Australia housing bubble

[b0son]

Originally Posted by FTE217

Spending money today is all too damn easy but they are at their own peril.

Why would they see any point in saving? Term deposits under 1%, house prices skyrocketing, stagnant wages. Little wonder they've decided to live for today and to hell with mortgaging their life away.

Originally Posted by FTE217

hehe so true......
People can go on about its all too hard but I see it in my own kids @ 16/21/29 many times.

Spending money today is all too damn easy but they are at their own peril.

What's the point? Wages aren't increasing and they can't save faster than house prices are going up.

[slowsnake]

Originally Posted by b0son

Why would they see any point in saving? Term deposits under 1%, house prices skyrocketing, stagnant wages. Little wonder they've decided to live for today and to hell with mortgaging their life away.

Especially when Mummy and Daddy have spent their whole lives giving these airhead kids everything they didn't have!
Telling them to work hard and save, and you will be set for life
They don't have to, when the parents kick the bucket, they get the lot, or the crumbs, lol,

"Oh what a tangled Web we weave, when first we practice to decieve"

Originally Posted by slowsnake

Especially when Mummy and Daddy have spent their whole lives giving these airhead kids everything they didn't have!
Telling them to work hard and save, and you will be set for life
They don't have to, when the parents kick the bucket, they get the lot, or the crumbs, lol,

"Oh what a tangled Web we weave, when first we practice to decieve"

For pete's sake slowsnake, how about a little tact.

[hayseed]

Originally Posted by leesa

What's the point? Wages aren't increasing and they can't save faster than house prices are going up.

Starting a Share portfolio or Salary sacrificing into their Super would be far better than Pi$$ing it Up the Wall...!!

IMHO..

[Giant Cranium]

in 2014 we missed out on a semi in Annandale that sold for 1.2 million. the bloke who bought it wanted a place for his 2 kids to stay at whilst doing uni at sydney uni.

its back on the market with only a paint job for a 2.4 million guide. not bad at all, kids accommodation sorted and uni paid for and walk away with a million. now that's the way to do it...

[FairmontGS]

Originally Posted by Giant Cranium

in 2014 we missed out on a semi in Annandale that sold for 1.2 million. the bloke who bought it wanted a place for his 2 kids to stay at whilst doing uni at sydney uni.

its back on the market with only a paint job for a 2.4 million guide. not bad at all, kids accommodation sorted and uni paid for and walk away with a million. now that's the way to do it...

Dang, and its largely all tax free and into the super!


Sent from my iPad using Tapatalk

[b0son]

Originally Posted by hayseed

Starting a Share portfolio or Salary sacrificing into their Super would be far better than Pi$$ing it Up the Wall...!!

yes, but you dont get anything for that sacrifice for decades. would you have bought your family home on layby?

[Citroënbender]

How strong is the owner-builder scene in regional Victoria? Compared to parts of NSW there are undervalued (IMO) areas that could perform well if you’re handy. The VBA requirements don’t look onerous, but I have no idea of the premiums for balance of new home warranty.

[FTE217]

its all pretty subjective isn't it......
Some just stay in the mindset of never never and every negative under the sun.
Well so be it - we set our own paths - funnily those that stay in the same mindset are always the ones who keep bringing up the hardships/challenges that in the big picture every one faces in the beginning or till the rest of their lives.
Only the very small % are born with a silver spoon.

There is always someone tackling the challenges no matter the harder times and in time step up and keep their head down......whereas the latter do nothing but live day by day and justify their position, sure be happy with that.
We all have choices to change with the times, to better your outcome, it doesn't come to you we've all heard that......

Re kids due to slowsnakes generalised comment.
For every air headed kid brought up there are opposites always.
Those that get everything haven't been taught much but to take.

I quoted re our kids wasting $$'s through the mobile But at the same time they do so because they can.
Wife and I just see it as impulsive spending when in the big picture you really don't need to.
The tangled web we weave'd isn't through deception as that quote eludes to and I'm sure countless average parents are similar.
In the big picture you make your own mind up.
Live day to day or head down bum up that may or may not set you up for life but in general your peace of mind is better than the latter to some.

CB, Owner Builder is way to go to save alot of incurring costs as you'd know.
Win win, we have done so a few times instead of paying someone managing your work and buying items.

[T3rminator]

I think there are still plenty of affordable housing around. Problem is, many of the younguns just want everything all at once. A nice house, in an affluent area, with big back yard, close to the CBD, next to cafe strips, within walking distance of a train station etc.

If you jump on realestate.com.au there are plenty of sub 600k housing around within a 30km radius of the CBD. Except, they are not in the desirable areas of the 20s and 30s.

[Bossxr8]

Originally Posted by T3rminator

I think there are still plenty of affordable housing around. Problem is, many of the younguns just want everything all at once. A nice house, in an affluent area, with big back yard, close to the CBD, next to cafe strips, within walking distance of a train station etc.

If you jump on realestate.com.au there are plenty of sub 600k housing around within a 30km radius of the CBD. Except, they are not in the desirable areas of the 20s and 30s.

And a lot of people are taking the jump into regional areas to take advantage of the cheaper real estate and being able to work from home now. And in turn, it's driving the prices up in regional areas, well in excess of the price rises in the capital cities. Covid has also resulted in a lot of people just wanting to get the hell out of melbourne thanks to captain lockdown as well.

As I posted earlier, prices are up around 25% here in the last 12 months. Staggering. The demand is just off the charts, and a lot of it is coming from people trying to get the hell out of melbourne.

[PG2]

Originally Posted by Bossxr8

And a lot of people are taking the jump into regional areas to take advantage of the cheaper real estate and being able to work from home now. And in turn, it's driving the prices up in regional areas, well in excess of the price rises in the capital cities. Covid has also resulted in a lot of people just wanting to get the hell out of melbourne thanks to captain lockdown as well.

As I posted earlier, prices are up around 25% here in the last 12 months. Staggering. The demand is just off the charts, and a lot of it is coming from people trying to get the hell out of melbourne.

We bought 2 years ago in a regional/country area.

The acreage next door to us while slightly better than ours but same size house built on the same size block sold a couple of months ago for double what we paid for ours.

I was only talking to the new neighbours a few says ago. Yep, wanted out of the rat race and now that they car work from home...

[Bossxr8]

Originally Posted by PG2

We bought 2 years ago in a regional/country area.

The acreage next door to us while slightly better than ours but same size house built on the same size block sold a couple of months ago for double what we paid for ours.

I was only talking to the new neighbours a few says ago. Yep, wanted out of the rat race and now that they car work from home...

Seems like most of the people winning the auctions down here are people fleeing melbourne. Paying way way over the reserve too. In most cases 150-200k over the reserve, such is the demand.

We built our house at a perfect time, cause it's gone ballistic since then.

[Mulva]

Originally Posted by leesa

Deleted quote

Why can't it be both?

All those challenges you list that they are up against are true, so the fact that they **** money away on stuff they don't need and avo-on-toast does not help them meet those challenges. Those challenges you list are even more reason for them to live frugally - not just go "Others had it easier therefore someone needs to make it easier for me"

I'm not a boomer - gen X. Bought my first house 2004, average house price in Adelaide then was 7 times average salary. I built in a new housing estate in low socio-economic area as it was all I could afford. Sold my car to scrape together the deposit - we went back to one car (wife's) and I took bus and train into CBD to work. Wasn't where I wanted to live; was where I could afford to live. Didn't want to sell my car, but had to to get minimum deposit.

[Mulva]

Not suggesting it isn't harder these days, but what "sacrifices" have you made to try to get into the market. Foregoing avo on toast and other frivolous spending is not a sacrifice, that is logically the minimum any generation has had to do to get a deposit together.

What area and what price range are you looking to buy into?

[FTE217]

Like a boomerang leesa and expected from you

My own, what they do as mentioned re spending on the mobile is likely little in $$ compared to many others in the big picture but to me/wife we see it as wastage.
Saying its parenting ? turn it up.
I'll have to blame our parents gen we had to pay more than they did as well be it mortgage/fuel/bread/milk etc......
By the way many stayed home till mid late 20's in my gen, my brother late 20's.
Naturally that has grown today.
Pricing goes up always, never seen anything go down in all my years.
No sorry correction one example, being in the auto parts game many parts went down what we used to pay in the 80's.

Delusion, No matter the times, all the points you quote, you either sink, float or swim or its other gens fault

[Mulva]

Well I am sorry it is so hard for you to get into the market when you have no intention getting into the market...sucks when a task you have no intention of doing is difficult.

Also sucks that your own choices make it even harder for you to do what you have no intention of doing.

And if I was your employer I would have given you the option to work remotely long before the pandemic, I would have encouraged it.

[Mulva]

Wasn't that hard to go back to one car Leesa - is what needed to be done to reach my goal, so that made it an easy choice.

It is what was needed for me to get a house so I could make those mad gainz, keep others struggling, contribute to their mental illness and negatively affect their lives, all to satisfy my materialistic tendencies.

[slowsnake]

All this talk about housing costs gives me the ****s!
If you were born smart enough to chase your future job and the income that comes with it well good for you, but there are good honest decent people out there, who were not born with the smarts or the right upbringing, they still make a go of it, even those in the lowest paid menial jobs are never going to afford a house, flat, unit or duplex in any area because the big earners are buying them out of the market, oh but not to live there, but to rent it to the poor folk with menial low income jobs!

I know from my own family life and my dads struggles just to keep a roof over our heads, he had no chance of buying a house in the UK, but when we moved to Australia in December 1968, he suddenly found out he was entitled to a low interest housing loan, mainly due to his war service!
Other than that he could never save for a house deposit, sadly investors in bricks and mortar are the cause of this.
You used to buy a house to live in, now it's like the share market, it's bloody disgraceful and based on pure personal greed!

[Polyal]

Originally Posted by slowsnake

You used to buy a house to live in, now it's like the share market, it's bloody disgraceful and based on pure personal greed!

Mate you say some random stuff but this I agree with, its the lazy and selfish way to make some coin.

If people want to be financial hero's invest in shares, build a company and make some jobs dont bump the price of housing so it can be used as a tax incentive.

IMO its the countries biggest issue.

[FTE217]

Originally Posted by leesa

Deleted quote

complaining yes but its no game breaker, thats being a caring parent.
What they spend is up to them like any of us, we the parents are tight ****'s so you tell me where younger gen in general get their spending habits from ?
Mine as I said would be minimal compared to many but we have a right pulling them up be it 10 or 20bucks wasted.

Many struggle more so sacrifice getting your foot in the door, like Mulva selling his car, one step back 2 forward in time.
Our first home that we scratched our butts for to get in, in a area I didn't like but could just afford a c rap hole semi needing so much hands on renos wife happy with sheets as curtains/no this and that where in time you saw later gens as mentioned the greed, more debt have to fit out everything for no can't live without keep up with the Jones's, not living to their means and has got worse due to the many added circumstances mentioned.

Struggle - yes its getting worse - more population - more everything, world is going mad.
There was struggle before, what gen doesn't, homeless, don't you think there was mental health before, ofcourse there was......

I'm sure all have concerns whats going on.
Looks like its going to get worse.

Oh but hang on your also pi ssed with earlier gens who worked hard and prospered, seriously thats a joke and insult to anyone who tries to get somewhere and to those today getting somewhere.

[b0son]

Originally Posted by FTE217

its all pretty subjective isn't it......
Some just stay in the mindset of never never and every negative under the sun.
Well so be it - we set our own paths - funnily those that stay in the same mindset are always the ones who keep bringing up the hardships/challenges that in the big picture every one faces in the beginning or till the rest of their lives.
Only the very small % are born with a silver spoon.

It's easy to say this when you're from a generation that has been able to utilise the massive equity growth of the last 20 years. Houses have gone from 2-3x income to 5-6x income. It's free money. You can buy rental after rental without even putting down a deposit, to a point. Just wait for values to go up.

How does a first home buyer compete against that? And honestly, why should they? Is living in the burbs of Sydney worth $1million? Not even close.

[b0son]

Originally Posted by pottery beige

sage advice there

yep, just work harder*

*we'll ignore the fact that you're actually being asked to work more than twice as hard as previous generations to achieve the same thing

[pottery beige]

Originally Posted by b0son

yep, just work harder*

*we'll ignore the fact that you're actually being asked to work more than twice as hard as previous generations to achieve the same thing

*river cried

*waaaa waaaaa

*move buy something more affordable

[PG2]

The thread is closed for the night.

Everyone can go away and take a deep breath.

See ya all in the morning... maybe.

[PG2]

I will re-open the thread, however, if the insults continue the big stick is going to have to come out.

Another thing that seems to be creeping into threads is members having digs at people about things that are said in other threads within AFF. This also is to stop.

Also, this thread is about the housing 'bubble' (if there is such a thing). It is not about marriage breakups and who gets what in the property settlement.

To sum up...

Robust discussion is inevitable when you have so many personalities, however, these discussions are to remain on topic and without the insults or the moderation team and admin are going to have to keep intervening. If we have to keep intervening, some members are not going to be happy with the result.

Everyone, please play nice, us moderators don't want to have to intervene and quite frankly have better things to do with their time.

[Itsme]

Originally Posted by leesa

[DELETED QUOTE]

[EDITED] I'm calling people greedy for collecting investment properties. I'm just calling it out for what it is. You don't need investment properties. If you're going to for second or third property, just.... don't. You're actively taking that house from the hands of someone who wants to live and raise a family in it.
If the government won't step in to curb housing issues then perhaps a little social pressure will help.
If you need more money, learn a skill, get a second job, create something, buy shares, do something other than hoard a limited resource.

If people stop doing investment properties who is going to supply the rental properties? which will dramatically effect a lot of people.
Plenty of affordable housing for first home buyers, they should be buying in areas where it is affordable not looking at areas where prices are out of their reach or wanting to have everything straight away.

[Mulva]

Wasn't as easy buying and selling property back in 'the good old days' that some would have you believe...less than 2 minutes, good for a laugh: https://www.youtube.com/watch?v=QHtDJ7GnjQY

I can never embed these things *sigh*

[FairmontGS]

Originally Posted by Mulva

Wasn't as easy buying and selling property back in 'the good old days' that some would have you believe...less than 2 minutes, good for a laugh: https://www.youtube.com/watch?v=QHtDJ7GnjQY

I can never embed these things *sigh*

You just want this last bit of the URL

https://www.youtube.com/watch?v=QHtDJ7GnjQY

Click on the Red Youtube button in the Reply menu and paste that bit in.