Welcome Guest [Log In] [Register]


Reply
  • Pages:
  • 1
  • 3
Sydney homes cheaper than HK, Mumbai, Beijing, Shanghai, London, Tokyo, Singapore, Paris, NYC, Seoul; Sydney more affordable than most other Global Cities means plenty of upside potential for property prices
Topic Started: 19 Jan 2017, 12:56 PM (2,200 Views)
Khaderbhai
Member Avatar
Wealthy Suburbanite

Hong Kong and Mumbai Have Some of the Most Unaffordable Housing. London is fifth on price-income ratio, Hong Kong is the top.

https://www.bloomberg.com/news/articles/2017-01-17/hong-kong-and-mumbai-have-some-of-the-most-unaffordable-housing

18 January 2017

Posted Image

In Hong Kong, Mumbai, Beijing and Shanghai, it now takes more than 30 years for a household with the local median income to buy a 90 square meter (970 square foot) apartment. That's according to Oxford Economics examination of price-to-income ratios across the world.

And the return from rents in Mumbai, Shanghai, Beijing, and also Delhi are "remarkably low," which could be an indicator that the valuations in those cities are "stretched." In all four cities, gross rental yield was lower than 10 year government bond yields in 2016, unlike places such as Tokyo, Sydney, New York and Seoul.

Low interest rates in the last decade have helped fuel house price growth across the world, and the rise in rates in the U.S. and elsewhere will reverse that trend by making mortgages more expensive. Further rate rises by the Federal Reserve may attract money back to the U.S., which would affect property prices in Asia.

In the long term, rising prosperity and demographic factors still point to strong demand in many large Asian cities.
Edited by Khaderbhai, 19 Jan 2017, 12:57 PM.
Banks can't repossess your home simply because the market value falls. Australia's Consumer Credit Code says consumers aren't liable for things ordinarily outside their control and can't be held to obligations that could only be met by selling their home. Click for details.

"The truth is that there are no good men, or bad men. It is the deeds that have goodness or badness in them. There are good deeds, and bad deeds. Men are just men."
Profile "REPLY WITH QUOTE" Go to top
 
Rastus2
Member Avatar


a casual glance tells me that Melbourne is far more attractive than Sydney on that chart.
Shadow - Defrauded his Bank ? 2015 I have 9 different loans and my bank had no idea which ones were personal and which were investment. They had half of them classed incorrectly. When this change came in they asked me to tell them if any personal loans were incorrectly classed as investment, which I did, and they switched them to personal for the lower rate. They also had a couple of investment loans incorrectly classed as personal. They didn't ask me about those. So they stay on the lower rate too. Worked out pretty well. :)
Shadow - 2008 Sydney Median House Price 1.25M by 2014-2015

Shadow : I think this boom has already begun in several cities. My prediction :
Peak of boom: 2014-2015. Sydney Median Price: $1,250,000 Bottom of bust: 2017-2018. Sydney Median Price: $1,100,000

Shadow's Original 2010 House Boom and Crash prediction http://s836.photobucket.com/user/rastus22/media/shady-orig-2010-chart.png.html?sort=3&o=0

Shadow's attempt to edit his 2010 chart in 2015 and replace it with one that does not show a crash in 2013 http://s836.photobucket.com/user/rastus22/media/Screen%20Shot%202015-06-06%20at%207.12.52%20pm_1.png.html
Profile "REPLY WITH QUOTE" Go to top
 
Jon Snow
Member Avatar


Looks like Mumbai is one hot market. You could probably pick up a few of these before prices go to the moon.
Posted Image
Speak when you are angry and you will make the best speech you will ever regret.
Ambrose Bierce
Profile "REPLY WITH QUOTE" Go to top
 
Bardon
Default APF Avatar


Nice property listing here for $250m in Los Angeles

http://www.924belair.com./


Profile "REPLY WITH QUOTE" Go to top
 
Sydneyite
Member Avatar


Bardon
20 Jan 2017, 09:06 PM
Nice property listing here for $250m in Los Angeles

http://www.924belair.com./


Tell him he's dreaming son! ;-)
Edited by Sydneyite, 20 Jan 2017, 09:22 PM.
For Aussie property bears, "denial", is not just a long river in North Africa.....
Profile "REPLY WITH QUOTE" Go to top
 
Bardon
Default APF Avatar


Sydneyite
20 Jan 2017, 09:22 PM
Tell him he's dreaming son! ;-)
Plus it has a crap yield.
Profile "REPLY WITH QUOTE" Go to top
 
hidflect
Member Avatar


Khaderbhai
19 Jan 2017, 12:56 PM
Hong Kong and Mumbai Have Some of the Most Unaffordable Housing. London is fifth on price-income ratio, Hong Kong is the top.

In Hong Kong, Mumbai, Beijing and Shanghai, it now takes more than 30 years for a household with the local median income to buy a 90 square meter (970 square foot) apartment. That's according to Oxford Economics examination of price-to-income ratios across the world.

And the return from rents in Mumbai, Shanghai, Beijing, and also Delhi are "remarkably low," which could be an indicator that the valuations in those cities are "stretched." In all four cities, gross rental yield was lower than 10 year government bond yields in 2016, unlike places such as Tokyo, Sydney, New York and Seoul.

Low interest rates in the last decade have helped fuel house price growth across the world, and the rise in rates in the U.S. and elsewhere will reverse that trend by making mortgages more expensive. Further rate rises by the Federal Reserve may attract money back to the U.S., which would affect property prices in Asia.

In the long term, rising prosperity and demographic factors still point to strong demand in many large Asian cities.
But simply comparing the desperation and overcrowding of third world toilets merely highlights the problem. At least in Mumbai you can exploit your fellow citizen reliably enough to extract filthy lucre. In Sydney you have to somehow find a way to squeeze money out of your neighbour. I guess if you rent him his place...
Profile "REPLY WITH QUOTE" Go to top
 
Chris
Default APF Avatar


The reason why it has taken me so long to post is because I had to pick myself off the floor from laughter.

I thought income to value ratios were irrelevant, but hang on, isn't that the premise of this article!??????


Bwahahahahaha Shadow, you are a very unstable individual 😐
Profile "REPLY WITH QUOTE" Go to top
 
Ex BP Golly
Member Avatar


Jon Snow
20 Jan 2017, 08:51 PM
Looks like Mumbai is one hot market. You could probably pick up a few of these before prices go to the moon.
Posted Image
Now we know where fWank went!

Chris
20 Jan 2017, 10:11 PM
The reason why it has taken me so long to post is because I had to pick myself off the floor from laughter.

I thought income to value ratios were irrelevant, but hang on, isn't that the premise of this article!??????


Bwahahahahaha Shadow, you are a very unstable individual 😐
He's a slippery worm.
Edited by Ex BP Golly, 20 Jan 2017, 10:18 PM.
WHAT WOULD EDDIE DO? MAAAATE!
Share a cot with Milton?
Profile "REPLY WITH QUOTE" Go to top
 
Khaderbhai
Member Avatar
Wealthy Suburbanite

Chris
20 Jan 2017, 10:11 PM
I thought income to value ratios were irrelevant
Interesting. What made you change your mind?
Banks can't repossess your home simply because the market value falls. Australia's Consumer Credit Code says consumers aren't liable for things ordinarily outside their control and can't be held to obligations that could only be met by selling their home. Click for details.

"The truth is that there are no good men, or bad men. It is the deeds that have goodness or badness in them. There are good deeds, and bad deeds. Men are just men."
Profile "REPLY WITH QUOTE" Go to top
 
1 user reading this topic (1 Guest and 0 Anonymous)
ZetaBoards - Free Forum Hosting
Join the millions that use us for their forum communities. Create your own forum today.
Go to Next Page
« Previous Topic · Australian Property Forum · Next Topic »
Reply
  • Pages:
  • 1
  • 3



Australian Property Forum is an economics and finance forum dedicated to discussion of Australian and global real estate markets and macroeconomics, including house prices, housing affordability, and the likelihood of a property crash. Is there an Australian housing bubble? Will house prices crash, boom or stagnate? Is the Australian property market a pyramid scheme or Ponzi scheme? Can house prices really rise forever? These are the questions we address on Australian Property Forum, the premier real estate site for property bears, bulls, investors, and speculators. Members may also discuss matters related to finance, modern monetary theory (MMT), debt deflation, cryptocurrencies like Bitcoin Ethereum and Ripple, property investing, landlords, tenants, debt consolidation, reverse home equity loans, the housing shortage, negative gearing, capital gains tax, land tax and macro prudential regulation.

Forum Rules: The main forum may be used to discuss property, politics, economics and finance, precious metals, crypto currency, debt management, generational divides, climate change, sustainability, alternative energy, environmental topics, human rights or social justice issues, and other topics on a case by case basis. Topics unsuitable for the main forum may be discussed in the lounge. You agree you won't use this forum to post material that is illegal, private, defamatory, pornographic, excessively abusive or profane, threatening, or invasive of another forum member's privacy. Don't post NSFW content. Racist or ethnic slurs and homophobic comments aren't tolerated. Accusing forum members of serious crimes is not permitted. Accusations, attacks, abuse or threats, litigious or otherwise, directed against the forum or forum administrators aren't tolerated and will result in immediate suspension of your account for a number of days depending on the severity of the attack. No spamming or advertising in the main forum. Spamming includes repeating the same message over and over again within a short period of time. Don't post ALL CAPS thread titles. The Advertising and Promotion Subforum may be used to promote your Australian property related business or service. Active members of the forum who contribute regularly to main forum discussions may also include a link to their product or service in their signature block. Members are limited to one actively posting account each. A secondary account may be used solely for the purpose of maintaining a blog as long as that account no longer posts in threads. Any member who believes another member has violated these rules may report the offending post using the report button.

Australian Property Forum complies with ASIC Regulatory Guide 162 regarding Internet Discussion Sites. Australian Property Forum is not a provider of financial advice. Australian Property Forum does not in any way endorse the views and opinions of its members, nor does it vouch for for the accuracy or authenticity of their posts. It is not permitted for any Australian Property Forum member to post in the role of a licensed financial advisor or to post as the representative of a financial advisor. It is not permitted for Australian Property Forum members to ask for or offer specific buy, sell or hold recommendations on particular stocks, as a response to a request of this nature may be considered the provision of financial advice.

Views expressed on this forum are not representative of the forum owners. The forum owners are not liable or responsible for comments posted. Information posted does not constitute financial or legal advice. The forum owners accept no liability for information posted, nor for consequences of actions taken on the basis of that information. By visiting or using this forum, members and guests agree to be bound by the Zetaboards Terms of Use.

This site may contain copyright material (i.e. attributed snippets from online news reports), the use of which has not always been specifically authorized by the copyright owner. Such content is posted to advance understanding of environmental, political, human rights, economic, democratic, scientific, and social justice issues. This constitutes 'fair use' of such copyright material as provided for in section 107 of US Copyright Law. In accordance with Title 17 U.S.C. Section 107, the material on this site is distributed for research and educational purposes only. If you wish to use this material for purposes that go beyond 'fair use', you must obtain permission from the copyright owner. Such material is credited to the true owner or licensee. We will remove from the forum any such material upon the request of the owners of the copyright of said material, as we claim no credit for such material.

For more information go to Limitations on Exclusive Rights: Fair Use

Privacy Policy: Australian Property Forum uses third party advertising companies to serve ads when you visit our site. These third party advertising companies may collect and use information about your visits to Australian Property Forum as well as other web sites in order to provide advertisements about goods and services of interest to you. If you would like more information about this practice and to know your choices about not having this information used by these companies, click here: Google Advertising Privacy FAQ

Australian Property Forum is hosted by Zetaboards. Please refer also to the Zetaboards Privacy Policy