over9k
So I didn't tell my wife, but I...
- Joined
- 12 June 2020
- Posts
- 5,298
- Reactions
- 7,534
Alternatively, it's deliberate.
Alternatively, it's deliberate.As @moXJO and @MovingAverage both say it has been brought about by lazy politics, on both sides.
There is no point in having population growth, without having secondary and tertiary sector growth, importing a population into an economy where the only growth is in the service sector is a recipe for a third world living standard.
Without encouraging manufacturing and higher skilled job opportunities, importing more competition for fewer and fewer jobs, just festers resentment.
Both parties have been asleep at the wheel regarding this since the early 1980's, it is o.k to reduce tariffs to improve productivity, but when you don't put in place a structure to nurture industrial growth, you end up exactly where we are now, 40 years on.
Neither party can take the moral high ground on the demise of Australian manufacturing, they are both equally to blame.
With the advent of renewables and the pandemic, it gives an opportunity for a kickstart of a growth economy, not completely focussed on mining.
Whichever Party comes up with a viable plan, will win the upcoming election IMO, the ball is in both parties court.
Deliberate stupid short term thinking perhaps. Politicians are not smart enough to pull off a Deliberate plan. This is to well executed otherwise.Alternatively, it's deliberate.
Opening the borders is not exactly difficult.Deliberate stupid short term thinking perhaps. Politicians are not smart enough to pull off a Deliberate plan. This is to well executed otherwise.
I think the problem was brought about by Australia agreeing, with most of the other industrialised nations, to offshore a lot of manufacturing to lift the third world countries out of poverty and it has worked to a degree.Deliberate stupid short term thinking perhaps. Politicians are not smart enough to pull off a Deliberate plan. This is to well executed otherwise.
Beginning to think I was a little out of touch with the housing market so thought I'd do a little research. Adopted the persona of a first home buyer and did a little research on domain. Found this cute little 3 bedroom house in Granville NSW: https://www.domain.com.au/16-o-neill-street-granville-nsw-2142-2017032371?topspot=1 I didn't have to look too hard to find this and I'm sure if I was a little more motivated I could find more options.Unless you are wealthy, the housing options are quite small.
Rubbish, houses are expensive everywhere.
Couldn't agree with you more. My first house many years ago was a long long way out of the CBD and we bought it for the very reason you mention. I suspect the way you and I think is considered old fashioned these daysFollowing on from that, @MovingAverage and using your start point on google maps, I looked further out, with good train access.
Penrith is 1hr and 4min out on the fast train, similar distance as living in Mandurah and working in Perth, which many do.
So I looked on Real Estate dot com and saw this on the first page.
To my mind getting a $800,000 loan is asking for problems, I would buy further out, pay down as quick as possible then flip and move closer. The first house is just saving you rent and giving you the opportunity to buy equity and hopefully get some capital gain IMO.
Rinse, wash, repeat, but I'm just very risk averse.
Again, you think this an accident?Another problem related to urbansiation in Australia is that infrastructure has not kept up with population growth. There should be trains and express buses travelling on dedicated bus lanes from all corners of the city going into the city. However, public transport and roads have not kept up with growth in capital cities, and as far as I can tell this is universal and a problem in all capital cities.
Governments are happy to generate revenue from us, but they can't seem to spend it on critical infrastructure that will make getting around our crowded cities easy and quick.
Maybe not an accident, maybe unintended consequences, that have actually gotten out of control?Again, you think this an accident?
Kevin Rudd thought the same when it came to offshoring detention centres. Majority of decisions are not well thought out by either side.Opening the borders is not exactly difficult.
Again, you think this an accident?
The money will go where the government (local, state or federal) needs votes or to sure up its power base. It rarely goes to those areas in desperate need.I think this is:
1. Governments generally thinking and planing one election cycle at a time.
2. Urban planning is not given the priority it deserves.
3. Outer suburbs receive less funding than inner, wealthier suburbs
I think it's a mix of bureaucratic incompetence and suburbs populated by those on lower incomes getting the shaft. Governments favour special interest groups, and those on lower incomes do not fall into those special interest groups. Wealthy suburbs receive better services. Their roads are fixed faster and more money is pumped into them. Suburbs further out of the city are overlooked and often ignored, especially when it comes to public transport. It's always been this way, but as our cities get more crowded it appears to be getting worse.
So true, it doesn't go to safe seats either, the marginal seats is where the money goes. ?The money will go where the government (local, state or federal) needs votes or to sure up its power base. It rarely goes to those areas in desperate need.
Good old fashioned pork barrelingSo true, it doesn't go to safe seats either, the marginal seats is where the money goes. ?
High population growth.There is no point in having population growth, without having secondary and tertiary sector growth, importing a population into an economy where the only growth is in the service sector is a recipe for a third world living standard.
The fact that none of the high (or even medium) rise blocks etc have been built in eastern sydney should really tell you everything you need to know.I think this is:
1. Governments generally thinking and planing one election cycle at a time.
2. Urban planning is not given the priority it deserves.
3. Outer suburbs receive less funding than inner, wealthier suburbs
I think it's a mix of bureaucratic incompetence and suburbs populated by those on lower incomes getting the shaft. Governments favour special interest groups, and those on lower incomes do not fall into those special interest groups. Wealthy suburbs receive better services. Their roads are fixed faster and more money is pumped into them. Suburbs further out of the city are overlooked and often ignored, especially when it comes to public transport. It's always been this way, but as our cities get more crowded it appears to be getting worse.
Beginning to think I was a little out of touch with the housing market so thought I'd do a little research. Adopted the persona of a first home buyer and did a little research on domain. Found this cute little 3 bedroom house in Granville NSW: https://www.domain.com.au/16-o-neill-street-granville-nsw-2142-2017032371?topspot=1 I didn't have to look too hard to find this and I'm sure if I was a little more motivated I could find more options.
The house presents well, is clean and very livable. Has 3 bedrooms and is on about 370 square meter. Granville is hardly the bush and is well serviced by public transport for an easy commute into the Sydney CBD if need be. Granville is also a livable area and far from a bad area. HAs some good public schools and the other stuff young families might like. This place would serve a first home buyer with a young family well.
A quick check on propertyvalues.com has the place priced at $800k to $900k. https://www.propertyvalue.com.au/property/16-o'neill-street-granville-nsw-2142/2585466 Now, I here you say it's worth more blah blah but let's stick to the data we have at hand.
So let's see, several years back the ALP more or less came out and said if you earn more that $150,000 per year you're rich. https://www.news.com.au/finance/bus...s/news-story/5fed388c14abfbdd40803cf772c42cf7
Ok, so let's assume I'm not rich and I have a combined pre-tax income of $140,000 with my wife and I've saved up a $40,000 deposit. My wife and I both earn around $70,000 per year so we have a combined after tax income of around $111,406: https://www.ato.gov.au/Calculators-and-tools/Host/?anchor=STC&anchor=STC#STC/report . This ATO tax calculator link show the tax payable on just one of our incomes. This after tax combined income of around $111,406 leaves us with around $9300 per month after tax income.
I'm not very financially literate so I go straight to CBA for a home loan. I apply for an $800,000 loan over 30 years, which at current interest rate comes in at around $3240 per month. https://www.commbank.com.au/digital/home-buying/calculator/home-loan-repayments
So with our income of around $9300 per month we have to pay $3240 per month on the mortgage leaving us with around $6000 per month on all other living expenses. Things might be a little tight but hey, gotta make some sacrifices to get into the market
I agree my back of envelop calculations are pretty high level--but the point I'm trying to make is that on face value you do not need to be wealthy (as defined by the ALP) to get into Sydney real estate. Sure, if you want an inner city terrace in a trendy suburb with 1 or 2 k's of the city you will probably need some serious cash behind you, but to make a blanket statement that houses are expensive everywhere--I'm not so sure. I know I haven't factored in things like stamp duty but I'm sure the bank of mum and dad will come to the rescue there
We use cookies and similar technologies for the following purposes:
Do you accept cookies and these technologies?
We use cookies and similar technologies for the following purposes:
Do you accept cookies and these technologies?