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​Australian housing ‘severely unaffordable’

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Australian Broker | 30 Jan 2014, 04:00 AM Agree 0
A global housing affordability report has ranked Australian cities amongst the most unaffordable in the world.
  • MMS | 30 Jan 2014, 12:44 PM Agree 0
    Not interested really, its perhaps the price we pay for all the other things that make this the best country to live in , globally
  • GR | 30 Jan 2014, 10:47 PM Agree 0
    And what is that, MMS?

    Is it the nanny,statist policies? High price of finished goods? Perhaps its the 30% of GDP tax rates, or the death of manufacturing here?

    Maybe you are thinking of the high fuel costs and the vast distances anything has to travel? Maybe its the need to subsidize farming due to generally unfavorable growing conditions?

    Which one are you thinking of?
  • MMS | 31 Jan 2014, 10:18 AM Agree 0
    GR, feel free to emigrate at any stage that its all too hard for you to live in Australia
  • John Greer | 08 May 2014, 05:19 PM Agree 0
    As it has been stated on this site (I agree) , the extremely unaffordable prices for housing have been manipulated upward by state governments and surely by the real estate industry . Vested interest on both ends ? The govts must have sat down and calculated where the votes are at one stage .... And what revenue must surely be coming in with this driving up op prices . The real estate people ? Do I need to say anything ?

    Are these prices really good for Australia ? Ask the person , especially the 20-30 year olds that want to buy a home to live in . One of the basic necessities of life have been allowed to be speculated on and manipulated heavily.... To the extent that a large majority is struggling with mortgages and rent. Their living standards are severely reduced by just paying for their accommodation.
    So: people that bought 10-15-20 years ago now feel almost like real estate gurus, and wealthy because the the house is now worth ,say $950.000. They bought it in 1993 for 140.000. Good for them.
    They did not do anything though to make those bricks worth so much more. Other factors , including widespread greed and vested interest did the job for them.

    One would think the job and duty of a politician is to improve the lot of his/ her people/country. Permitting and in fact open manipulation of the price of a basic essential for life helping the Australian public? Only for a while.
    Then... After the politicians and real estate people of that time are long gone and wealthy.... The new generation finds crap flats for 500K, and that's the minimum for flats .....and houses in outer areas for 600K+ plus. They also find that their buying power has NOT increased nearly as much as housing.

    Some layers of society would tell us that it's a free market and too bad you haven't bought "when "it was cheap. Housing should never be so unaffordable that even the so called cheaper areas become unaffordable for a police person, nurse , bus average Aussie. Those people now if not already "flush with cash" will borrow on average $400.000 to get into the " market" .

    Is this all good ? Let it happen? It's a free market yes?
    It's a dog eat dog market for sure ....

    It's our own stupidity and greed as Australians that brought us to this point in our " lucky country "

    Good luck to us all... The real estate moguls and to the people of our lovely country that struggle to have a home to live in and also live .


  • John Greer | 09 May 2014, 08:44 AM Agree 0
    Oops, I left a savvy and entrepreneurial group out of the Property Boom-loop. The Property developer.
    They do provide a service, yes. At what cost though? Forever growing profits are imperative for the property developer. With our conditioning about money and money making one could say there is nothing wrong with making a profit. Unfortunately those never ending and forever growing profits will cost someone else... Namely the future generations. We don't seem to have a better system or the willingness and intent by which housing would be created and provided affordably.
    Housing has turned into a prestige item , to be talked about at parties.

    Politicians and developers are working together , and are in each others pockets in this game of real estate , and each side doing their best to keep the hype, and the "boom "alive as long as possible. A donation here and a quick development approval there... Easy.
    The intent is to make as much money as possible . The other side of the coin : The lucky country is " lucky no more " for more and more Australians.
    We are blinded by the dollar signs when our veryfriendly real estate agent informs us how much our property is $ That blindness is making us put ethics and good intent aside en mass ... Rents double and triple in 3 years for a lot of people. Why? Because the landlord can. .....

    You get the picture.

    Is this all good and fair?

    Thanks for reading
  • Papery | 09 May 2014, 10:30 AM Agree 0
    Well said, John!
  • vlad | 26 Jun 2014, 11:22 AM Agree 0
    Comparison of affordability of Sydney (9.0) and Melbourne (8.4) is incorrect. Sydney housing prices are around 1million+ even for a crappy house really far from the city 35 kms+, and inner city even more. While Melbourne does have very expensive houses in the inner city close to 1million, if you go 20kms west of city you can buy brand new house for around 300k . The travel time to work is much less in melbourne around 30 minutes, while some people in sydney travel up to 2hrs to get to work. If sydney unaffordability is 9.0 I would say melbourne is 3.0. I think that would be more accurate!
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