Did you know that the median price of a house in Dallas is now above the pre-gfc peak?
Well it would be considering they did not have a bubble and prices are rising probably with inflation as it should work in a stable market prices are still low and affordable. My point is that there is no reason we couldn't have that here.
Yes but there is also no reason why we couldn't have the San Francisco situation here as well. If we want to cherry pick we could have anything, but what we have is what we have and no amount of dreaming will change that.
It's nice to be idealistic, but the question for people who want to buy now is do the goverments at all three levels of federal, state, and local have the will and fortitude to make radical changes that will create a housing crash that will hurt most of their constituents and threaten their own income streams or not, and my guess would be - probably not.
That's the cold hard reality of life beating at your door. You mightn't like it but somehow you have to make it work for you because it's not going to go away anytime soon. So what is your best tactic - it might be renting and investing in something else, or you might do what you don't want to do and buy a house. Whatever you do don't be tempted into blowing your savings, make sure they are directed into a productive asset, which could be almost anything. There are many investments out there - some good some bad.
Any expressed market opinion is my own and is not to be taken as financial advice
The only thing keeping property humming along at a stable rate at the moment is international investment, resulting in the theft of a basic staple of Australian aspirationalism from the younger generation.
The sense of self entitlement is staggering. If someone wants to pay money for something that you are not willing to pay money for, its theft?
I put trolls and time wasters on my ignore list so if I don't respond to you, you are probably on it ....
Is that single median income or household income? There is a big difference and by changing it to household income it is shifting measures big time?
I was addressing your claim that Australian housing was expensive by global standards. It makes no difference whether we use household income, single income, disposable income or whatever, as long as the same measure is used for each country.
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As countries like Spain and Greece have high unemployment it will impact their median income.
I'm not sure what your point is?
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It means singles are largely priced out?
It doesn't mean singles are 'priced out', but it does mean they need to accept a smaller house in a less desirable area than a couple could afford. Of course it will be harder for a single income to afford a home that it is for a dual income - this has always been the case, everywhere. How could it be otherwise?
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It does not reflect peoples behaviour changes that have had to lead to the extra household income to pay the mortgage such as both parents having to work, less time with family, more hours per week stuck in traffic or travelling. Having to live further from cities and friends? Getting a older worse house? High childcare costs? It would be nice if there were more 3 by 2 options available so people are not forced to by such big houses.
In the major cities of most other developed countries there are very few freestanding houses available at all. In HK, Singapore, New York, London etc. most people live in units or terraces. These options are also available in Australia, but we're pretty lucky here that most people can actually still afford freestanding houses in reasonable locations. Try buying a freestanding house in Hong Kong or Singapore or London. It's practically impossible unless you're mega-rich.
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It seems people like Skamy measuring affordability only using % of income per week used to pay mortgage do not take into account all these INCREASED stresses. Does not seem to take into account duration of mortgage either which is kinda important. Looking at actual dollars is only one dide of the coin.
Surely these stresses would be at least as great, if not greater, in all the other countries (the majority of countries in fact) around the world where housing is not only more expensive on a price/income basis, but also more cramped.
You have been sold a fantasy tale about the property market , you have made wild claims about the previous generations having all the opportunities, and about huge debt burdens. I have simply shown you that these claims are wrong full stop.
I have often raised the issue of affordability and possible solutions for low income earners but I have no time at all for greedy gulpin spoilt brats who want a big house in a great location at the expense of the previous generations retirement savings. Young people in this country have great opportunities at the moment, they should be out making the most of them not sitting at home whinging they cannot afford to buy Mum and Dads house. If I had done that I would have missed out on all the growth of Coogee which was a lot daggier when we bought there.
You talk about Dallas as if it was some kind of Utopia for home ownership it is not it is a very very unequal society with mansions and ranches and slums. They have no decent healthcare and a sick child can bankrupt a person. Australia is much more egalitarian and workers like tradies get a decent wage and can afford better homes. I would never swap life here for the American way,never.
The problem is that some of today's young people are refusing to accept their place in the growth of their city, we have all had to move further out and accept less land since the arrival of the first fleet and this generation has to do the same thing and the majority are doing that. But a vocal few are crying like stuck pigs,they are on a hiding to nowhere,their friends will laugh at them behind their backs when they are finding the rent money does not stretch to the home they wanna live in anymore.
All investors do is put a floor under prices, if you guys stopped paying off their mortgages for them they would not be so keen to buy homes to rent to you.
Hi Skamy
You are saying any young people who can't afford a house but could of comparitively 10 years ago are all wingers? You never have facts to back up your statements?
Are people who want a starter home in a suburb within 1/2 hour of city without paying 40-50% of there weekly income on a mortgage spoilt brats? How so?
How is land 4-5 times the average wage a bargain or cheap? This land would cost 60k in Texas? Why is this? show me some facts? No one is saying they necesary want to live there. They fact is they have a recipe for cheap land and therefore houses which refutes your facts and shows it can be done.
Why if we point out facts are we whinging? You have still not answered why in cities like Houston which have grown, houses have not increased like here? Why they are largely less than half the price while people are only earning 10-20% less there?
We are not keen to pay off investors mortgages, people cannot afford homes they have no choice but to rent off investors? If houses we affordable people would not be doing this but buying their own its a no brainer.
But of couse you think anyone can afford a house and we are all spoilt and wingers and it is our own fault.
Is that single median income or household income? There is a big difference and by changing it to household income it is shifting measures big time?
As countries like Spain and Greece have high unemployment it will impact their median income.
It means singles are largely priced out? It does not reflect peoples behaviour changes that have had to lead to the extra household income to pay the mortgage such as both parents having to work, less time with family, more hours per week stuck in traffic or travelling. Having to live further from cities and friends? Getting a older worse house? High childcare costs? It would be nice if there were more 3 by 2 options available so people are not forced to by such big houses.
It seems people like Skamy measuring affordability only using % of income per week used to pay mortgage do not take into account all these INCREASED stresses. Does not seem to take into account duration of mortgage either which is kinda important. Looking at actual dollars is only one dide of the coin.
Spain and Greece are still more expensive than Australia using price to income (Madrid(13.18), Athens(12.34), Sydney (8.96)) or price to rent (Madrid(25.26), Athens(28.03), Sydney (19.85)) even after their property price crash.
Guest, I am so glad you have come to APF, someone has been selling you some huge porkie pies. At least now you can check some stuff out for yourself, and make decent decisions for yourself based on truthful information. Don't let some internet charlatans sell you a pile of self righteous garbage that has the ability to seriously damage your own financial future.
The truth is that Australian cities are just growing in the same old boring way, the only difference is where we are in the cycle.
Definition of a doom and gloomer from 1993 The last camp is made up of the doom-and-gloomers. Their slogan is "it's the end of the world as we know it". Right now they are convinced that debt is the evil responsible for all our economic woes and must be eliminated at all cost. Many doom-and-gloomers believe that unprecedented debt levels mean that we are on the precipice of a worse crisis than the Great Depression. The doom-and-gloomers hang on the latest series of negative economic data.
You are saying any young people who can't afford a house but could of comparitively 10 years ago are all wingers? You never have facts to back up your statements?
Are people who want a starter home in a suburb within 1/2 hour of city without paying 40-50% of there weekly income on a mortgage spoilt brats? How so?
How is land 4-5 times the average wage a bargain or cheap? This land would cost 60k in Texas? Why is this? show me some facts? No one is saying they necesary want to live there. They fact is they have a recipe for cheap land and therefore houses which refutes your facts and shows it can be done.
Why if we point out facts are we whinging? You have still not answered why in cities like Houston which have grown, houses have not increased like here? Why they are largely less than half the price while people are only earning 10-20% less there?
We are not keen to pay off investors mortgages, people cannot afford homes they have no choice but to rent off investors? If houses we affordable people would not be doing this but buying their own its a no brainer.
But of couse you think anyone can afford a house and we are all spoilt and wingers and it is our own fault.
You also need to look at geography. Texas or the entire US south and mid west is one of the most productive agriculture lands on the planet. It has plenty of wide open spaces in which land can be easily brought to market. Ask yourself why are prices cheaper in the US south then those of the American north east, I notice you don't use New York or other large cities.
Sydney is surrounded by mountains and national parks, limiting land. Mountains and hills add enormous cost to development and infrastructure. In Perth you can buy land for $120 to $130,000 in the metro area but it is not the prime locations but it is a start. For another $130 to $150,000 you can build a decent 4x2.
It is well proven that 40% of housing cost is comprised of state and federal taxes. It is a cash cow for Govt. want cheaper prices, demand no tax on housing and see what response you get.
The sense of self entitlement is staggering. If someone wants to pay money for something that you are not willing to pay money for, its theft?
No. What is staggering is your self entitlement, and your infantile abuse in order to justify it.
stinkbug omosessuale Frank Castle is a liar and a criminal. He will often deliberately take people out of context and use straw man arguments. Frank finally and unintentionally gives it up and admits he got where he is, primarily via dumb luck! See here Property will be 50-70% off by 2016.
No. What is staggering is your self entitlement, and your infantile abuse in order to justify it.
Ignore posts by The Whole Truth · View Post · End Ignoring The forum fuckwit goes RRRAAARRRGGHHhhh - But not a fuck was given..................by anyone.
Yes but there is also no reason why we couldn't have the San Francisco situation here as well. If we want to cherry pick we could have anything, but what we have is what we have and no amount of dreaming will change that.
It's nice to be idealistic, but the question for people who want to buy now is do the goverments at all three levels of federal, state, and local have the will and fortitude to make radical changes that will create a housing crash that will hurt most of their constituents and threaten their own income streams or not, and my guess would be - probably not.
That's the cold hard reality of life beating at your door. You mightn't like it but somehow you have to make it work for you because it's not going to go away anytime soon. So what is your best tactic - it might be renting and investing in something else, or you might do what you don't want to do and buy a house. Whatever you do don't be tempted into blowing your savings, make sure they are directed into a productive asset, which could be almost anything. There are many investments out there - some good some bad.
Yes that is true. But why not a slow melt. It is frustrating and depressing for a lot of people to see their life time of saving for a deposit disappear as houses rise by more than their savings in 1 or 2 years. Do you buy a crappy house in a shit suburb send your kids to shit school in the middle of nowhere to hang out with dodgy people with a big commute to work just to get on the housing ladder? You watch your 20% deposit disappear and then have to pay mortgage insurance. Thats what a lot of young people face and they are thinking it is just not worth it, will quality of life ever catch up with a decision like that.
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