There is a great article by Bloomberg you can read here.
This is the first line in that article:
“Home ownership among young Australians has fallen to the lowest level on record, as an explosive property boom squeezes out all but the wealthiest.”
“Supercharged by record low interest rates, a lack of supply and a tax system that favors property investors, home prices have surged more than 140 percent in the past 15 years, propelling Sydney past London and New York to rank as the world’s second-most expensive housing market.”
- only 45 percent of 25-to-34 year-olds own their own home
- almost 90 percent of Australians fear future generations won’t be able to buy a home
- More money going on servicing a mortgage means there is less to spend elsewhere
- Pretty much anyone under the age of 35 you’re going to find it pretty hard” to buy a home unless they are a high-income earner, barnaby Joyce said.
- Former Treasurer Joe Hockey said buyers struggling to get into the market should simply “get a good job that pays good money.”
- As the average price of a Sydney home sailed past A$1 million, housing affordability fell victim to the hyper-partisanship that has gripped Canberra over the past decade and paralyzed policy making.
- Average downpayment is 204k
- There is also a social cost to sky-high house prices. Workers such as teachers, nurses and other low-to-middle income earners can’t afford to live in the communities they serve, while young people who stay at home longer while saving a deposit might delay marriage and childbirth.
- Only the top 10% of income earners in young australians can afford to get into the property market.
So what can be done? Owneroom is here to save the day. Register your interest now.
Author: William Chow