Who Is Responsible for Continuous House Price Increases

jrt2020 on 28/01/2018 - 17:54
Last edited 28/01/2018 - 18:09

I went to few auctions to see how it works

The few houses i visited are very bad , good for nothing other than the land price

But saw quiet few people seriously bidding on it

I have checked everything - it is old house and visibly needs very good renovation

very far from school

very far from public transports

not in a convenient location too

land size is also <300 sqm

basically , if I want to buy such a house i can't go above 400k

but in auction people went over and finally it stood at 650k and then agent still persuaded others to bid more which then started more bidding and finally got sold for $680k

The agent being friendly told me after the auction that reserve was $450k and vendor is really happy

But I was wondering what made the buyer to go for such high price!

Seriously for $680K , so much better house with large lot close to all amenities were all available and easily

Seeing this , I believe there needs to be some common sense used by buyers to assess what they are paying for!

I see reasons for increase in house prices due to

  1. People who have lot of money from the home countries and buying land here
  2. Real estate agents who can sell houses not worth the amount to much higher prices
  3. People who think that if they dont buy houses now will never be able to buy

what do you all think?

Is it not a inflated market and certain section of people intentionally keeping the prices high?

And a real estate agent tells me that people queue at their office from 9 pm the previous night to buy a lot in their new release and even if the go for toilet , they will lose their place in the queue.

Seriously!!! Is house and land seriously not available much? The publications like domain and herald sun keep writing stories that create a fear that houses are really getting out of reach!

Is there a way to find good houses and which are worth their right price?
Is there a way to avoid real estate agents when you buy a house( they may be needed for selling house but for buying they should never be used) Thats what I feel

Poll Options

  • 52
    People misguided by media articles about scarcity of houses
  • 282
    People who bring truck loads from their home countries
  • 7
    People who dont value their money enough
  • 102
    Real estate agents
Financial

Comments

    • [Deactivated] on 29/01/2018 - 21:28
      +1

      /6. The People's Republic is printing truckload of cash daily with the chairman face on it. And the republic peoples bringing those cash in suitcases over here.

      https://www.domain.com.au/news/chinese-money-seeps-through-t…

      • BartholemewH on 29/01/2018 - 21:39

        We should fix our exchange rate and fire up the presses.

        • [Deactivated] on 29/01/2018 - 21:40
          +1

          and their pegged exchange rate that should be floated.

  • PJC on 28/01/2018 - 18:29
    +12

    The buyers. If prices are too high, blame the poeple who pay them.

    • afoveht on 28/01/2018 - 18:37
      +12

      Specifically investors.

      You can't blame people wanting their own place to live.

      • phocus on 29/01/2018 - 14:07

        Hmmm i dont know about that.

        I can easily see a couple spending more money than they were willing to because they want their saturdays back and sick of looking for house. Or emotionally fallen in love with a place and happy to pay any amount for it.

        • afoveht on 29/01/2018 - 17:37
          +2

          No doubt. But a couple of considerations:

          • There will always be expensive houses in any city/place. The well heeled middle class up to the multi-millionaires will do whatever it takes to secure whatever they want, so having expensive neighborhoods is expected. But what we have in Australia is median house prices which are off the richter. I don't expect middle to low earners will happily give thousands of dollars to get their Saturdays back yet they are still paying big dollars.

          • Even with your postulations the investors create scarcity which necessarily drives up prices.

          I agree with PJC that it's the buyers. And to boot there is surely a particular cultural bend in Australia that makes people prefer to own their own place maybe more than in other parts of the world. But again, how can those wanting their own place to live be blamed when there are so many investors out there?

      • whoopdeedoo on 30/01/2018 - 19:31

        can you blame those who just want to be financially secure? it sure beats leeching off the government (ie other tax payers) later in life.

        • afoveht on 30/01/2018 - 19:34
          +11

          What a terrible system we are in if one person's financial security impedes another's ability to live in their own home.

        • [Deactivated] on 31/01/2018 - 01:55

          if there are two people but only one home, somebody will be impeding another's ability to live in their own home.

        • afoveht on 31/01/2018 - 11:59

          @lolbbq: Getting your dream home and getting a home are two different things. You want the dream - fine, outbid the other person's dream.

          There are plenty of homes out there. Noone need impede anyone else.

        • poohduck on 01/02/2018 - 19:00

          True. And in reality it's a marginal advantage. I only say this from personal experience. I've moved a few times, sold up where I was, and bought where I was going. Every time, some of the houses I look at were ex rentals - the owners just wanted to get out of it.

        • Wheresmyspaceship on 01/02/2018 - 22:52

          @lolbbq: Except that kind of rationale does't hold true when there are significant volumes of houses left empty investors wanting to simply store wealth. This becomes a social problem forcing the government to interfere as they have recently done in Victoria in order to identify properties intentionally left vacant. Stupid, thoughtless argument.

        • snook on 02/02/2018 - 22:47

          @thevofa: I'm 56 and partially disabled, will probably be a lot disabled in the nearer future. IF I hadn't bought other property, I would be leeching off all of you in future. Which would you prefer?

      • virhlpool on 31/01/2018 - 00:03

        Why not blame sellers who are being extremely unreasonable?

  • SPCTRE on 28/01/2018 - 18:46
    +20
    • first home owner grants (makes FHB think they have the extra cash to spend and end up stretching their budget even more at auctions. A battle of FHBs at auction is a win for vendors)
    • Negative gearing (all houses/unit that make good investing are purchase by investors)
    • Vendors (all wants as much as possible when selling hence real estate agents will all recommend going to auctions. Underquoting is a popular practice to archive this and vendors will participate too.
    • Low interest rates
    • foreigners (restricted to newly built houses/off the floor apartment plans or within 2 years old. Will buy to live in an area with a strong community of their own kind, beside that they mainly buy apartments for investment with some exception of new estates in potential growth.
    • Government (they need constant growth in the economy. A market crash is to be avoided at all cost. By instigating FOMO to own a house if you don’t buy soon delays this crash. Handing out grants to FHB is just the solution they need.
      Also high market prices means more reneune in stamp duty. May be free for FHB but when they sell/default, they next buyer is in for a treat)
    • EightImmortals on 28/01/2018 - 18:57
      +1

      Yes, cynical me has often pondered that the FHB grant is just there to keep stamp duty rolling in…..

      • Devils Advocate on 30/01/2018 - 13:34

        Probably not the case. A few states (I know VIC for sure) waive stamp duty for first home buyers.

        • Euphemistic on 30/01/2018 - 15:13
          +1

          and then that stamp duty money goes into the price of the house

        • SPCTRE on 30/01/2018 - 22:31

          If i was a vendor and found out the government grant of <600k = free stamp duty and <750k = concession rate stamp duty, i would jack my price up to equal the extra savings. Thats more $$$ for me.

          Think <600k = ~32k stamp duty savings. I wanted to sell at 500k but after hearing the grant, i will now sell at 530k-540k. Vendors aren't stupid and neither are real estate agents. Many vendors and agents held out till the grant was implemented to try sell for higher price.

          All this grant has done is make houses <600k jumped in value. Same can be the said for houses >600k are now edging closer to 750k.

          Any grant that the government gives out will go straight to vendors pockets. There is no savings for FHB!!! Only people who take it at face value think its a saving.

    • virhlpool on 31/01/2018 - 00:05
      +1

      A wise investor will not fall in trap of negative gearing. It's like reducing your losses. Why make losses at the first place?

      • poohduck on 02/02/2018 - 09:51

        If you buy a house as an investment to rent out - there isn't much in it. And whether you like it or not, it can go backwards. Just a bad tenant for a while. There are a lot of people, who work for years and live simply. They start to accumulate money. Then what do you do with it? There is a sizable chunk taken out whatever you do.

        • virhlpool on 02/02/2018 - 12:15

          Then what do you do with it?

          They can go for positive gearing, not negative gearing. Pros and cons of the types of both properties. As I said, neg gearing is a tool to minimise losses but not to avoid losses.

  • EightImmortals on 28/01/2018 - 18:48
    +9

    1) Some people get mental at auctions, that have to WIN WIN WIN, I've seen it many times.
    2) FOMO
    3) Low interest rates.
    4) Banks lending more than people can afford, especially when interest rates start climbing again.
    5) Foreign investment to a point, though the Chinese government clamped down on that last year, not sure how effective it's been. And not sure how other countries are having an effect?
    6) Cashed up older investors.
    7) On new houses around 45% of the cost goes in government taxes, I think it was the HIA that did a study on that a few years back, can try to find it if you like. So think on that for a sec, if a new home costs you 500K then around $240K of that goes to government's sticky thieving fingers. And that's money you have to pay interest on over the life of the loan.
    8) Market forces, like all markets the prices rise and lower based on what people are willing to pay.

    • Sammyboy on 30/01/2018 - 18:42
      -2

      I would also add, over paid dual income trades (esp union) people, and dual income over paid public servants. Or a combination of both such as husband is in building and wife is a nurse. Would be a combined income of over 300k which would allow them to borrow quite a bit

    • [Deactivated] on 31/01/2018 - 11:23

      I would also add the employment rate in cities. We haven't had a recession since the early 90s.

  • UncommonName on 28/01/2018 - 19:19
    +24

    One does not need to be a citizen, not even Parmanent Resident (PR) to buy properties in Australia. Now add the influx of foreign (especially Asian) millionaires to this situation, you have what was supposed to happen.

    The NZ PM changed the law recently barring non-citizen/PR from buying properties, it is totally justified move because why would people that are not committed to the country be allowed to lock up properties?

    Australia needs the same change in law, but the thing is the baby-boomers generation (majority of the elite class) is greedy af and they will try their best to keep the current environment going as long as possible.

    • whooah1979 on 28/01/2018 - 19:30

      The NZ PM changed the law recently barring non-citizen/PR from buying properties,

      lucky us.

      http://www.independent.co.uk/news/world/australasia/new-zeal…
      Australian citizens will be exempt from the new rules.

      then there is this.

      However, some have questioned the move’s effectiveness, with the Real Estate Institute of New Zealand (REINZ) estimating that only 3.8 per cent of buyers are from overseas.

      • UncommonName on 28/01/2018 - 19:57
        +6

        the Real Estate Institute of New Zealand (REINZ) estimating that only 3.8 per cent of buyers are from overseas.

        3.8% of total houses sold to foreign buyers or 3.8% of the total number of buyers? Foreigners are buying properties as investments and they are likely to invest in multiples. Add the fact that they are buying without worrying about money, hence driving up the mean house price in a given suburb. As a result, even though the foreign buyers are a small group, it all adds up and creating a snowball effect on the average joe.

        Pay extra attention to the narrative they (media/the establishment) try to play, everything has turned into industrial complex (look at USA i.e. military-industrial complex, food industrial complex etc). The elites will change their narratives to fit their wealth maximizing scheme.

        • whooah1979 on 28/01/2018 - 20:05
          +4

          we're number two on the list.
          https://www.stuff.co.nz/business/79813406/just-3-per-cent-of…

          The breakdown showed that of the 1158 property transactions included in the 3 per cent, China accounted for 321, Australia 312 and "mixed, including NZ" 162. The largest other groups were UK (99) and USA (51).

          australians are just as good (or bad depending on ones view) at snapping up cheap properties.

        • SPCTRE on 28/01/2018 - 20:17
          +4

          “the country will only allow those who hold a residential visa to buy EXISTING homes”

          “It means overseas developers and individuals will have to build NEW homes if they want to purchase residential property.”

          Taken from link provided by whooah1979.

          Read it carefully what the policy is about in NZ!
          They are not completely banning foreigners from buying, only restricting them to purchasing newly built homes.

          FYI Australia already has this policy in place so what NZ proposing is nothing new.
          And if you really think foreigners are to blame about our current housing crisis then you need to think outside of the box more.
          They do affect apartment prices though but not the overall housing market. Can only buy property within 2 years old or newly built.
          And you are right that the baby boomers are greedy af, they are currently in power and running the country policies, will not dare disadvantage themselves till they die hence will not touch negative gearing.

        • UncommonName on 28/01/2018 - 20:56
          +1

          @SPCTRE: The law should be, "Total ban on foreigners buying properties, no ifs and buts." But as you said, it is not possible to implement until the baby boomers generation dies, leaving Gen Y/X totally forked.

        • kipps on 28/01/2018 - 22:00

          @bargainaus: Your economic policy seems well researched, with the potential flow-on effects obviously well considered. Much better considered than Labor's eagerness to close the negative gearing rort. Perhaps you should run for Parliament.

        • UncommonName on 28/01/2018 - 22:11
          -2

          @kipps: Make Australia Great Again! :d

        • Baghern on 29/01/2018 - 16:54

          Despite what people think they're mostly buying new property… primarily apartments.

          The ones a tiny % I'm sussed about are the 'students' who buy to live in (established) and are then suppose to sell when they leave… which some don't, not effectively enforced.

          Houses are going up, because of limited land, if you want to start a family, you want land not an apartment

        • ninetyNineCents on 31/01/2018 - 16:39
          +4

          @kipps:

          negative gearing should be closed, why should the public subsidize people who want to invest in housing ? If anybody wants to invest in anything for any reason, they should do it with THEIR money and not expect tax benefits.

        • ninetyNineCents on 31/01/2018 - 16:42

          B:
          3.8% of total houses sold to foreign buyers or 3.8% of the total number of buyers?

          99: Those 3.8% might sound like a small number but it keeps the momentum and increases prices. It only takes a few or even one or two houses in a suburb to go up, and suddenly the rest think their property is worth the same. Its like a virus, if a house is sold for a nice premium then that gets noticed, so pretending a few doesnt matter is rediculous.

          ~

          B: Foreigners are buying properties as investments and they are likely to invest in multiples.

          99: No they are buying here, because Australia is the greatest place on earth. Clean, safe and free.

          ~

          B: As a result, even though the foreign buyers are a small group, it all adds up and creating a snowball effect on the average joe.

          99: Thats very true, once prices go up they never come down (almost never).

        • arcticmonkey on 31/01/2018 - 21:07
          +1

          @ninetyNineCents:

          Vote labor and negative gearing will go. I’m sick of my tax dollars subsidizing others investments.

          The liberals and Cayman Islands Turnbull with his $200 million of assets are happy for people without a house to assist millionaires with 6 houses.

    • ozlab on 29/01/2018 - 15:00

      It's the easiest way to make money in Australia if you already have lots of money. Atlassian founders invest in properties too and they are citizens of Australia.

      • [Deactivated] on 29/01/2018 - 21:33
        +1

        And they registered their business overseas so they don't have to pay 30% tax.

    • Baghern on 29/01/2018 - 16:58
      -2

      Foreigners are generally allowed to buy in Australia because they're suppose to buy new property only, essentially apartments.

      We actually need them to do this, because our we're not really willing to invest on our own with out that extra market.

      I've been to numerous auctions and inspections and its old farts looking for investment property. They kinda have to since interest rates are so low.

    • [Deactivated] on 29/01/2018 - 21:32
      +4

      Because the greedy state governments love the stamp duty income, the higher the sale price, the more income they get.

      The Australian people will be slave in their own country as the properties, farms, electricity and utilities companies will be owned by foreigners.

      • ninetyNineCents on 31/01/2018 - 16:44
        -2

        Thats completely untrue. The gov i think should be asking foreign owners to pay a buyers tax of at least 50%. All sales should attract a mandatory not excuses for deduction sales tax of at least 10%. There are so many fair things the gov could do to win from the property markets its almost a crime that they dont try the two things im suggesting.

        Introducing a property sales tax for starters would drive prices down, because all people who sell instantly have less money to buy their next house forcing prices to drop, even a bit.

  • chumlee on 28/01/2018 - 19:26

    FOMO

    People are sheep. Just look at cryptocurrency. Sheep eventually get slaughtered

    • picklewizard on 29/01/2018 - 13:31
      -3

      As evidenced by the complete lack of downturn in either (yeah, most cryptos have halved in value, but only after being that high for a week - that's a statistical outlier)

      • Cusack on 31/01/2018 - 14:13

        50% drop is a downturn

        • picklewizard on 01/02/2018 - 10:01

          Dude it peaked at that for like 5 seconds. That's called a 'spike', not a 'downturn'.

        • Cusack on 01/02/2018 - 19:12

          @picklewizard:
          Even before that when it was around 15k, 17k, you're still 30% down. Look at the chart and you'll clearly see the short term trend is down, or at least a retracement (downturn).

  • Hiroko on 28/01/2018 - 19:58
    +3

    Some people will pay that little bit extra because it is worth it to them.
    I ended up paying 30k over market value for my current home.
    But we are now happily living closer to work, 7 minutes walk from my mother in law and 5 mins drive to the local plaza.

    • MathNerd on 29/01/2018 - 07:30
      +32

      7 minutes walk from my mother in law

      You sure you got a good deal??

      :P

      • jjjaar on 29/01/2018 - 08:53
        +13

        5 mins drive to the local pizza

        It was obviously a well thought out trade off =p

      • Hiroko on 29/01/2018 - 08:54
        +8

        lol…
        whatever keeps the wife happy :)

      • Slippery Fish on 29/01/2018 - 09:38
        +2

        She won't walk that far lol, that's what's good about it.

      • [Deactivated] on 29/01/2018 - 21:34

        Its a good deal if the mum in law only has a single child, guess where all her inheritance goes to…

    • elgrande on 29/01/2018 - 16:15

      I can only gather you were living closer to your mother in law previously for a 7 min walk to be a good thing :p

      • Hiroko on 29/01/2018 - 16:50

        we are the sole carers for her mother, and it was quite time consuming driving back and forth 5-6 times a week, sometimes twice a day.

  • armdrags on 28/01/2018 - 20:17
    +5

    It was me :).

  • smuggler on 28/01/2018 - 20:33
    +3

    I read that 400,000 properties are owned by foreigners in Australia. THe problem is many of those properties are in the inner suburbs of capital cities, so people who work in these areas have to move far from their workplace.

    • whooah1979 on 28/01/2018 - 20:34
      +2

      I read that 400,000 properties are owned by foreigners in Australia.

      could you please provide a link?

      • smuggler on 28/01/2018 - 20:34
        +8

        http://www.abc.net.au/news/2017-12-07/anz-finds-foreign-buye…

        The worst part is when international students buy up property close to the university. Most of the money comes from their parents. It's a dodgy loophole asians use to launder their money. Knew a few people who did this when I was studying at USYD, which has a massive Chinese population.

        • whooah1979 on 28/01/2018 - 21:04
          -2

          The worst part is when international students buy up property close to the university.

          it makes sense that these investors purchase properties close to where their children study or work.

          Most of the money comes from their parents.
          which has a massive Chinese population.

          australia need these investor more than they need us.
          https://www.universitiesaustralia.edu.au/Media-and-Events/me…

          The education of international students generated a record $20.3 billion in export income for Australia in 2015/16 – up 8 per cent from the previous 12 months.

          International education remains Australia’s third largest export – just behind iron ore and coal.

          “Not only is international education a core component of Australia’s economy, it contributes profoundly to Australia’s relationships with the world,” said Universities Australia Chief Executive Belinda Robinson.

          they could just as easily turn their backs on australia and invest in the usa, the uk, canada or any other western country.

        • UncommonName on 28/01/2018 - 21:10
          +13

          @whooah1979:

          australia need these investor more than they need us.

          Australia needs their money as higher education is a business here, Australia does not need their money for real estate industry to thrive.

        • whooah1979 on 28/01/2018 - 21:19

          @bargainaus:

          international students and their investor parents comes in a package. tighten the property side of the market and the education revenue may start to flow to countries that are more investor friendly.

        • SPCTRE on 28/01/2018 - 21:31
          +8

          “80 per cent of foreign purchases are apartments and the remaining 20 per cent are houses”

          How many locals do you know want to buys apartment?
          I don’t know very many tbh but it’s a popular choice for foreign investment.
          Australia may not need their money for the real estate industry to thrive but we do need their money for the construction industry.
          The whole reason why they are restricted to new/near newly built property is to keep the construction industry afloat.
          When Australia was experiencing a housing boom, construction business and developers popped up left, right and centre hence creating jobs. Locals are not buying enough apartments or new houses to keep the construction industry afloat.
          If foreigners stop investing in our real estate, the construction industry will collapse and many will be unemployed.
          Neither party want to be responsible hence tread very carefully about foreign investment policies

        • KaTst3R on 29/01/2018 - 00:34

          With the new capital restriction policy, money cant get out of china now.

        • Emerald Owl on 29/01/2018 - 02:10
          +5

          @SPCTRE:

          Some in the construction industry are paid more than doctors. There are way too many Asian immigrants who want white collar jobs. The construction industry would be fine building for Australians.

        • abb on 29/01/2018 - 10:34
          +2

          @SPCTRE: > How many locals do you know want to buys apartment?

          Plenty.

          Well, I mean, I used to. Now that even apartments are $1M, not so much.

        • uzz32 on 29/01/2018 - 14:42
          +2

          @bargainaus:

          We can't have it both ways. Every business transaction has its 'compromises'. It's a package deal.

          Further, you may need to examine the FIRB guidelines in further detail. Overseas students can only own residential property in Australia for the duration of their studies. If they decide to return home without completing their studies and/or becoming permanent residents, they are required to relinquish their Australian property interests.

          In any case, you're wrong about the Australian Real Estate industry not needing foreign investors. These people are the lifeblood of the construction industry and make new developments a viable proposition.

        • [Deactivated] on 29/01/2018 - 21:36
          +2

          @KaTst3R: money can still escape, in suitcases.

          https://www.domain.com.au/news/chinese-money-seeps-through-t…

        • zeomega on 29/01/2018 - 22:14

          @KaTst3R:

          Really? Hong Kong is a very popular route

        • KaTst3R on 29/01/2018 - 22:46

          @zeomega:

          HK doesnt work anymore. I know 'cause someone close to me just tried.

        • zeomega on 29/01/2018 - 22:49
          +1

          @KaTst3R:

          And someone at work just did without any issues…. maybe it's down to how much bribes you pay the government.

        • KaTst3R on 29/01/2018 - 22:51

          @zeomega:

          Unless they already have money in a HK account all these while (before the capital restriction came into place), there is no way to take money out from china into hk then into Aus for example, unless it is a loan which they would need to pay back to HK bank eventually.

        • zeomega on 30/01/2018 - 00:20

          @KaTst3R:

          Bribes?

    • witsa on 29/01/2018 - 14:48

      can't foreigners only purchase apartments and not land or houses? It seems to be houses that have increased the most in value. There is an apartment glut in most capital cities and in many places, prices have fallen. So if anything, we actually need the foreign investment to prop up the unit prices.

      • ninetyNineCents on 31/01/2018 - 21:44

        problem is those apartment dwellers have other costs to society. Just look a bit harder at Sydney's transport issues. Imagine if another million people lived in apartments. Soon all the parks will be lost or full, beaches are a parking lot. Train travel is a horror, same goes for roads. Everybody in Sydney has lost nearly a day a week due to this transport chaos.

        The greed and money from real estate is ruining life in Sydney if it has already not been ruined. It was far better 20 years ago.

  • outlander on 28/01/2018 - 21:02
    +2

    Old people. They don't know how to spend money to improve their lives, so they just keep spending it on what they know - houses
    Oldies that buy for their kids
    Young people, looking for a home to start a family, or prove that they are wise
    Young investors, they seek to copy the oldies of the past, and make their riches flipping houses.
    Foreign, they try to funnel money out of their own countries, beyond the reach of corrupt governments

    Any I missed?
    Recipients of large money influxes (payout, lotto) who don't trust themselves
    Developers looking to build
    The insane

    Honestly, it doesn't require much of an undersupply to increase prices. If there are 100 houses, with an average price of 250K, and 100 buys who are willing to pay up to 500k, then all those houses sell for 250K. As soon as you get 101 buys though, the price trends dramatically towards that 500K limit.

  • DarkOz on 28/01/2018 - 21:07
    +2

    Add another option. The Government.

  • horice on 28/01/2018 - 21:14
    +2

    Add another option
    John Winston Howard

    Have a read of this
    https://www.thesaturdaypaper.com.au/news/politics/2017/03/11…

  • [Deactivated] on 28/01/2018 - 23:22
    -8

    those boat people.

    • Caped Baldy on 29/01/2018 - 08:06
      +16

      Boat People: half boat, half people

    • [Deactivated] on 29/01/2018 - 21:39
      +4

      this one?

  • KaTst3R on 29/01/2018 - 00:30
    +1

    680k cant get shit in tier 1 asian cities. That is why the money is flowing elsewhere

    • virhlpool on 30/01/2018 - 23:27

      If you consider only Tokyo, Singapore and Hong Kong as tier 1 Asian cities.. all other cities in Asia offer decent apartments for that price. It's a myth. Go check..

      • KaTst3R on 31/01/2018 - 00:29
        +1

        Have you looked at Chinese tier 1 cities? I think you will get a huge shock.

      • mrjtaw on 04/02/2018 - 16:44

        Can speak for Shenzhen ( Close to HK). 20km from city centre, small 2 Bedroom apartment ~2013 wask about 500k now 1.1M

  • Emerald Owl on 29/01/2018 - 02:03
    +21

    The Australian property market/economy is a an immigrant funded Ponzi scheme. GDP growth is because of immigration, same as houses. The baby boomers screwed us over.

    • [Deactivated] on 29/01/2018 - 21:45
      +4

      The skilled migrants, mostly middle aged people tend to bring their entire live savings over, which they spent on cars, home deposit, etc. These only help the economy temporarily, while neglecting the underlying problems.

      • Emerald Owl on 30/01/2018 - 11:37
        -2

        Plus they always take white collar jobs, causing some plumbers to be paid more than doctors.

        • [Deactivated] on 30/01/2018 - 18:11

          Of course, otherwise their parents would be ashamed to see their kids to become tradies, or 'low prestige' jobs. What their parents don't know is that the tradies got paid double than IT workers.

        • ninetyNineCents on 31/01/2018 - 21:45
          -2

          So what if some plumbers make more than doctors. There are also some CEOs that peddle all sorts of crap making millions.

        • Emerald Owl on 01/02/2018 - 08:36

          @ninetyNineCents: becoming a doctor requires a ric]diculous amount of study to put you in the 1% of intelligence, seven years of study at $10k a year and more work.

          No where but a third world communist country would have a plumber earning anywhere near a doctor.

          If you think CEOs can make millions without being worth it, you are undeniably stupid.

        • ninetyNineCents on 01/02/2018 - 09:11

          @Gizdonk:

          G: becoming a doctor requires a ric]diculous amount of study to put you in the 1% of intelligence, seven years of study at $10k a year and more work.

          99: And you earn more than all the doctors in Africa…

        • ninetyNineCents on 01/02/2018 - 09:12

          @Gizdonk:

          G: If you think CEOs can make millions without being worth it, you are undeniably stupid.

          99: i never said anything like they are worth it, i was merely pointing out that life isnt fair.

        • one man clan on 01/02/2018 - 09:17

          @ninetyNineCents:

          Plumbers train for 4 years

        • ninetyNineCents on 01/02/2018 - 09:19

          @one man clan:

          G: seven years of study at $10k a year and more work.

          99: sitting on your arse and writing scripts for colds is not more work than digging holes and the other physical labour of a plumber.

        • ninetyNineCents on 01/02/2018 - 09:20

          @one man clan:

          O: Plumbers train for 4 years

          99: So what if they do. Practically everyone in Africa works much harder than you or me, just becayse they have little schooling doesnt mean they deserve their $5 a week or less.

        • one man clan on 01/02/2018 - 09:22

          @ninetyNineCents:

          Not sure if you're arguing with me or what. I think plumbers deserve what they get paid - they've trained for four years to learn a really technical skill plus then have all the complications of running a business. The way you reply to things makes it really confusing

        • ninetyNineCents on 01/02/2018 - 09:26

          @one man clan:

          Im just saying its tiring to hear how doctors are underpaid. Anyone on more than 75K is overpaid, including myself for what i do. Im just tired of hearing bullshit that plumbers earn 200k and poor doctors cant afford to have a holiday. THey should both be happy with what they get, neither needs people to victimise them.

        • Emerald Owl on 01/02/2018 - 11:24

          @ninetyNineCents:

          Plumbers earning $10 000 a year would earn more than all the doctors in Africa.

          If someone is worth millions to a company, it is fair that they are paid millions.

          It is an objective fact becoming a doctor is harder and longer than becoming a plumber.

          Brain power is arguably more exhausting than tightening some taps.

          Doctors have to run their own business but can’t charge what they want due to full socialist government control, plumbers just rip you off.

          Africa is a shithole where no one works hard, stop lionising Africans.

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