The future of Australian property prices

[Dona Ferentes]

First Home Buyers

“The average age of a first homebuyer, for example, is around 36 years, which means people are renting for longer.”
- Campbell Hanan, CEO, Mirvac Group Ltd​

 

[qldfrog]

First Home Buyers

“The average age of a first homebuyer, for example, is around 36 years, which means people are renting for longer.”
- Campbell Hanan, CEO, Mirvac Group Ltd​

With a bit of luck, they are past the first divorce , which would prevent forced sale , good for everyone but the lawyers, and state governments

 

[wayneL]

Is the house price crash finally here or just a blip. I suspect the latter, or perhaps somewhere between the two.

My area in the Swan Valley still "seems" buoyant, properties still going fairly quickly at good prices, but I get a elsewhere in Perth it is not so flash.

Thoughts on your own areas?

Sydney home prices plunge amid interest rates warning - realestate.com.au

The Sydney housing market has become trapped in a downturn, with home prices falling significantly in some areas since late last year.

www.realestate.com.au

 

[qldfrog]

Is the house price crash finally here or just a blip. I suspect the latter, or perhaps somewhere between the two.

My area in the Swan Valley still "seems" buoyant, properties still going fairly quickly at good prices, but I get a elsewhere in Perth it is not so flash.

Thoughts on your own areas?

Sydney home prices plunge amid interest rates warning - realestate.com.au

The Sydney housing market has become trapped in a downturn, with home prices falling significantly in some areas since late last year.

www.realestate.com.au

Definitely going lower in the sunny coast hinterland

 

[wayneL]

Definitely going lower in the sunny coast hinterland

It seems unreasonable that the frenetic activity and price increases of recent times could continue without some sort of correction... Assuming that there isn't some massive extraneous influence... hyper inflation, hyper immigration, hyper economic growth?

However in each of the above I cannot imagine that there might not be some sort of revolution as a result... The plebeians are not happy.

 

[SirRumpole]

Why affordable housing isn't happening.

Home owners attempt to block affordable housing on church land

A group of residents in the Brisbane suburb of Wakerley is trying to prevent a local church from building 44 units for low-income people on its own land.

www.abc.net.au

 

[sptrawler]

Sounds like property is still a good investment.

Australian immigration is a mess, controlled by business and universities

It seems beyond either the wit or the political muscle of Australia's political leaders to set an immigration target, let alone to meet it.

www.abc.net.au

The only things with which the level of immigration seems to have any connection are the revenue needs of universities — starved as they are of government funding — the demands of business for more consumers and cheap labour, and the hunger of the property sector for buyers and renters.

In the 12 months to June 2024, net migration totalled 444,700. Twenty-five years ago, the natural increase was running at 120,000 a year. The babies then would now be looking for a house. Total housing demand now would thus be about 560,000 people.

Dwelling completions in the year to June totalled 177,022. Assuming there are 2.4 people per dwelling, that's an annual housing shortfall of roughly 56,000 units, although it's probably more than that because the 25-year-old families wouldn't be 2.4 yet: they'd mostly still be two.

 

[JohnDe]

Sounds like property is still a good investment.

Australian immigration is a mess, controlled by business and universities

It seems beyond either the wit or the political muscle of Australia's political leaders to set an immigration target, let alone to meet it.

www.abc.net.au

The only things with which the level of immigration seems to have any connection are the revenue needs of universities — starved as they are of government funding — the demands of business for more consumers and cheap labour, and the hunger of the property sector for buyers and renters.

In the 12 months to June 2024, net migration totalled 444,700. Twenty-five years ago, the natural increase was running at 120,000 a year. The babies then would now be looking for a house. Total housing demand now would thus be about 560,000 people.

Dwelling completions in the year to June totalled 177,022. Assuming there are 2.4 people per dwelling, that's an annual housing shortfall of roughly 56,000 units, although it's probably more than that because the 25-year-old families wouldn't be 2.4 yet: they'd mostly still be two.

The heading that you posted, "Australian Immagration a mess, controlled by business and universities", is left leaning ABC tripe.

However, they partially do redeem themselves by adding "Federal government either unable or unwilling to set an immigration target".

Business and universities can lobby governments, but it is the government that has the final say. Blaming business and uni's for the current immigration policy is like blaming the voters for the government.

Bring back an impartial ABC.

 

[sptrawler]

The unwashed masses are being conditioned for a different 'normal'.

https://www.msn.com/en-au/news/aust...S&cvid=79bef1db7aca4754a93f15f051e1bdc3&ei=26

Extra-long loan terms could be a reluctant but necessary choice for mortgage holders battling against massive monthly repayments, according to new research.

One in three Australians say they would consider a "mega mortgage" with a 40-year term to reduce their repayments – but experts have warned this could cost hundreds of thousands more in interest.

 

[farmerge]

The unwashed masses are being conditioned for a different 'normal'.

https://www.msn.com/en-au/news/aust...S&cvid=79bef1db7aca4754a93f15f051e1bdc3&ei=26

Extra-long loan terms could be a reluctant but necessary choice for mortgage holders battling against massive monthly repayments, according to new research.

One in three Australians say they would consider a "mega mortgage" with a 40-year term to reduce their repayments – but experts have warned this could cost hundreds of thousands more in interest.

@sptrawler I don't know if it just me and my frugal upbringing, but these days everyone has to have a mansion as the first home with the big 4wd, boat and Harley.
We started off with what was affordable for us and moved up the line till we finished where we are now.
No handouts just plain hard work to get forward.

 

[TimeISmoney]

@sptrawler I don't know if it just me and my frugal upbringing, but these days everyone has to have a mansion as the first home with the big 4wd, boat and Harley.
We started off with what was affordable for us and moved up the line till we finished where we are now.
No handouts just plain hard work to get forward.

I told my mum the other day about people expecting everything without any sacrifice, and asked if she remembered the cars we had with big rust holes in the floor. I'm glad I'm getting old, when I see young families with a $40K four-wheel drive and they complain about house prices, I walk away like I'm senile because I know they'll never listen to what I have to say.

 

[divs4ever]

The heading that you posted, "Australian Immagration a mess, controlled by business and universities", is left leaning ABC tripe.

However, they partially do redeem themselves by adding "Federal government either unable or unwilling to set an immigration target".

Business and universities can lobby governments, but it is the government that has the final say. Blaming business and uni's for the current immigration policy is like blaming the voters for the government.

Bring back an impartial ABC.

well they DID vote them in (allegedly ) unless you are claiming Australian elections are rigged ( and they MIGHT be , they have certainly messed with electorate boundaries often enough )

the ABC is ALWAYS a Federal Government service , therefore will always bias towards the current government simply because it is obliged to release 'official announcements ' ( ads dressed up as 'information ' )

that doesn't prelude the tendency for bureaucrats to be left-leaning and cultish

 

[JohnDe]

well they DID vote them in (allegedly ) unless you are claiming Australian elections are rigged ( and they MIGHT be , they have certainly messed with electorate boundaries often enough )

the ABC is ALWAYS a Federal Government service , therefore will always bias towards the current government simply because it is obliged to release 'official announcements ' ( ads dressed up as 'information ' )

that doesn't prelude the tendency for bureaucrats to be left-leaning and cultish

You are also a voter, does that mean you are to be blamed?

 

[farmerge]

You are also a voter, does that mean you are to be blamed?

@JohnDe Tongue in the cheek or just plain changing foot in the mouth.
Anyone who has voted for the Opposition of the day is to blame !!!!

 

[JohnDe]

@JohnDe Tongue in the cheek or just plain changing foot in the mouth.
Anyone who has voted for the Opposition of the day is to blame !!!!

The voter can only work with the information in front of them. The problem is those in power have reduced accountability over many years.

 

[farmerge]

The voter can only work with the information in front of them. The problem is those in power have reduced accountability over many years.

We tent to vote for the local rep whether he/she be red, white, blue, green or whatever.
If they are doing their job properly, and we have been blessed with some very good Reps over the years,
I guess we would be deemed swinging voters.
I would rather call it giving a diligent Rep the chance to keep on keeping on.

 

[qldfrog]

We tent to vote for the local rep whether he/she be red, white, blue, green or whatever.
If they are doing their job properly, and we have been blessed with some very good Reps over the years,
I guess we would be deemed swinging voters.
I would rather call it giving a diligent Rep the chance to keep on keeping on.

So because your local MP is cleaning the local river, going to the school bbq and repairing potholes in mainstreet, they deserve to be elected regardless of the party they are in and whether that party will suppress freedom of speech, waste billions on submarines and bend over to China while increasing fed taxes?
This is a fundamental issue imho with these MPs trolls who vote along party lines.
Nation building and critical decision should not be left to reps elected to support the local soccer team
It goes well with the larrikin mate tall poppies cut Australian legend but look where it leads us..

 

[JohnDe]

Here is one reason Australia has a housing shortage.

I've mentioned that my wife and I are building. It's a two story 3-bedroom townhouse near the beach. The process has been relatively easy so far, the time frame a bit on the longish side but that didn't bother us.

The slab was meant to start at the two weeks ago. Today I received an email -

Continuing on from the previous update, Rendition are urgently and are applying pressure to expedite the process with final documentation with Engineers. In terms of approvals, the Building Rules Consent (BRC) has been lodged with our certifier for assessment; however, the process is currently on hold until the final engineering documents are received and reviewed.​

​

Types of Consent​

​

Planning Consent – GRANTED​

​

Planning consent is granted by assessing the development against the planning code to ensure it complies with Council regulations.​

​

Building Rules Consent – LODGED​

​

Building consent is granted by assessing the development against the building code to ensuite works will be undertaken in a safe and compliant manner.​

​

Development Approval – PENDING APPROVAL OF ALL CONSENTS​

​

Development approval is the final piece in the process, which is a legal document that allows you to undertake a development. Development approval cannot be granted until each of the different types of consent have been obtained, including planning and building rules. This signifies that construction works is approved to commence, and the pre-construction process has concluded.​

​

Thank you for your patience with this update, we look forward to seeing these homes come to life in 2025​

 

[qldfrog]

https://www.news.com.au/finance/money/tax/half-the-mortgage-life-paying-off-taxes-red-tape-taxes-eating-up-the-cost-of-new-homes/news-story/49d90befbf67ffae961a3ab3ed831040

 

[Smurf1976]

Business and universities can lobby governments, but it is the government that has the final say. Blaming business and uni's for the current immigration policy is like blaming the voters for the government.

The big problem with policy formulation is simply that a good portion of it's coming from people for whom it's literally their first job straight out of uni. That being so, whatever they were taught at uni is in practice their only influence.

From there the outcome is entirely predictable since most people will lean to their own experience in terms of what ideas they come up with. If those coming up with the ideas are tertiary educated, single, no kids and very city-centric in lifestyle then that'll shape the ideas they come up with.

Government may have the final say, but when a much of the advice it's being given reflects a certain perspective, and many of the politicians themselves have that same perspective, the outcome's going to bias in that direction in practice.