How's this for simplicity, if the median house price in Sydney is roughly $800k, you are stating that the average wage (or household income) net is $200k plus. That's 4 times isn't it???
Or is this wrong?? The maths is pretty basic and the fact you can't get it means you're right, we are on a completely different level!!!
That's western Sydney Dave. Which would probably be ten times wages out there......
But considering with the life of the loan , the total repayments would be closer to a million dollars. That means, its closer to 20 times wages. And thats only for the ones that pay more than interest only. So others who pay interest only loans for years on end may end up paying 25 times there wages.
Just so some are aware of the old days. I have a history book of my area which shows land being auctioned in the early twenties. The conditions of sale were the deposit, which I cant remember now, think it was 25% deposit and then 20 quarterly repayments. So the loan was paid off in five years. Now we want to drag ot onto forty year loans.
Peter , while I am on this subject, can you please tell us what you know about how long loans now go to, who offers them and how long since they have been introduced . No holding back on us now please.
Pauk produced a 4-year-old document to show what is happening 'now'. Four year old data can't tell us anything about what is happening now.
I presented data for the past decade to show what happened over the past decade. Data for the past decade does tell us what happened over the past decade.
Why are bears so incapable of logical/rational thought?
Always with the price to income ratio Shadow, time to get a new line.
That's western Sydney Dave. Which would probably be ten times wages out there......
No mate, sydney wide, but I'm talking FHB dwellings or in other words apartments, that's what FHBs should be buying and the avg appartment dwelling price is circa 530K in sydney
No mate, sydney wide, but I'm talking FHB dwellings or in other words apartments, that's what FHBs should be buying and the avg appartment dwelling price is circa 530K in sydney
You might be onto something. When Joseph Hockey was interviewed on Q&A last year, an audience member asked him how she could buy her dream home. Hockey's response was 'our society has changed'. I'm not certain what Hockey meant by this ... but I think he might be alluding to the fact we've got a lot more people in Oz these days so there won't be enough houses for all of them. In other words, I think Hockey is saying the rich shall have the houses and the rest get apartments. It's very different to how it was when we were kids when backyards were spacious and ubiquitous. But as Hockey informs us, our society has changed.
No mate, sydney wide, but I'm talking FHB dwellings or in other words apartments, that's what FHBs should be buying and the avg appartment dwelling price is circa 530K in sydney
Another example of why statistics are nonsense , the median has been reported as anywhere around 600 to 650 for the last few months and now another figure in the mid 500's.
How's this for simplicity, if the median house price in Sydney is roughly $800k, you are stating that the average wage (or household income) net is $200k plus. That's 4 times isn't it???
Or is this wrong?? The maths is pretty basic and the fact you can't get it means you're right, we are on a completely different level!!!
OK Chris, just for you I took the time to compile all the Sydney data into a nice black and white table, as well as a chart.
Note that in all cases I have divided the dwelling price by NSW wage as I can't find Sydney specific wages on the ABS site.
Also, obviously since this is single person wage the ratios to household income would be lower.
No mate, sydney wide, but I'm talking FHB dwellings or in other words apartments, that's what FHBs should be buying and the avg appartment dwelling price is circa 530K in sydney
Another example of why statistics are nonsense , the median has been reported as anywhere around 600 to 650 for the last few months and now another figure in the mid 500's.
People usually only say statitiscs are nonsense when they don't "fit" with their view of things.... Funny how it is usually housing bears who take this line as well, with numerous stats far and wide! Eg employment data, housing finance data, house price indexes, medians etc, GDP / national account data, income data and so on are all regularly attacked by the poo-coloured-glasses brigade on this forum and others, usually with no credible substantiation.
The property meidan price stats are not "nonsense" anyway - you just need to understand what the different measures are. Ie there is a difference between the median "house" price and the median "dwelling price" - one is detached houses only and the other includes all dwelling types (units/flats/townhouses/semis etc). you also need to be careful when lookinf at various stats re their definition of a "house" - some include semi's for example, some don't.
Another source of discrepancy between indicies is the geographical boundaries used - eg for "Sydney metro area" - for example, some include the central coast etc in the boundary, some don't. So obviously this will give you a different over-all median price. Also with national stats, are we walking about the capital city weighted average only? Or national all-dwellings that includes country/regional area's? To very different numbers, and both usually labelled the "national" median price or similar.
None of the above makes the stats "nonsense". But you do have to have half a brain and put a little effort in at times to understand what the data represents.
For Aussie property bears, "denial", is not just a long river in North Africa.....
.....Addendum: I just pulled out my most recent credit contract, and it would see that:
I cannot under any circumstances: --------------------------------------------
* Do anything to diminish the value of the security * Stop insuring the building
I must have Permission to: -----------------------------------
* demolish * sell * conduct "major works". The definition of major works is a little grey, but it seems to boil down to "if you need council permission, you need to get that permission, and then come get our permission." Anything not requiring council permission would seem not to be major works.
I must advise immediately if something happens to diminish the value that is outside my control, like for example finding land contamination, a neighbour building too close to my boundary, etc.
Anything else would seem to be open slather. OK maybe painting the exterior purple would come under the heading of diminishing the value, but I'd just go ahead and do it anyway if I was tasteless enough to want to.
The true meaning of the word 'own': you only have to get permission from one set of over lords
WHAT WOULD EDDIE DO? MAAAATE! Share a cot with Milton?
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