/biz/ - Business & Finance

>>18742926

Over the last decade in Australia there has been
>more than 30 interest rate cuts
>CGT exemptions on primary residence
>Generous negative gearing measures
>Goverment and voting block that supports housing as a speculative investment
>Record high immigration and foreign investment
>Fuck all wage growth, barely on par with inflation
>Concentration of job opportunities in major cities

This all drives prices up but leaves pay the same. Instead of investing in productive assets we have a sham economy based on people selling overpriced shitboxes in western sydney to eachother. If you bought before the year 2000 you are likely to have paid off your house and seen 10% growth year on year, and are now in a position to use that equity to buy an investment property (which the government has rewarded) and outbid a first home buyer who is now trying to enter at a much higher price.