You know OZ is nuts when for or $200K.....

[wayneL]

....you can buy this sh!thole in the warzone areas of Geraldton WA:

http://www.royweston.com.au/content...0&fa_range=&min_farange=&max_farange=&oid=171

..... or you can buy these in the evil empire

http://www.har.com/search/engine/indexdetail.cfm?mlnum=9564413&class=1&leadid=6&sTYPE=0&backButton=Y

http://www.har.com/search/engine/indexdetail.cfm?mlnum=8167275&class=1&leadid=6&sTYPE=0&backButton=Y

http://albany.georgia.remax.com/listings/ListingDetail_r4.aspx?LID=25349545#aTop



http://saugatuckdouglas.michigan.remax.com/listings/ListingDetail_r4.aspx?LID=24581981#aTop

 

[nizar]

LOL Wayne.
I didnt know you could pick up property for that cheap in the States..... mustve come down a fair bit from the "boom"

 

[Milk Man]

I saw a sweet dodge challenger for sale there for $5k too. I dont think the missus would let me move there though. Too bad.

 

[Knobby22]

Good comparison.

Oz is nuts and it but it will take a regular hit on the head over a long period with a plank of wood (metaphorically) to get some behaviour change.

Not likely.

 

[krisbarry]

There are many variables to look at here and some have been missed...

* Wages overall in the states are much lower than they are in Australia

* Minimum wage in the US is much lower than it is in Australia

* US dollar to Aud conversion rate

* Interest rates are also different

But I do see the point of making comparisons, yes the filth of Australia's house prices are really starting to bite!

 

[Julia]

Would the same level of comparative prices apply in larger cities of the USA?

I did hear on Radio National's Breakfast programme that Australia has some of the most expensive real estate in the world.

Julia

 

[krisbarry]

Yes I heard that too, some of our property is the most expensive in the world accoridng to price comparions in other OECD countries.

 

[Agentm]

property is cheap and living is cheap..


your life is also cheap..


ahh to dream of living in the land of the handgun..

 

[wayneL]

* Wages overall in the states are much lower than they are in Australia
This only applies at the low end. For qualified/professional people, wages are generally higher.


* Minimum wage in the US is much lower than it is in Australia

These are not houses for people on minimum wage. For those people there are houses at half the price or less.


* US dollar to Aud conversion rate

Not relevant unless buying with a foreign currency. What is relevant is the ratio of wages/house prices.

* Interest rates are also different

Long term mortgage rates are not appreciably different.

My point is, away from the glitzy spots like San Diego, Boston, Miami etc housing is very reasonable. In Oz houses are even expensive in Snake freakin' Gully.

Why?

 

[professor_frink]

Here's something not too far from my area. just as bad here as out your way Wayne

it's a ripper! (well according to the agent it is!)

This is more expensive, not even brick, and you get the added bonus of living in a suburb that is prone to the odd house destroying flood

 

[Rough_Trade]

.
When the “Great Australian Dream” of owning your own home is under threat watch all rational & sanity go straight out the window. (As it will go straight out the window of that “sh!thole” Wayne posted earlier).
.

 

[krisbarry]

I think that statement about the "Great Australian Dream", rings more truth now, than in any other time in history.

Its just that now, a dream, a distant memory!

The sad fact of life is that many millions of people will never ever, ever, ever get to experience that dream, its an outrage, and a crying shame, and a disgrace that some should hang their heads in shame!

 

[wayneL]

I think that statement about the "Great Australian Dream", rings more truth now, than in any other time in history.

Its just that now, a dream, a distant memory!

The sad fact of life is that many millions of people will never ever, ever, ever get to experience that dream, its an outrage, and a crying shame, and a disgrace that some should hang their heads in shame!

Patience, Grasshopper!

Winter will come... always has, always will!

 

[Julia]

Here's something not too far from my area. just as bad here as out your way Wayne

it's a ripper! (well according to the agent it is!)

This is more expensive, not even brick, and you get the added bonus of living in a suburb that is prone to the odd house destroying flood

Frinky,

I have a relative living at Dora Creek. I haven't seen the house but it's two storied with six bedrooms, three bathrooms, formal and informal living, music room (he has a grand piano), two kitchens and a lift. It's right on the river with its own jetty and I gather is worth a hell of a lot more than $248,000 for the shack you showed.

I've never been to Dora Creek, and would be interested in anyone's assessment of what it's like.

Julia

 

[Slick Rick]

Self perpetuating problem?

My two cents;

- Consider the australian cultural obsession with owning your own home, aversion to renting ('Australian dream, 'super secure', 'the best investment', 'leave the home to the kids' etc.)

- Reluctance to live away from the coast, hence greater limitations on land. Coupled with an aversion to living in flats/apartments - less economical use of space. (Magnified demand/finite supply = no market equilibrium?)

- Relative population growth? Comparative injection of foreign capital coupled with favourable exchange rates?

- 'Baby boomer effect' - what has the inheretance of a second home into the pockets of the now middle aged baby boomer population done to inflate property?

Can this market support itself? As the monetry devide between property owners and non-owners widens, will we see a change in paradigm from the new generation of income earners?

Perhaps the inability to get into the property market will breed an investment savvy generation and a shift towards renting property - as is prevalent in the US/Canada.

Obviously rent received from property is insubstantial - capital gains are the goal with investment property. But with an eventual decrease in the market for houses...?

Especially with baby boomers far more willing to unlock the equity in their homes to utilise in there retirement compared to the generation who came before them. If the baby boomers aren't leaving there homes to there children, how will the average wage earner ever get into the market. Perhaps they won't.

In the end it will be the buyers who determine the value of property.

 

[Realist]

The sad fact of life is that many millions of people will never ever, ever, ever get to experience that dream, its an outrage, and a crying shame, and a disgrace that some should hang their heads in shame!

Hahaha.

That is quite amusing....

Completely wrong, but quite amusing.


Much like someone telling me in 1999 that Westfield will go under because everyone will shop over the internet. Or alot of environmentalists in the 1970's telling us the new ice age is coming.

Global warming, like people being completely priced out of the house market, are normal trends that equal out over time. Patience!!

 

[krisbarry]

Hahaha.

That is quite amusing....

Completely wrong, but quite amusing.


Much like someone telling me in 1999 that Westfield will go under because everyone will shop over the internet. Or alot of environmentalists in the 1970's telling us the new ice age is coming.

Global warming, like people being completely priced out of the house market, are normal trends that equal out over time. Patience!!

The stats speak for themselves, as every generation passes, less and less home ownership is occuring....its not rocket science its just stats!

This aint just happing within Australia, its a global problem...welcome to the world of renters!

 

[professor_frink]

Here's a lovely one in my area you can pick up for $925,000.

Not overpriced at all

 

[wayneL]

Here's a lovely one in my area you can pick up for $925,000.

Not overpriced at all

Just the sort of house someone on $250k p/a would like to live in eh?

 

[professor_frink]

Just the sort of house someone on $250k p/a would like to live in eh?

Apparently

I've seen a house not too far from that go for double that price when the boom was in full swing. It was the size of a small castle though.