A Storm is Brewing for the Australian Economy and Housing Bubble; Ignore the thunder, get washed away in the rain. Troubling combination of factors that cannot be ignored.
Tweet Topic Started: 23 Jan 2013, 05:47 AM (23,237 Views)
(note... eligible for $7K FHBG and no stamp duty payable)
Now I'll wait for the excuses... 'but but but they would have to share, they would have to save a deposit, they would have to make sacrifices, that's not a desirable suburb, they deserve a freestanding 6-bedroom mansion in Peppermint Grove, oh the humanity!'
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BTW, public housing is full of people who cant work. they pay 25-30% of whatever pension payment they get from the State.
So they get free accommodation then, plus 65-70% extra free income on top, for not working? Seems they are well looked after.
Housing is not a right. If you think it is, then please provide evidence showing this to be the case.
Yes. housing is not a right.......sorry, confusing that crazy assumption with the god given right of property infestors to leach off the tax payers and earn thousands of dollars doing diddly squat. My bad.
(note... eligible for $7K FHBG and no stamp duty payable)
Now I'll wait for the excuses... 'but but but they would have to share, they would have to save a deposit, they would have to make sacrifices, that's not a desirable suburb, they deserve a freestanding 6-bedroom mansion in Peppermint Grove, oh the humanity!'
So they get free accommodation then, plus 65-70% extra free income on top, for not working? Seems they are well looked after.
Right, because someone on minimum wage struggling to pay rent has a $50,000 sitting in their bank account......
My bet is someone on minimum wage would be flat out having even $10k in their bank account, so lets take your 250k property and reapply a much more likely scenario of 240k mortgage which equates to $408 per week, plus rates, plus insurance, plus any reasonable repairs....
After a bubble has burst, no one denies that it existed. But before it does, the popular refrain is that though bubbles existed elsewhere in the world, “there’s no bubble here”. So housing bubbles are admitted to have existed in Japan, the USA, Spain and Ireland – because they’ve already burst.
Yes. housing is not a right.......sorry, confusing that crazy assumption with the god given right of property infestors to leach off the tax payers and earn thousands of dollars doing diddly squat. My bad. Right, because someone on minimum wage struggling to pay rent has a $50,000 sitting in their bank account......
Catweasel say it a wonder about average mouse with the mortgage, super size or not, what a cash amount sit in mouse bank account?
50 the K?
So much the data on mouse house and price level, but how much a cash the savings do mouse actually have?
They wouldn't need that much. $43K for a 20% deposit, or $18K for a 10% desposit (remember, they are eligible for a $7K grant).
I know you would, but you shouldn't project your lack of financial discipline onto everyone else.
At 5.39% IO fixed for three years, $240,000 would equate to $249 per week.
Yup, AREPS man, AAAAAAREPS to the max!
Keep blowing to keep the bubble going?
43k for a 20% deposit? 7k would be eaten by stamp duty and legals, so in reality you probably need more then even the original 50k. And my calculation of weekly mortgage repayments is not based on "emergency low" interest rates, combined with interest only repyaments, rather a more likely averaged 7.5% fixed at 5-10 years, because the average minimum wager is going to need some kind of longer term stability when planning their finances.
You can try cut it any way you want, a minimum wage earner cannot afford even the "affordable" dumps in the Australian Real Estate Ponzi Scheme market.
After a bubble has burst, no one denies that it existed. But before it does, the popular refrain is that though bubbles existed elsewhere in the world, “there’s no bubble here”. So housing bubbles are admitted to have existed in Japan, the USA, Spain and Ireland – because they’ve already burst.
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