Search results

Got a link to the report? A few years in the 1990s that were far from double... Yields: Rates:

There are plenty of other times where buying hasn't been as expensive vs renting as it is now. I just picked the most recent as an example.

1. No it hasn't, infact it was only 2 years ago that the gap was signficantly smaller in some areas due to interest rates being around 2% lower and prices not having risen much since. 2. We haven't had falling prices for the last 10 years, so that hasn't been a constant as you claim. 3...

I guess we'll have to wait and see. What sort of timeframe do you put on that happening BV (e.g. when do you think we'll see rising prices again)? Unconventional Economist goes through a variety of corrections seen globally over the last few years in an attempt to gauge what we might see here...

BV, all these anecdotal stories don't add up to much. I have 3 family members selling or sold recently, one sold in Adelaide after the first open inspection receiving 4 offers (the one they took was in the advertised range, sub $350k), another selling in QLD for around $300k (best offer has been...

Your opinion is just that. An opinion! It is not fact! :)

It was a reply in kind to the same from Ridin-High (and lizzie earlier in the thread). It's not only inner city that has soared to ridiculous heights though. Regional and outer suburban areas are also at highs when measured against rents and local incomes, etc. If this was not the case then...

From the figures I've seen rents are rising strongly in some Sydney areas. I wouldn't count on this occurring across the board in the medium term if we see this house price corrrection continue. The Australian economy is already weak, would not be surprised to see recession within the next few...

Possible, but the government appears to be much more conservative now, looking to get us back into surplus rather than deficit spending and the slowing economy and housing markets are already looking to put pressure on the coffers, I can't see them pulling another FHBB out of their hats. I...

In Silver you are talking days/hours to time a correction, in my opinion the opportunity to buy property for cheaper price (than today) will last years. I would not expect a FHB to be able to time the bottom exactly.

I'm not sure how you conclude it's double dipping? If they put the $40k in as a 10% deposit then it's working to reduce the interest payments they would have otherwise had. If they don't buy then they still have the $40k cash and the interest income from this should be factored into the rental...

You are discounting the opportunity costs of the 10% deposit, you can't do that in a financial calculation and expect to be taken seriously. If someone had $40k as a 10% deposit, then you need to add the benefit to the other side (e.g. the income they would receive from the interest), at 6% and...

Is that $20pw outgoings inclusive of the 10% deposit and costs? If not then don't you agree that it's pretty deceptive using those figures to try and make things look better than they are?

That’s true, but if a renter was to save the difference between renting and buying there would be quite a few years of rent rises built in. Consider the situation where a house is priced at $300k, $250pw to rent it (4.3% yield). Interest on $300k at 7% would be $400. That’s 10 years worth of...

GetUp! may have rejected the home buyers strike proposal, but that doesn't mean that FHBs can't look at the market objectively and decide for themselves that now is not a good time to buy. Of course some of these reasons are subjective, they also don't necessarily apply to FHBs only...