Marisawright Posted March 8, 2015 Share Posted March 8, 2015 The house prices in Sydney do suck, that's for sure. If the transport infrastructure were up to date already, it would be so much easier to contemplate living further out from the CBD. Still determined to get on the ladder though, even if the commute is ridiculous. My other worry is, what if the bubble bursts? I know some people say the bubble can't burst because land is in such short supply - but surely that applies to London just as much, and they had a bubble that burst too... Quote Link to comment Share on other sites More sharing options...
Parley Posted March 8, 2015 Share Posted March 8, 2015 How do you know it is a bubble ? Quote Link to comment Share on other sites More sharing options...
Marisawright Posted March 8, 2015 Share Posted March 8, 2015 How do you know it is a bubble ? I don't. Neither does anyone else. That's the point. Quote Link to comment Share on other sites More sharing options...
ramot Posted March 8, 2015 Share Posted March 8, 2015 (edited) My other worry is, what if the bubble bursts? I know some people say the bubble can't burst because land is in such short supply - but surely that applies to London just as much, and they had a bubble that burst too... What date are you talking about in London out of interest? We have owned a house there for well over 15 years and there has been no bubble burst for us in that time, gone from strength to strength, has never been a year it hasn't increased in value, and we are talking about the scummy council house end of Islington, not the most popular area, but we went without to buy it. we rent it (small ex council terrace) out for more than my daughter pays for her terrace in Paddington, Sydney, which is much nicer than our London one, plus you aren't charged to park outside hers, whereas you have to pay for a residents parking ticket in London, to add insult to injury, just to park outside your own home. Not sure if you have to anywhere in Sydney? Both worth about the same, So both London and Sydney equally unaffordable. Not easy to buy in an expensive area in either country, Edited March 8, 2015 by ramot Quote Link to comment Share on other sites More sharing options...
Parley Posted March 8, 2015 Share Posted March 8, 2015 Yes you only ever really find out it was a bubble in hindsight. Although it could be but no sign of it dropping yet. Quote Link to comment Share on other sites More sharing options...
Shellybingobingo Posted March 8, 2015 Share Posted March 8, 2015 If you want to live in Sydney, there are no houses under a million dollars in a nice area. $600k will buy you a plot of land. I will ill be looking at perth by the looks of it ...I should get a ok house for that ....but I won't be doing it yet anyway ....there's a forum australian property forum I have a read and see what's going on I'll keep my eye on it lol Quote Link to comment Share on other sites More sharing options...
Marisawright Posted March 8, 2015 Share Posted March 8, 2015 (edited) What date are you talking about in London out of interest? Not sure exactly but it must have been the 1980's or 1990's. I can remember the company I was working for at the time, but I worked there for several years! I met a woman at work who had just emigrated from London. They couldn't sell their London terrace because the bubble had burst and it wasn't just worth less than they bought it for, it was worth less than their mortgage. And yes, there are parts of Sydney where you have to get a parking permit to park on your own street. Edited March 8, 2015 by Marisawright Quote Link to comment Share on other sites More sharing options...
flybyknight Posted March 8, 2015 Share Posted March 8, 2015 kinda ironic isnt it that it is the fact that there is so much migration and therefore demand, that house prices are so high. it's like complaining that you are stuck in traffic. YOU ARE TRAFFIC! the human condition, fun to watch Quote Link to comment Share on other sites More sharing options...
canadianaussie Posted March 8, 2015 Share Posted March 8, 2015 RE prices are one of the main reasons I'm leaving Australia. I'm ready to buy a house and could never afford to do it here. Much cheaper and better quality in a number of places I'm considering back home. Quote Link to comment Share on other sites More sharing options...
flybyknight Posted March 8, 2015 Share Posted March 8, 2015 RE prices are one of the main reasons I'm leaving Australia. I'm ready to buy a house and could never afford to do it here. Much cheaper and better quality in a number of places I'm considering back home. have you thunk about building? Quote Link to comment Share on other sites More sharing options...
Marisawright Posted March 8, 2015 Share Posted March 8, 2015 (edited) have you thunk about building? In many places, land prices rise with houses. Yes, you might be $100k or $200k better off at the end of the process, but you've also needed to pay rent (or double mortgage) for a year or so while building. Besides, even trying to find a block of land in inner Sydney is a challenge. Edited March 8, 2015 by Marisawright Quote Link to comment Share on other sites More sharing options...
Que Sera Sera Posted March 8, 2015 Share Posted March 8, 2015 In many places, land prices rise with houses. Yes, you might be $100k or $200k better off at the end of the process, but you've also needed to pay rent (or double mortgage) for a year or so while building. 6 months max for building and interest only for the mortgage. Quote Link to comment Share on other sites More sharing options...
Marisawright Posted March 8, 2015 Share Posted March 8, 2015 6 months max for building and interest only for the mortgage. Obviously I've been watching too many Grand Designs. Quote Link to comment Share on other sites More sharing options...
xxlornaxx Posted March 8, 2015 Share Posted March 8, 2015 (edited) Houses are very reasonable outside capital cities..Australia is huge..I dnt knw why ppl focus so much on just the cities..many beautiful places wth jobs..reasonable priced houses n great services..I can afford a house here more than I could when I was living in uk..n a much better house too Edited March 8, 2015 by xxlornaxx Quote Link to comment Share on other sites More sharing options...
JockinTas Posted March 8, 2015 Share Posted March 8, 2015 We live in a very nice house in Tasmania. It would probably cost 3x the price in Sydney. Quote Link to comment Share on other sites More sharing options...
Parley Posted March 8, 2015 Share Posted March 8, 2015 Best thing is to be ready when the correction happens, if it does and buy into a good or better area then. Quote Link to comment Share on other sites More sharing options...
Captain Roberto Posted March 8, 2015 Share Posted March 8, 2015 The was no bubble burst in the last UK recession. It was a recession elsewhere in the UK, but it didn't touch the South East and all the other wealthy parts. In the UK it's very much divided between the wealthy and the rest of us. And since the Tories have got in, that divide is increasing. It's the way they want it. The rich get richer (the top band) and everyone else pays the price. Quote Link to comment Share on other sites More sharing options...
Captain Roberto Posted March 8, 2015 Share Posted March 8, 2015 So if you are rich already it's good news! If you aren't it's a bit depressing in UK. I know loads of young people, professionals who earn fairly good pay who struggle to get a mortgage. It's a post-recession problem Quote Link to comment Share on other sites More sharing options...
Marisawright Posted March 8, 2015 Share Posted March 8, 2015 We live in a very nice house in Tasmania. It would probably cost 3x the price in Sydney. You're probably right. We seriously considered going to Hobart instead of going back to the UK. Houses are half the price of Sydney, even in Hobart. Quote Link to comment Share on other sites More sharing options...
Marisawright Posted March 8, 2015 Share Posted March 8, 2015 Houses are very reasonable outside capital cities..Australia is huge..I dnt knw why ppl focus so much on just the cities..many beautiful places wth jobs..reasonable priced houses n great services..I can afford a house here more than I could when I was living in uk..n a much better house too It depends what kind of lifestyle you're after. Some people are happy in a small town, other people like to live in the big city. I've tried living in country and small-town Australia and hated it (and I'd hate to live in the country in the UK too). People are looking for different things. It also depends a lot on what kind of job you do. For some jobs, there is little or no opportunity outside the main cities. Quote Link to comment Share on other sites More sharing options...
Marisawright Posted March 8, 2015 Share Posted March 8, 2015 Best thing is to be ready when the correction happens, if it does and buy into a good or better area then. I take it you mean best thing is to stay out of the market until the correction happens, and then buy? If you're already in the market and have a big mortgage, you could be stuffed. Quote Link to comment Share on other sites More sharing options...
flag of convenience Posted March 8, 2015 Share Posted March 8, 2015 Not sure exactly but it must have been the 1980's or 1990's. I can remember the company I was working for at the time, but I worked there for several years! I met a woman at work who had just emigrated from London. They couldn't sell their London terrace because the bubble had burst and it wasn't just worth less than they bought it for, it was worth less than their mortgage. And yes, there are parts of Sydney where you have to get a parking permit to park on your own street. Late 80's remember the time well. Many got burned in London. Folk reported dropping keys on desks of building societies. It was easy to some great deals in the early 90's. They had doubled in price before the decade was out. Quote Link to comment Share on other sites More sharing options...
flybyknight Posted March 8, 2015 Share Posted March 8, 2015 I think Australia's correction may be a hard one, it's been a very long time coming, but the wind up of coal, with the government pumping tax payers cash at it like it's some kind of pillar of the Australian economy doesn't bode well. there are stories circulating of houses in mining towns going from 300k to 1.2mil then selling recently for 250k, all tied to the pits. i hope the economy is more robust and diversified than mineral extraction, the governments actions suggest it's either not, that they are corrupt. i hope they are corrupt, it will sting less in the long term! Quote Link to comment Share on other sites More sharing options...
Marisawright Posted March 8, 2015 Share Posted March 8, 2015 So if you are rich already it's good news! If you aren't it's a bit depressing in UK. I know loads of young people, professionals who earn fairly good pay who struggle to get a mortgage. You'll find exactly the same problem exists in Sydney, Canberra and Melbourne. In Sydney, rents are also high. As a result, my friends are always joking that they'll never become "empty nesters" - their kids are still living at home in their thirties. Quote Link to comment Share on other sites More sharing options...
Marisawright Posted March 8, 2015 Share Posted March 8, 2015 Late 80's remember the time well. Many got burned in London. Folk reported dropping keys on desks of building societies. It was easy to some great deals in the early 90's. They had doubled in price before the decade was out. ....and I'm sure most people didn't see it coming. I'm not sure whether Sydney's a bubble or not. Everyone says prices can never drop because there's such a shortage of supply - but surely there has always been an even greater shortage of supply in London and Tokyo, and both those cities had bubbles that burst nevertheless. Quote Link to comment Share on other sites More sharing options...
Recommended Posts
Join the conversation
You can post now and register later. If you have an account, sign in now to post with your account.