself in the next section.

Your assumptions, your numbers

These are the inputs behind everything on this page. Drag any slider and the entire site — monthly repayments, projections, and charts — recalculates live. There are no hidden parameters.

Editable assumptions

Reasonable defaults are pre-set. Move the sliders to pressure-test.
$100k$300k
$600k$1M
Tae's FHSSS + cash + Brother's cash. Default: ~$29.7k.
3.0%8.0%
15 yrs30 yrs
Per apartment. Affects how much is retained for your deployment.
Footscray long-run ~6.7%. Townhouse-like 4–5%, house-like 5–7%.
Historic Carlton apt: ~2%. Recently negative.
HISA 4.5% · Hawthorn prop 5.5% · Super 7% · ETFs 7–8%.
Inner-east house comparable. For the projection chart.
Per apartment per year, after all costs. Reinvested.
5 yrs40 yrs

Live calculation — based on your inputs above

Deposit %
Loan amount
after stamp duty & costs
Monthly repayment
each
Property in 30y
at the CAGR above
Your retained cash
from one Carlton sale
Retained in 30y
at the rate above

30-year projection — one view

Comparing what happens to $285k (one Carlton's net sale proceeds) under four redeployment options. The curves update live as you change the assumptions above.

Family wealth over time

Each curve shows cumulative $ value over the horizon you set. All figures nominal (not inflation-adjusted).

Keep Carlton (CAGR + rent reinvested)
Sell → HISA / retained
Sell → Hawthorn property
Sell → gift to us + you retain difference (family wealth)
Carlton net sale
Carlton CAGR
Carlton net rent
HISA / retained return
Hawthorn CAGR
Parental gift
Property price
Property CAGR
You retain
Horizon
Deployment Year 1 Year 10 Year 30

The family-wealth comparison is what matters if the long-term frame is "capital deployed for maximum multi-generational outcome." The gift-based scenario beats holding or HISA by a factor of ~3–5× over 30 years, driven almost entirely by leverage and the PPOR capital-gains-tax exemption.

Important
This does not reduce your retirement security — retained capital ( in S1) is still yours to deploy. It just recognizes that some of the family's capital compounds faster on our side of the balance sheet than on yours, given our time horizon and the PPOR tax structure.

The three scenarios

Each reflects a different gift level and property type. Gift amount splits 50/50 between Do and me. All three use NAB staff rate 5.64%, 30-year P&I, FHB stamp duty treatment, co-ownership as tenants in common with a deed of contribution.

Our chosen path
Scenario 1 — Baseline
3-bed townhouse · Footscray / Yarraville / Seddon
$190,000
Property price$820,000
Deposit21%
Loan$648k
Monthly P&I$3,738
Each of us$1,869
30y value @ 5%$3.54M
30y value @ 6.5%$5.41M
Scenario 2 — Empire stretch
Standalone 3-bed period house · inner-west
$210,000
Property price$880,000
Deposit21%
Loan$693k
Monthly P&I$3,990
Each of us$1,995
30y value @ 6.5%$5.80M
Scenario 3 — Conservative
2-bed premium townhouse · Footscray / Seddon
$150,000
Property price$720,000
Deposit20%
Loan$575k
Monthly P&I$3,309
Each of us$1,655
30y value @ 5%$3.11M

Scenario comparison — property value at horizon

Three scenarios, each shown at a townhouse-like and a house-like growth rate.

At 5.0% CAGR (townhouse-like)
At 6.5% CAGR (house / Torrens-title)
S1 price (3-bed TH)$820,000
S2 price (standalone house)$880,000
S3 price (2-bed TH)$720,000
Low-growth CAGR5.0% (townhouse-like)
High-growth CAGR6.5% (house / Torrens)
Horizon
Key insight on monthly cost
Across all three, housing cost per person runs $1,650–2,000/month — all comfortable on $213.6k combined base income. The monthly-cost difference between S1 and S2 is essentially zero. The decision is about asset quality, not affordability.

The case for selling Carlton — independent of us

Before the gift question, selling the Carlton apartments is very likely the right move for your own retirement strategy regardless of what you do with the proceeds.

Yield

Current net yield on the Carlton apartments is approximately 4–4.5% after body corp, rates, insurance, agent fees, and vacancy. Gross rent of ~7% on ~$300k is in line with 1-bed Carlton benchmarks, but after operating costs you're netting around $12–13k per apartment per year. That's roughly equivalent to a high-interest savings account ($270k at 4.5% = $12,150/yr) with none of the hassle.

Capital growth

Carlton cost base ~$200k per apartment in 2005–2010, current value ~$300k. That's a CAGR of around 2–2.3% over 15–20 years — well below broader Melbourne (~5–6%) and underperforming inflation in several of those years. Inner-city Melbourne apartment values have been structurally declining over the past two years; Footscray units are down 6.8–17% in the last twelve months, and Carlton sits in the same apartment-oversupply dynamic.

Redeployment options

Hassle factor

Body corp meetings, tenant turnover, vacancy gaps, maintenance calls, agent management. Time cost that's easy to undercount until it's gone.

Frame
The Carltons are a weak retirement asset and likely should be sold — that's decision one, and it's your call (with accountant validation). The gift to us is a second decision, sized by what's comfortable for your position.

What the capital does for us — the leverage argument

Why a gift to us compounds differently than you holding equivalent capital:

Leverage

A $180k gift becomes the deposit on a ~$780k property. We capture 100% of that property's capital growth on only ~23% of our own capital. If the property grows at 6.5% per year — $53,300 in year one — that's an implicit return of ~28% on the gifted capital in the first year alone (before mortgage costs, council rates, etc.). Obviously not sustainable at that headline figure, but the leverage effect is real and compounds for 30 years.

Tax treatment

The property is our principal place of residence (PPOR). Capital gains on PPOR are exempt from CGT under the main residence exemption. Over 30 years that's hundreds of thousands of dollars of tax saved versus the same growth occurring in a taxable vehicle like an investment apartment.

Compounding horizon

Do and I are both 25. The property has a 35+ year compounding runway, starting now. Capital held in Carlton continues to grow at ~2%; capital held in HISA grows at 4.5%; capital held in our PPOR captures 5–7% growth on the underlying asset value. The delta compounds.

Future optionality

The equity built in our PPOR over years 3–7 becomes the deposit for a second property (investment) — typically around year 5–7 of ownership. That second property then compounds for the subsequent 25 years. This is standard property-ladder mechanics; it only works if we have a strong enough foundation to build it on.

What we'd like to understand from you

To land on the specific gift amount and scenario, a few things from your side. Even rough numbers are fine — enough to know whether S3, S1, or S2 best fits your comfort level.

  1. Roughly where are you on retirement readiness? Super balances (both you and Mum), Verisign holding size, other savings / investments outside property.
  2. What's your target retirement age and income? This helps calibrate whether the gift is safely below your requirements or cuts closer. ASFA's "comfortable" couple benchmark is ~$75k/yr, needing ~$800k–$1M investable assets + owned home.
  3. Is the Hawthorn investment idea still live for you? If so, retained proceeds from the Carlton sale(s) could fund it — a good outcome for you, and keeps our ask separate from your redeployment plans.
  4. Are you and Mum both aligned on selling the Carltons? I recall Mum has mixed feelings about parting with them. If that's still the case, the conversation may need to happen family-wide first.
  5. Any constraints on timing? For FY26 optimization, the Carlton sale would need to exchange contracts before end of May / early June 2026.

CGT & timing — for your accountant

Items worth running past the accountant before any sale is triggered:

1. Which financial year?

Selling before 30 June 2026 locks the gain into FY26. Selling after lands it in FY27. Either may be optimal depending on your other income in each year. FY26 already includes the June Verisign payroll run; FY27 may benefit from RSU vesting timing.

2. Whose name holds title?

If held jointly 50/50, gain splits 50/50. If held solely in Mum's name, she reports the full gain against a lower casual-hospital income base — likely meaningfully lower total CGT. If held solely in Dad's name, the full gain adds to Verisign income and hits higher brackets. Worth confirming title structure and whether any restructuring is sensible.

3. 50% CGT discount

All apartments held more than 12 months qualify. Carlton apartments held 15–20 years clearly do.

4. Estimated figures (per apartment, rough)

5. Settlement timing

The apartment sale should coincide with our property settlement (June–July 2026). Practical mechanics: exchange contracts on the Carlton sale once we have an accepted offer on our property, settle both within the same ~60–90 day window.

What we're not assuming

Suggested next steps

This week
You and I discuss this proposal; you share your retirement-readiness context so we can confirm which scenario fits.
Next 1–2 weeks
[Your accountant] reviews CGT timing and title implications.
By end of April
Alignment on which Carlton (or Carltons), which FY, which scenario.
May 2026
Carlton listed for sale; Do and I begin property inspections in earnest; NAB finalizes our pre-approval with the updated deposit.
June–July 2026
Both settlements executed; legal structure (BFA, licence, co-ownership) signed before anyone moves in.
Post-settlement
You deploy retained proceeds however best serves your retirement strategy.

Happy to discuss any of the above, adjust assumptions you want to challenge, or have [your accountant] validate specific numbers before we commit to anything.