Australian House Prices

[Zack]

Oh Dear You will have upset all those that have their Rose tinted glasses ,super clued to their face. One Couple have just got their Australian Citizenship.And they say,they feel so different. it's such a wonderful feeling. This One Takes the Cake!

[AJ]

 

What A great Letter,You Should Be Congratulated. Most Migrants From The UK .Think Australian Houses are so wonderful,With sea views and a olympic swimming pool. That's what most write about on here. Just Been Reading a blog from a couple in Perth.the have a Huge House On the Beach,And 2 investment Properties. They are Both Nurses,and have been here 2 years.

What a load of bollocks, just because a few migrants that write on an internet forum seem to think that they have to have a McMansion, it is not the majority! I know plenty who quite happily live in the older suburbs or buy houses to do up.

[Kenfrapin]

The OP is right on many levels but it's all down to your personal needs and situation, which other forum members have rightly pointed out.

I do not agree its all that bad though. Perhaps too many older expensive places closer to the CBD so then you need to move out a little further, would'nt you do that back in your home country?

 

I guess the issue and nagging feeling crops up when you fly over thinking its a different world, its all easy and all affordable. Definitely not! We had a great time looking at a few places 20km from the CBD and they were wonderful. Cheaper than what we pay out in the UK, yes not as pretty because its a newer suburb but putting things into context, it works for us very well and gives us the lifestlye and home we want

 

Unfortunate the OP had a bad time and all the best back in lovely UK, I will miss this place for sure but cant wait to settle down in Melbourne

 

KnK

[flybyknight]

op, you are going about it wrong, if you want a house here in australia you have to build.

the thing i feel you havn't taken into consideration is the rarity of buildings a pom, or anyone for that matter from a modern western country would consider a house.

once a person makes a house that's comfortable, with the things on your wish list, do you really think they'll sell it?

what also plays against you is how aussie houses are sold on land size, this means the quality of a house makes very little to no difference on the asking price.

quite simply you'd have to be mad to sell a high quality house here, you wouldn't make your investment back.

build... its the only way.

[Wooba]

What does this cost flybyknight? Very, very rough figures.. let's say a nice northern suburb of Gold Coast. What does land cost and what does the building of a house, say a 2 bedroom, 2 bath house?

[flybyknight]

hard to know tbh, i know building a typical Aussie chuck up house is still lucrative in the major cities, and double glazing is coming down in price, a good house can be built for about 10% more in areas around Melbourne. however as most people move on, and this 10% isn't guaranteed to be realized in the resale value, most people build crap.

in all honesty, who can blame them? it's all about the money.

 

if you want to have a play with figures and areas http://www.domain.com.au/ is quite a friendly real estate site.

it is a minefield though, id fully recommend renting for a bit, find your feet first.

Edited June 22, 2016 by flybyknight

[Wooba]

Thanks.. we'll definitely be renting for the foreseeable future. Building is not something I'd ever considered, but your post has me curious for sure.

[Jarp]

op, you are going about it wrong, if you want a house here in australia you have to build.

the thing i feel you havn't taken into consideration is the rarity of buildings a pom, or anyone for that matter from a modern western country would consider a house.

once a person makes a house that's comfortable, with the things on your wish list, do you really think they'll sell it?

what also plays against you is how aussie houses are sold on land size, this means the quality of a house makes very little to no difference on the asking price.

quite simply you'd have to be mad to sell a high quality house here, you wouldn't make your investment back.

build... its the only way.

 

Probably one of the smarter things said in this topic I think. Only downside of building is that by the speed the cities expand, you'll be half expecting reaching Uluru by 2030 :laugh:

 

I don't really see the whole unaffordability issue tbh. Major cities are expensive. In Amsterdam the current average price is around AUD 7500 per sq. mtr. and mind you, a garden is rare. And just like London, Sydney, Melbourne and the likes cost money.

[kevsan]

Still not sure i agree with the sentiment. We have just bought in Melbournes outer suburbs, a 3 bed 2 bath house on a plot 2.5x the size of the one we had in the UK, it needs some work, but we'll get there. We had our deposit from our UK sale and now have a 90% mortagage and our monthly repayments are $12 a month less than our rental. Its not unaffordable.

Edited June 23, 2016 by kevsan

[Lambethlad]

Another example of property market madness in Sydney.

http://www.msn.com/en-au/news/australia/sydney-woman-rejects-back-dollar26m-offer-on-home/ar-AAhBxSg?ocid=spartanntp

[Paul2412]

Our rental for a 50's 3 bed 1 bathroom house in Brisbane was $2160 per month. It did have a swimming pool but no real yard and was in a slightly better suburb.

We've now bought a house built in 2000, 4 bedroom and 2 bathroom on 725sqm of land. Mortgage repayments are $1920 per month (80% LTV)

 

I don't think housing affordability is any different to the UK. I owned an apartment in the middle of Sheffield which was 2 bedrooms but rather tiny. If you convert what we paid into GBP it's just under double the price of what I sold my apartment for and the house is at least double the size.

[newjez]

Our rental for a 50's 3 bed 1 bathroom house in Brisbane was $2160 per month. It did have a swimming pool but no real yard and was in a slightly better suburb.

We've now bought a house built in 2000, 4 bedroom and 2 bathroom on 725sqm of land. Mortgage repayments are $1920 per month (80% LTV)

 

I don't think housing affordability is any different to the UK. I owned an apartment in the middle of Sheffield which was 2 bedrooms but rather tiny. If you convert what we paid into GBP it's just under double the price of what I sold my apartment for and the house is at least double the size.

 

I have to say, can't understand how Perth maintains it's premium over Brisbane . Adelaide you expect, as it's down in the dumps right now, but I would expect Perth to be on a par with Brisbane . Either Brisbane has some growth, or Perth has a bit more to fall.

[Parley]

Another example of property market madness in Sydney.

http://www.msn.com/en-au/news/australia/sydney-woman-rejects-back-dollar26m-offer-on-home/ar-AAhBxSg?ocid=spartanntp

 

 

what is the shock ? That an 82 year old women is not interested in receiving $26M dollars.

Not surprising really.

 

All comes down to the land value. If it was close to London it would be worth just as much.

[flag of convenience]

Probably one of the smarter things said in this topic I think. Only downside of building is that by the speed the cities expand, you'll be half expecting reaching Uluru by 2030 :laugh:

 

I don't really see the whole unaffordability issue tbh. Major cities are expensive. In Amsterdam the current average price is around AUD 7500 per sq. mtr. and mind you, a garden is rare. And just like London, Sydney, Melbourne and the likes cost money.

 

Well in Amsterdam, a city I know a bit, it is rather easy to live cheaper, further out in Utrecht for example and commute. There are rental laws in place that protect renters rights. A German friend of mine has government housing at a very affordable rent, right in the city centre, close to the palace.

 

Australian cities are all over priced. Not only that practically unaffordable to those not already in the market or without serious help.Regardless of city location. Netherlands is not like that. Even in Australia most big towns/cities share the over priced category.

 

This has not been the case until the last decade and a half or so (affordability issues on the Australian housing market) and mentioning London, a city where global banks and capital finds a home, is very unrelated to Australian pricing realities.

 

The real estate industry maintains great influence over government policy in this country, just as government ministers have substantial property portfolios which some say clouds their vision towards other sentiment ..

[Parley]

Here is nice little place in London.

 

http://search.savills.com/list/houses-for-sale/england/london/london/ec3n?gclid=CIquudmbmM4CFZOWvQodeIoJMQ#/r/detail/gbsshsslh150026

 

It is yours for only £55,000,000

 

No land though. I think Australia is much better value.

[flag of convenience]

I have to say, can't understand how Perth maintains it's premium over Brisbane . Adelaide you expect, as it's down in the dumps right now, but I would expect Perth to be on a par with Brisbane . Either Brisbane has some growth, or Perth has a bit more to fall.

 

Perth should have a substantial amount more to fall. Will it be allowed to? They naturally talk up the market, so if not, ' inside the bubble' in a matter of speaking, or close contacts whom are, it can appear still steady as she goes. The reality is something different, but prices maintaining value more than could have reasonably be expected, for the moment.

 

Perth, has not been over successful in selling to overseas Asian investors. They have tried and continue to , but the Chinese market has limited interest, with sights more on Brisbane now Sydney is judged expensive.

 

Still the latest tax introduced by the Canadian government, something that should certainly follow in Australia (but probably won't) will likely entice those buyers aware from Canada and towards Australia.

[flag of convenience]

Here is nice little place in London.

 

http://search.savills.com/list/houses-for-sale/england/london/london/ec3n?gclid=CIquudmbmM4CFZOWvQodeIoJMQ#/r/detail/gbsshsslh150026

 

It is yours for only £55,000,000

 

No land though. I think Australia is much better value.

 

Australia has serious affordability issues that need to be addressed as a matter of urgency. Comparing anything with London. is meaningless in the run of things. London caters for a specific market these days and hardly related.

[flag of convenience]

Our rental for a 50's 3 bed 1 bathroom house in Brisbane was $2160 per month. It did have a swimming pool but no real yard and was in a slightly better suburb.

We've now bought a house built in 2000, 4 bedroom and 2 bathroom on 725sqm of land. Mortgage repayments are $1920 per month (80% LTV)

 

I don't think housing affordability is any different to the UK. I owned an apartment in the middle of Sheffield which was 2 bedrooms but rather tiny. If you convert what we paid into GBP it's just under double the price of what I sold my apartment for and the house is at least double the size.

 

Both countries went insane over property and prices. A lot depends on suburb, desirability, closeness to shops, security perceptions, transport options and prices a decade ago.

[flag of convenience]

Still not sure i agree with the sentiment. We have just bought in Melbournes outer suburbs, a 3 bed 2 bath house on a plot 2.5x the size of the one we had in the UK, it needs some work, but we'll get there. We had our deposit from our UK sale and now have a 90% mortagage and our monthly repayments are $12 a month less than our rental. Its not unaffordable.

 

It is not unaffordable but perhaps undesirable for many to live in outer suburbs. I can think of a host of issues with such locations. But if your content with your purchase, the rest doesn't matter. Oh and mortgage payments do rise of course.

[flag of convenience]

Thanks.. we'll definitely be renting for the foreseeable future. Building is not something I'd ever considered, but your post has me curious for sure.

 

Loads on migrants build here. I know three at the moment at different stages of completion. Be prepared for more expenses than initially calculated and good luck dealing with tradespeople. Although many buy of the plan.

[Johndoe]

Australia has serious affordability issues that need to be addressed as a matter of urgency.

 

You've been trotting on about affordability (or lack of it), bubbles bursting et etc for years now Flag and we're still waiting. Never mind, the capitalist cycle will rescue you and likely kick in sooner or later, and then you can have the pleasure of saying, "I told you so"

[newjez]

You've been trotting on about affordability (or lack of it), bubbles bursting et etc for years now Flag and we're still waiting. Never mind, the capitalist cycle will rescue you and likely kick in sooner or later, and then you can have the pleasure of saying, "I told you so"

 

 

If houses were affordable everyone would want one.

[Rallyman]

Loads on migrants build here. I know three at the moment at different stages of completion. Be prepared for more expenses than initially calculated and good luck dealing with tradespeople. Although many buy of the plan.

 

 

Dont need luck in dealing with tradespeople

[Jarp]

Well in Amsterdam, a city I know a bit, it is rather easy to live cheaper, further out in Utrecht for example and commute. There are rental laws in place that protect renters rights. A German friend of mine has government housing at a very affordable rent, right in the city centre, close to the palace.

 

Australian cities are all over priced. Not only that practically unaffordable to those not already in the market or without serious help.Regardless of city location. Netherlands is not like that. Even in Australia most big towns/cities share the over priced category.

 

This has not been the case until the last decade and a half or so (affordability issues on the Australian housing market) and mentioning London, a city where global banks and capital finds a home, is very unrelated to Australian pricing realities.

 

The real estate industry maintains great influence over government policy in this country, just as government ministers have substantial property portfolios which some say clouds their vision towards other sentiment ..

 

What's your point? Australia has social housing as well. In the Netherlands you will not get a social rental if you earn over roughly 35K annually (as a family, figure from the top of my head, cba looking the exact up).

 

The tennant protection is great, albeit a bit OTT. If you once in the '70s agreed upon a 100/month rent, chances are you're still not paying much more and who ever owns the property has no way to adapt or boot you. That's wrong. And it's also wrong that in the Amsterdam city ring you can't afford to buy anywhere under 5k p sqm, but, if you have patient and fit the social housing profile, you can rent for as little as 400/mnt. Unfair.

 

Australia is exy, which is fine. Just wondering wether it can sustain the prices with so much land still available.

[Fisher1]

I thought the Australian house buying situation was bad but it's going to get worse courtesy of a new Australian visa type coming into force on July 1st. Trying to find a house in a catchment area of a good state school is challenging to say the least as it is now but it's going to get worse.

 

For those unfamiliar with the house buying in Australia most house viewing inspections take place on Saturday. I've spent over a year looking for a place. I'm not picky but the quality of Australian housing is appalling with the vast majority of houses being wooden structures with a thin veneer of brick cladding. No central heating (it gets cold in Melbourne in the winter), no double glazing (it is definitely needed in Melbourne) and no city wall insulation. I also doubt they are built on concrete foundations as I have seen the most unbelievable cracks and patch jobs that are clearly structural and most likely caused by movement and in new builds as well. A freshly rendered house always makes the alarm bells ring as I'm sure they're hiding cracks. If that isn't bad enough under-quoting is rife. I've asked several agents, "what does it mean when the price says 600+" and the answer is "the + means + 10%"! So you spend time looking at houses, visit them on your day off and then they're clearly out of your range. Add into the the stamp duty costs here, stamp duty on a 600K place (which doesn't get you much here now) is a whopping $32,553 or over 16K GBP. The housing situation here is REALLY bad.

 

It's going to get even worse as a result of the following visa coming into effect in July:

 

http://www.macrobusiness.com.au/2016/06/turnbull-opens-new-student-migration-scam-floodgate/

 

I feel fortunate to be able to return to raise my kids in the UK because I wan't my little girl and boy to have a bedroom of their own like I had but that's just not possible here. Yes, you can get work but housing is out of reach unless you are willing to take on a big mortgage debt and frankly it's just not worth it.

 

What do other people think about housing here?

 

Australia touts itself as being "Family friendly" but how can that be the case if home ownership is out of reach for migrant families that don't have boomer parents to help them out? It's hard enough migrating to another country and made harder by not being able to put down roots. Honestly, having lived here for several years now it's quite clear to me that migration is big business here. I don't think it's intended for most of us to settle, as long as we drop cash on the way in and way out then Australia seems to be happy with that. If there's one thing Australia excels at it's marketing. The brochures (and stats) look great but the reality of life here is quite a different matter.

 

And to think that Melbourne is the most liveable city. I can only attribute that to some dishonesty. It all makes sense now. Why do they keep banging out about "integrity" here, it's clear now, because this is a nation built on lies.

 

If one word encapsulates Australia it's this:

 

FACADE.

 

 

I'm sorry if you haven't been able to afford a suitable house in Australia, it must be disappointing for you. However, I fail to see the relevance of the ageist comments about "boomer" parents. Yes, I said ageist because in using that term you are identifying a group of people born in a particular time band as being loaded with money to pass on to their (spoiled?) kids. I hate to spread a bit of reality on this unattractive picture of people born shortly after WW2 but there are many who are not loaded with dosh actually. There are many in that age group who are having to work into old age. There are thousands of people of retirement age working 24/7 looking after elderly demented and infirm parents (these are the ones who, in spite of having sacrificed their youth defending their countries get next to no help from the state when they need it). So don't you dare look at our collective perceived situation and toss casual jealous remarks into your litany of complaints.