/biz/ - Business & Finance

[Anonymous No.847081]

Hi /biz/
If there's any Aussies on here, I'd like to get your opinion on why the property bubble in Sydney is as ridiculous as it is?
I'm looking for property for me and my gf that is under $600,000 as we're first home buyers and don't want to have to pay off too big a loan and the closest thing we found to Sydney's city centre is Bankstown. In fact, we're seriously considering a move to the Central Coast (which I hate) because of how ridiculous it is to buy atm.
We've already got baby no. 2 on the way and we currently have a two bedroom flat and me and my wife earn slightly below average incomes (I'm a mechanic, my wife is just about to end her hairdressing apprenticeship) but NSW has always been our home and whilst Central Coast is definitely not ideal, it's better then fucking Bankstown.
So anyway, why is the property valued as highly as it is in Sydney and even Melbourne (a mate from VIC paid $850,000 for a house in Oakleigh!)

[Anonymous No.847084]

I am not an Aussie resident but I believe that you can offset personal tax liability with mortgage repayments. This is insane.

You also have positive migration into the country faster than home building.

Lastly, you have Asians using property as a safe store of wealth.

Like most things, it boils down to simple supply and demand.

Recommended solution?

Stop Asian immigration and house buying.

Seriously. You allowing people to migrate from countries with >50% of the worlds population will only cause problems.

You are now living in times where you will not have as good a standard of living as your parents.

Your parents will have worse standards of living than you.

You are condemning your descendants to allow people you dont know to come to your country.

[Anonymous No.847087]

>>847084
>Your parents will have worse standards of living than you.

I meant children, not parents

[Anonymous No.847097]

>>847081
Auscunt here

The figures of Asuan buyers last year were a median of 12.5% of all property ttransactions nationally.
Let's break that figure down further.
Asians aren't buying in Alice springs, they aren't really buying farms, outer suburban weather boards, etc.
So when you wipe out what they aren't buying and focus on what they are its all inner city apartments, popular suburb homes and prime retail.
When you ignore what they aren't buying (eg what the rest of Australia is) the figures for recent transactions of Asian ownership of Melbourne and Sydney's inner cores could be as high as 50% maybe even higher.

These buyers are laundering money stolen from the public purse of Chinese public budgets.
They also claim negative fucking gearing! Non residents getting our taxes given to them.
This and only this is why the prices are so high,policy plays a part but Asian money laundering is the major reason.

Ask yourself other approaches you can use to finance a property

[Anonymous No.847107]

Do what I'm doing and get the fuck out of here. Country is going to complete shit.

[Anonymous No.847161]

>>847081
Buy a property in Adelaide or Brisbane and keep renting. They aren't fucked yet. Although you should've got in 2 years ago. Alternatively, wait for Abbott to completely fuck us, the economy will collapse and house prices with it. Probably won't hit Sydney too bad but you could grab a bargain in a lesser capital.

[Anonymous No.847163]

>>847081
Because fuckwits like you are living beyond their means.

[Anonymous No.847176]

It isn't going to change anytime soon OP, so you better get used to it.

For reference, my family owns two medium-size blocks in Melbourne's inner suburbs valued at 2 and 2.5 mill respectively - and yet even I think that's insanity.

[Anonymous No.847487]

>Having two kids while you make below average incomes
>Complaining about not being able to afford a house