Australia housing bubble

Originally Posted by asagaai

But- If you enjoy your career-you should try to think laterally about buying something that you can get that has good capital growth- it may not be new, pretty, in a desirable location, but something to get a toe in the market in an area that is feasible to get to your work from.

I can't pay rent and save for a deposit at the same time. It seems doable for people who can save while they live with their parents but that's not an option for me. That's just the way it is for people who were too young to buy before the boom unfortunately.

Re: the career, I've spent the past couple of years moving sideways into an area that has more hope for being able to work remotely. If it works I'll at least be able to move away from the city and rent somewhere that offers a better lifestyle. If it doesn't and I can't find remote work, oh well, it's not my top priority.

Just beware throwing away your career and moving to the country and then getting an unrewarding job and suddenly ending up full of regrets.

I love what I do but I don't think anyone lies in their deathbed feeling satisfied by what they did to earn a coin. I hate the city and don't want to spend the rest of my life here, and that outweighs how I feel about my job.

Originally Posted by zilo

anyway...

(a) you need a partner to share a mortgage with (it halves the numbers)

I can think of two capital cities that you can buy a house for under 300k right now.

So that I can be judged on how I look, as was demonstrated earlier? Yeah, no thanks.
Besides, I'd never buy property with another person. Not to mention the amount of women that have kids, give up their own job to raise them and let hubby continue progressing in his only to have the rug ripped out from their feet and dumped out on their *** when hubby decides he has all the leverage and wants something else in life? I'll take a hard pass on all of that.

[Mulva]

Bit off topic, but you'll probably find some blokes on here that dispute hubby has all the leverage over wife when there are kids involved - and they'd be talking from first-hand experience - but like I said, bit off topic.

Originally Posted by Mulva

Bit off topic, but you'll probably find some blokes on here that dispute hubby has all the leverage over wife when there are kids involved - and they'd be talking from first-hand experience - but like I said, bit off topic.

yes you're probably right, it is heading off-topic. I'm sure whoever ends up with custody fares better in divorce proceedings but everyone's lives are destroyed by then.

Assuming for a second it's the mum who has been staying home to raise the kids, men still have/find employment and can still support themselves afterwards. The break to the mum's career is often disastrous and then they face real documented discrimination trying to find work as a single mother, often they don't find work at all.

Whoever stays at home.. whether mum or dad... is taking a massive risk should it not work out. Whoever still has their career is the one who has a lifeline for worst case scenario. The other person is ultimately left relying on them to do the right thing and we all know how often that doesn't happen. There are plenty of men (and probably women) who take advantage of that "leverage" and abuse their position, is what I meant. I'm just not letting myself ever get into that position.

[Mulva]

So you'll never allow yourself to love and be loved because one day it might be all over?

Sounds like you should never drive because one day you might have an accident.

[Poetic Justice]

Originally Posted by leesa

Besides, I'd never buy property with another person. Not to mention the amount of women that have kids, give up their own job to raise them and let hubby continue progressing in his only to have the rug ripped out from their feet and dumped out on their *** when hubby decides he has all the leverage and wants something else in life? I'll take a hard pass on all of that.

It seems that to have a real crack at it with the housing market you need a dual income. Whether that is okay with anyone is up to them but unfortunately it seems that this is the only way you can do it easily without either having an incredible income, working 2-3 jobs or going away from high value property.

I'm not convinced that one should have a view on life that getting married or de facto will only end in a partner changing their minds and moving on. A lot of women choose to stay at home with kids but are not necessarily forced and moving back to my original point a dual income is likely needed if you want to build value in your property or properties. I have been the sole income earner pretty well for the past 3 years as we have had kids and wife has only now just gone back to earning money because she wants to. It's certainly not a control thing but we all agree that while we are together, or living life, we need to do what we can to progress.

You say that saving a deposit while paying rent is not achievable - but what time frame are you working on? Perhaps you could 'rent-vest' purchasing a property in a cheaper area that can build equity to allow you to eventually buy closer in - the rentvest property requiring a smaller purchase deposit etc.

..there are also banks that will allow you to build a home with as small as 2-3% deposit now too - perhaps a housing development could allow you to get in?

[Poetic Justice]

Also; on the subject of the 25k home builders grant so long as we can get finance approved we'll be taking it up - being approximately this amount short of the deposit required to build a home we're interested which is a nice thing after losing 200k+ equity in a home we built a couple of years ago due to a failed business.

Can't see how many people within the income bracket would be able to work in the renovation etc also.

[Mulva]

It would be great if you could use a limited portion (like 10%) of your super as security for a mortgage (security rather than deposit)...but just can't see how to make that workable.

That bit of super used as security would stay invested in your super (and hopefully earning). If all goes well you pay off the full mortgage over time and the security over that bit of super is then removed (so that bit of super is then properly 'yours' when you retire). But if you default on the mortgage and there is a forced sale that does not cover the outstanding, then the bank gets that bit of your super that was security for the loan (up to the amount of the shortfall).

You limit it so that worst someone can do is 10% of their super (or limit it to less - limited so you can't do your nuts). And it is a one-off - you never get a second chance to blow a further 10%.

There would be those that do end up losing their place (losing their 10% super); but I'd reckon there would be so many more that would get into the market with that extra security and make good of it to never have it called in.

But like I said, probably lots of issues that make this unworkable, or the possibility of people losing a set amount of super is unpalatable. I've heard that if you have a mortgage and run into difficulty you can get some of your super then, but I think you lose something like 30% in fees/penalties and 30% in tax, so you only get roughly $1 out of every $3 they let you get from your super - whereas if you put up some of your super as security and lose it then you really got $1 for $1. Maybe that is the biggest issue - Govco would not get their $1 for every $3 of yours?

Rambling

[blueoval]

We fall within the criteria of the grant thankfully and are in the process of designing another house. I guess I am fortunate enough to be DINK (dual income no kids) and be able to capitalize on grants like this.

I really feel for those who are going to struggle to meet the criteria and still try and own their own home.

It's definitely not easy but it isn't impossible.

[guzzis3]

Originally Posted by Polyal

OK some interesting news to come out to help the housing industry. Great, more tax payer money going into capital to help home owners FFS.

I get tradies will pick some work up but seriously what other industry gets so many hand outs?

Personally I wont be eligible due to the proposed income brackets, so we will continue our middle class slug to prop the industry up and not get our new deck....

https://www.abc.net.au/news/2020-06-...s-25k/12317786

I would and could but the real effect of these government handouts is that every vacant block of land has just gone up $25k and every builder's quote just increased by the same amount. Happens every time they do a first home owners or building industry thing.

It's not economic stimulus it's pork barreling and posturing. I thought if it looked good enough I might renovate my place but the numbers won't fly so I won't be bothering.

Originally Posted by Mulva

So you'll never allow yourself to love and be loved because one day it might be all over?

Sounds like you should never drive because one day you might have an accident.

A lot of blokes from my generation saw what happened to their fathers and friends and swore off marriage, myself included. The family law courts have a lot to answer for. I've had plenty of girlfriends but none cohabited.

[Franco Cozzo]

Yeah same deal with me, no relationship so single income kinda limited to $300K because my skills aren't real valuable to society even though I'm on $10K PA above my equivalents in the same industry and role

Simple man though, just want to get something basic and smash the mortgage.

[Mulva]

Originally Posted by Franco Cozzo

...just want to get something basic and smash the mortgage.

Wait, what? I was told you young'uns only smash avocado??

[Bossxr8]

Originally Posted by Polyal

OK some interesting news to come out to help the housing industry. Great, more tax payer money going into capital to help home owners FFS.

I get tradies will pick some work up but seriously what other industry gets so many hand outs?

Personally I wont be eligible due to the proposed income brackets, so we will continue our middle class slug to prop the industry up and not get our new deck....

https://www.abc.net.au/news/2020-06-...s-25k/12317786

Who the hell has 150k to put into a reno? What a worthless program.

[Franco Cozzo]

Originally Posted by Mulva

Wait, what? I was told you young'uns only smash avocado??

I would never eat green vegetables

[Franco Cozzo]

Originally Posted by Bossxr8

Who the hell has 150k to put into a reno? What a worthless program.

Middle class welfare

[raised by monkeys]

Originally Posted by Polyal

OK some interesting news to come out to help the housing industry. Great, more tax payer money going into capital to help home owners FFS.

I get tradies will pick some work up but seriously what other industry gets so many hand outs?

Personally I wont be eligible due to the proposed income brackets, so we will continue our middle class slug to prop the industry up and not get our new deck....

https://www.abc.net.au/news/2020-06-...s-25k/12317786

The way I saw it is saturated real estate market means more affordable rent and less people reliant on public housing.

[raised by monkeys]

Originally Posted by Mulva

Bit off topic, but you'll probably find some blokes on here that dispute hubby has all the leverage over wife when there are kids involved - and they'd be talking from first-hand experience - but like I said, bit off topic.

Agreed. If my relationship went south in the interest of maintaining contact with my boy id give it all away.

[Yellow_Festiva]

Originally Posted by leesa

Besides, I'd never buy property with another person. Not to mention the amount of women that have kids, give up their own job to raise them and let hubby continue progressing in his only to have the rug ripped out from their feet and dumped out on their *** when hubby decides he has all the leverage and wants something else in life? I'll take a hard pass on all of that.

You really have no clue how the family law courts work.

Here's a tip. You can't buy a property, no worries.

Get married to someone with $$ or property. Pop out a kid then get divorced.

You'll get your place within 5 years.



Sent from my LG-M700 using Tapatalk

[Yellow_Festiva]

Originally Posted by leesa

Whoever stays at home.. whether mum or dad... is taking a massive risk should it not work out. Whoever still has their career is the one who has a lifeline for worst case scenario. The other person is ultimately left relying on them to do the right thing and we all know how often that doesn't happen. There are plenty of men (and probably women) who take advantage of that "leverage" and abuse their position, is what I meant. I'm just not letting myself ever get into that position.

Your stupidity is getting offensive and you are talking out of your rectum.

Whoever goes to work is taking all the risk.

Look at what is offered regarding maternity leave compared to paternity leave.

Then you will realise that it's mostly woman staying home by default.

With that they have all the leverage.

You have no Bloody clue what your on about, go speak to some of your male friends that have gone through divorce and 'family' court.

That's if you have any male friend alive after going through the wringer and left out to dry after the bias judges and vindictive, power tripping entitled female is finished with them.

The male suicide rate is like 6 times that is women. Must be all that leverage they have.

Sorry for the rant, but I can't let that absolute BS go unanswered.

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[Yellow_Festiva]

Originally Posted by Bossxr8

Who the hell has 150k to put into a reno? What a worthless program.

Not really, if you have the income to extend your loan for an extension banks will be happy to lend if the numbers stack up.

I was going to sell up and downsize to something ready to go.

I'm considering now buying something cheaper and totally gutting it or doing an extension / second story to end up with something more to my liking using the renovation grant.

Sent from my LG-M700 using Tapatalk

[nstg8a]

I was hoping it would be a grant that would help me build my shed or carport.

Alas the govt doesn’t want me to have more room for toys.


Sent from my iPhone using Tapatalk

[Mulva]

Given this is for owner/occupiers only, if you use the grant to do extensive renno's, how long do you then have to live in it before you can sell or move out to rent it?

I just can't see many that will get this grant for renno's...it's basically a New/Build Home grant.

[Citroënbender]

How long do you have to pretend, you mean?

[Yellow_Festiva]

Originally Posted by Mulva

Given this is for owner/occupiers only, if you use the grant to do extensive renno's, how long do you then have to live in it before you can sell or move out to rent it?

Good question actually.

Wouldn't mind knowing that.

Quite easy to get around the renting problem, lots of people are a bit creative with the paperwork if it saves them $$.

Having said that the government still wins at sale time due to stamp duty.

Or is that also on hold? So hard to keep up!

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Originally Posted by Yellow_Festiva

Your stupidity is getting offensive and you are talking out of your rectum.

Whoever goes to work is taking all the risk.

Look at what is offered regarding maternity leave compared to paternity leave.

Then you will realise that it's mostly woman staying home by default.

With that they have all the leverage.

You have no Bloody clue what your on about, go speak to some of your male friends that have gone through divorce and 'family' court.

That's if you have any male friend alive after going through the wringer and left out to dry after the bias judges and vindictive, power tripping entitled female is finished with them.

The male suicide rate is like 6 times that is women. Must be all that leverage they have.

Sorry for the rant, but I can't let that absolute BS go unanswered.

Sent from my LG-M700 using Tapatalk

Settle down, don't take your misogyny out on me.

By the way... more women attempt suicide than men. It's just that men use more lethal means and so they succeed in greater numbers. Seeing as you seem to want to turn this into some sort of competition?

[MercuryT]

Settlement on my house (fingers crossed) goes through tomorrow.

Excited about the future.

[FPV8U]

Originally Posted by MercuryT

Settlement on my house (fingers crossed) goes through tomorrow.

Excited about the future.

Congratulations!

We are in the process of our first new home build, this Homebuilder package couldn’t have fallen at a better time for us having just received our final costings prior to contract.

I think they have set the number a bit high on the renovation side to make sense, especially in rural areas,, but there no doubting that it will be a massive help for us, might even give us the nudge to start a little earlier than our previously planned September.

[Yellow_Festiva]

Originally Posted by leesa

Settle down, don't take your misogyny out on me.



By the way... more women attempt suicide than men. It's just that men use more lethal means and so they succeed in greater numbers. Seeing as you seem to want to turn this into some sort of competition?

Oh believe me I'm settled, I'm relaxing in bed with dinner and a red wine.

It's not a competition, it's reality.

Can you provide any evidence regarding female attempted suicide?

Let's get back on topic because this is about housing.

You said you can't rent and save a deposit?

Tell me why?

How is it that I was dragged through family court for 3 years, paying legal fees of $10k a month while paying $4k a month in mortgage while also having to find the money to live and eat?

Sacrifice..... It's a word I learnt the meaning of real fast, not that I didn't know that word before.

If I was able to work 5 jobs to cover that and still come out smiling what is stopping you??

If you want something bad enough you will do anything to achieve it.

Anything... I even raided recycling bins at 2am to get my 10c a bottle. And I'm not ashamed in the least to say so.

Sorry for coming on heavy on you, you perhaps calling you stupid was wrong, missguided?

If you are in Sydney I'll buy you lunch, explain the reality of the family courts and give you strategies and inspiration to buy your first place.

Regards,

Jason

Sent from my LG-M700 using Tapatalk

[Franco Cozzo]

Originally Posted by nstg8a

I was hoping it would be a grant that would help me build my shed or carport.

Alas the govt doesn’t want me to have more room for toys.


Sent from my iPhone using Tapatalk

Just do my trick, I can fit 5 cars in our front garden

[Franco Cozzo]

Whats it cost to build a basic house, I'm not sure if buy 30 year old home or build the Kia Picanto of homes at the cheapest price point

There's land sub $120K in Heathcote here in Vic, its a bit of a drive to Melbourne but its doable - does $200K build the Kia Picanto of houses these days? Just needs NBN, a split system A/C and I'll happily have polished concrete floors, a parts wash bin for a sink, chuck a BBQ in the middle of the kitchen which will do the job and we can put a garage door on the front bedroom and park a car in the house because the actual garage will be the wog pantry

[MercuryT]

Originally Posted by FPV8U

Congratulations!

We are in the process of our first new home build, this Homebuilder package couldn’t have fallen at a better time for us having just received our final costings prior to contract.

I think they have set the number a bit high on the renovation side to make sense, especially in rural areas,, but there no doubting that it will be a massive help for us, might even give us the nudge to start a little earlier than our previously planned September.

Cheers. I'm selling so it's not as exciting as yours but for me a fresh start and much needed reset (moving back to parents) - then buy again hopefully.

Yes that's awesome timing for you! Bet can't happen quick enough! I might consider building down the track too.

With regard to renovation package yeah I don't know enough to know if too much like most are saying but it's better than nothing that's for sure for the industry.....