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Eddie_George

Australians Priced Out Of Housing, Report Says

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A generation of Australians are being priced out of the housing market, leaving many facing a "lifetime of renting", according to a report by Credit Suisse.

Chinese buyers are currently pouring in more than A$5bn ($4.5bn; £2.7bn) into the residential market every year, pushing up prices, the findings show.

The median house price in Sydney has risen by 45% in the past five years.

Australia has some of the most expensive property markets globally.

The investment report by Credit Suisse analysts combines information from several official sources including the the Australian Foreign Investment Review Board, the Australian Department of Immigration and the Australian Bureau of Statistics.

However, the report's authors caution that the magnitude of flows into the Australian market from China is difficult to estimate precisely.

http://www.bbc.co.uk/news/business-26445106

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In 2005 I was asked to apply for a job in Sydney. I was tempted until I realized that selling my cheap flat in London would not get me anything in Sydney. Why they don't build more in the suburbs I don't know.

Because they are copying the same failed policies from here.

Why don't we build more properties in this country?

Because existing land owners do not want their property devalued by new building.

Because money has continually lost it's value over the last 30 years people have taken to using property as a store of wealth. The last thing people want is more houses printed, as they have seen what happened in Spain, Ireland and the USA.

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Because they are copying the same failed policies from here.

Why don't we build more properties in this country?

Because existing land owners do not want their property devalued by new building.

Because money has continually lost it's value over the last 30 years people have taken to using property as a store of wealth. The last thing people want is more houses printed, as they have seen what happened in Spain, Ireland and the USA.

Yup - unless the collapse comes soon, I think it's NZ for me over Oz as a long term stable place to raise a family.

Edited by wherebee

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Yup - unless the collapse comes soon, I think it's NZ for me over Oz as a long term stable place to raise a family.

As long as you do not need to work in Aukland. I have family in NZ and opted for Ireland over NZ as work was more plentiful outside of Dublin compared to Aukland.

Prices are looney in Aukland and just overpriced in places like Wellington.

IMO you would be better off in Ireland, somewhere like Galway or Waterford - lovely places and the people are nice. All depends what you are looking for I suppose.

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Because they are copying the same failed policies from here.

Why don't we build more properties in this country?

Because existing land owners do not want their property devalued by new building.

Because money has continually lost it's value over the last 30 years people have taken to using property as a store of wealth. The last thing people want is more houses printed, as they have seen what happened in Spain, Ireland and the USA.

Good point. As a home owner the Spanish style crash would be bad for me in the short term but I think it would be good for the UK.

Of course if I thought that were it probable I would sell but I don't because I think politicians really don't want a house price crash because they think that they would lose more votes than they would gain.

(Did anyone vote Tory in 97 because housing got cheaper?)

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3% of Chinas GDP disappears every year via rouge officials hiving the money off shore. It mostly goes into real estate, mostly Aus Can, USA. Aus govt plays 3 wise monkeys re the source of this magic investor money. Most of the flats they buy stay empty, renting it out would devalue it in their country so they do the same over here.

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3% of Chinas GDP disappears every year via rouge officials hiving the money off shore. It mostly goes into real estate, mostly Aus Can, USA. Aus govt plays 3 wise monkeys re the source of this magic investor money. Most of the flats they buy stay empty, renting it out would devalue it in their country so they do the same over here.

I had a colleague whose in laws were (not very high ranking) officials and they spoke of them being on their fifth London house as they couldn't keep the money onshore.

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3% of Chinas GDP disappears every year via rouge officials hiving the money off shore. It mostly goes into real estate, mostly Aus Can, USA. Aus govt plays 3 wise monkeys re the source of this magic investor money. Most of the flats they buy stay empty, renting it out would devalue it in their country so they do the same over here.

Good news, funny (smart) money will get wiped out rather than the banks, when house prices eventually correct and reflect the real economy.

I appreciate that markets can remain irrational a long time.

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I fear that there will be a lot of other losers before the property owners in Oz lose out. I see them as about 2005 in Uk terms. They can have exactly the same government madness as we have seen here....

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Why? (NE I assume)

Good point, it would only be bad for me in terms of a paper loss - unless prices crashed by 60% and 30% of the price the market gave me to me so I couldn't complain.

However the paper loss IMHO would annoy so many people that Labour/Tories (depending on when the crash happened) would not get elected again for 20 years.

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