Society/Culture Australian Property Prices to Crash?

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HirdsTheWord

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Jun 19, 2014
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The last few pages? Welcome to planet earth, i hope you enjoy your stay. Just a tip - while you're here people are going to try to take advantage of you.

It creates jobs and funds people's retirement. I guess those people can be unemployed and live off a pension, not sure how that helps society?
not sure that's a good enough argument to keep letting house prices sore.....id say the negatives outweigh the positives.

There will always be jobs in the housing sector to keep up with population growth......
 

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Deliverance

Brownlow Medallist
Jun 19, 2011
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They're a disgrace those towers. Remnants of a bygone era. We should be building much better considering how many Aussies need social housing.
 

Rad Roo

Premiership Player
Suspended
Aug 2, 2017
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Lol, not likely, the gov will flood the market with free money to keep the majority afloat.
Property owners are the king.
 

Scotland

TheBrownDog
May 5, 2006
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There will always be affordable housing, just not the size and in the place you want.
Hasn't that always been the case? Unless you are Jeff Bezos then everyone can afford something slightly better.

The point of conjecture is that it wasn't that long ago you could be a school teacher or something and afford a 3 bedroom home in a decent suburb and have a family. If you were a lawyer you could afford a home in a better suburb. Etc.

Now there's an artificial floor propping up everything. If you are a school teacher you can now afford a small unit, or if you want to have a family you have to move further out. If you are a lawyer you can afford what the teacher used to buy. What the lawyer used to buy now takes two full time professional salaries at least. If this continues then in another generation you will need to be in a high earning job just to afford a unit. And then the next generation? Do we just start paying everyone $200k a year?

The ridiculous thing about our property market is the percentage of people who live in and own houses they can't actually afford. I'm not talking about people who bought a basic 3x1, paid it off then upgraded to a 4x2 etc. I'm talking about people who bought a house for $300k that is now worth $1m.
 

Frank Grimes

Premiership Player
May 8, 2007
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The ridiculous thing about our property market is the percentage of people who live in and own houses they can't actually afford. I'm not talking about people who bought a basic 3x1, paid it off then upgraded to a 4x2 etc. I'm talking about people who bought a house for $300k that is now worth $1m.
Though it is more magnified than in the past, that is not recent phenomenon. It's been happening for a good 50 years.

My parents bought their house in the mid-late 1960's for $12k~14k. When I turned 20 at the turn of the century (2000) their house would have been worth around $250,000, approx 20 times what it was paid for.

Now it would be valued around 800k+.
 
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FRUMPY

Brownlow Medallist
Aug 18, 2006
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Now there's an artificial floor propping up everything. If you are a school teacher you can now afford a small unit, or if you want to have a family you have to move further out.
My grandparents grew up in Northcote, my folks bought in Hurstbridge because they couldn't afford Northcote, we bought another 20 mins out because we couldn't afford the Hurstbridge area....it's been happening for 50 years FFS.

Sent from my CPH2005 using Tapatalk
 

Bombermania

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Dec 18, 2007
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Hasn't that always been the case? Unless you are Jeff Bezos then everyone can afford something slightly better.

The point of conjecture is that it wasn't that long ago you could be a school teacher or something and afford a 3 bedroom home in a decent suburb and have a family. If you were a lawyer you could afford a home in a better suburb. Etc.

Now there's an artificial floor propping up everything. If you are a school teacher you can now afford a small unit, or if you want to have a family you have to move further out. If you are a lawyer you can afford what the teacher used to buy. What the lawyer used to buy now takes two full time professional salaries at least. If this continues then in another generation you will need to be in a high earning job just to afford a unit. And then the next generation? Do we just start paying everyone $200k a year?

The ridiculous thing about our property market is the percentage of people who live in and own houses they can't actually afford. I'm not talking about people who bought a basic 3x1, paid it off then upgraded to a 4x2 etc. I'm talking about people who bought a house for $300k that is now worth $1m.
I know you are only trying to make a point but Melbourne isn't that unaffordable and there are many decent suburbs under the city median.
 

Scotland

TheBrownDog
May 5, 2006
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My grandparents grew up in Northcote, my folks bought in Hurstbridge because they couldn't afford Northcote, we bought another 20 mins out because we couldn't afford the Hurstbridge area....it's been happening for 50 years FFS.
Your kids and grandkids have a super life ahead of them then.
 

FRUMPY

Brownlow Medallist
Aug 18, 2006
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That's good considering the median is over $1m.
Why would people who want a house and can't afford a house of $1m be looking at a house worth $1m? There are heaps of houses out there for different price ranges, choose one you can afford or continue to pay off someone else's mortgage.

Sent from my CPH2005 using Tapatalk
 

Scotland

TheBrownDog
May 5, 2006
58,673
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Why would people who want a house and can't afford a house of $1m be looking at a house worth $1m? There are heaps of houses out there for different price ranges, choose one you can afford or continue to pay off someone else's mortgage.
Maybe people resent a lower standard of accommodation relative to income over time being the norm.

Don't get me wrong I would prefer a river front property or something in Cottesloe overlooking the ocean and accept I can't afford that, but if people tell me that you need to go to uni, rack up a $50-100k debt, work your way up to an above median wage to afford a basic 3x1 40km out of the city I am happy to question that.
 

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Evolved1

Norm Smith Medallist
Jun 14, 2013
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A housing market crash would be disastrous to the economy. Our governments will keep propping that bubble up with every tool they've got.

Questioning the status quo wont change sh*t.
 

CatFan79

Norm Smith Medallist
Sep 25, 2004
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The point of conjecture is that it wasn't that long ago you could be a school teacher or something and afford a 3 bedroom home in a decent suburb and have a family.
Yeah, it's called demand. House prices aren't set by anyone but the market.

We up immigration, immigrants want to live in CBDs. Let me take a wild guess and assume a lot of people who are pro immigration are also complaining about house prices.

Your kids and grandkids have a super life ahead of them then.
Like the prospect of living further away from a CBD is so depressing..

The mind boggles.
 

Bombermania

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Sorry but this is wrong

A lot of people choose to live out there because you can have a large block with a big house and a massive yard. Those days are nuked in most of inner/middle Melbourne.
Most inner Melbourne suburbs on the north side of the Yarra never had homes on big blocks with a big yard.

South and east of the Yarra was mixed with working class suburbs surrounded by wealthier areas and it was the wealthier areas where people had larger houses with larger yards.
 

Ned_Flanders

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Aug 22, 2009
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Most inner Melbourne suburbs on the north side of the Yarra never had homes on big blocks and a big yard.

South and east of the Yarra was mixed with working class suburbs surrounded by wealthier areas and it was the wealthier areas where people had larger houses and larger yards.
You forgot the big Asterix, if you're prepared to spend a sh*t load of money

I spent two years looking for my current place in the middle eastern suburbs, and I can count on one hand how many were the traditional quarter acre.

We were seeing houses on just over 500sqm
 

Bombermania

Norm Smith Medallist
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You forgot the big Asterix, if you're prepared to spend a sh*t load of money

I spent two years looking for my current place in the middle eastern suburbs, and I can count on one hand how many were the traditional quarter acre.

We were seeing houses on just over 500sqm
The middle eastern suburbs for a long time were more middle class but some people seem to think that the inner suburbs were once affordable housing with large blocks but that wasn't the case.
 
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