Ahh now I see why you reacted to my other post on alcohol.If they were the best years why didn't you continue living like that?
Absolutely no idea what you are trying to imply here and I suggest you read and let sink in the rest of my post.
Homes officially out of reach for under 35's
- Thread starter haydos1979
- Start date
Absolutely no idea what you are trying to imply here and I suggest you read and let sink in the rest of my post.
Why does it have to be either one or the other? A little discipline, a little planning and you can have it all. Instead of just travelling in a gap year block, work overseas for a few years instead and travel between jobs and on holidays. Especially when the exchange rate works in your favour, you can experience the world, build your resume AND make money and invest. All at the same time.
I did the travelling bit o/s and bought an IP within months of coming back, whereas my friends that didn't travel didn't buy property till much later.
Travel is CHEAP when you're single and don't mind sharehouses, backpackers and working your way around different countries.
It's definately worth postponing your investing a year or two for, although after I bought I did a similar thing here.
Come to think of it a guy I shared with in London, who was a friend from here, became a millionaire before they were common, and he was there longer than me, and we both drank too much booze.
Travel is CHEAP when you're single and don't mind sharehouses, backpackers and working your way around different countries.
It's definately worth postponing your investing a year or two for, although after I bought I did a similar thing here.
Come to think of it a guy I shared with in London, who was a friend from here, became a millionaire before they were common, and he was there longer than me, and we both drank too much booze
.All that statistic tells me is that there are parents willing to give money to their children to buy a home.
or a 40 yr old living at home paying no board...........believe you me ive seen it
Enough to make up 10% of first home buyers? Improbable. People getting money from parents to buy a place is much more probable.
I thought I would provide the link from the Australian Bureau of Statistics with regards to first home buyers without a mortgage.
http://www.abs.gov.au/ausstats/[email protected]?OpenDocument
Unfortunately, the demographics and characterstics of first home buyers without a mortgage are not defined. Most of the article focusses on FHBs with a mortgage.
If you go to Table 4, you will find that the percentage of FHBs without a mortgage in 1995-1996 was about 16% dropping to 6.9% in 2008.
Still, most people associate home purchase as being done with a mortgage and how allegedly difficult it is. Therefore, I always like to point out that many buyers do it without a mortgage even with their first home.
If the majority of these buyers get the money from family, how exactly does it prove that property is affordable? If it's 10% of FHBs, a decent number, what's more probable? That they saved the money, or the money came from family?
It is quite common to have some deposit gifted or a house bought for you. I know many who have had this happen...
but... recently my mothers friend's daughter, who just got married aged 40ish, saved around 400K in the time she lived at home, AND she had a house given to her years ago, that sat vacant for years, because she had a bad experience with tenants.
The house is in a very desirable Adelaide suburb but she lived in her parents modest home with them because she preferred to (was not there to mooch or to save - she almost never went out other than to work her professional job).
I think too, that saving to buy a house outright is not anywhere near as common as gifting cash to buy outright.
but... recently my mothers friend's daughter, who just got married aged 40ish, saved around 400K in the time she lived at home, AND she had a house given to her years ago, that sat vacant for years, because she had a bad experience with tenants
.The house is in a very desirable Adelaide suburb but she lived in her parents modest home with them because she preferred to (was not there to mooch or to save - she almost never went out other than to work her professional job).
I think too, that saving to buy a house outright is not anywhere near as common as gifting cash to buy outright.
my old ladies cousin did this.... moved out at 43.. house paid in cash....had to take with him his 3 dozen boxes of playboy mags though...loser
We really don't know how the 10% of FHBs buy their house outright. It does prove that property is much more affordable than is generally portrayed by the media. One if people can save the median price of 500k for a house, it must mean that houses are not that expensive, relative to income. Two, if families can give them money, again, it must mean that houses are quite cheap and affordable.
I disagree on this point. Most wealthy people are self made and not inheritance derived. Most of us are not born with a silver spoon but have to make our way in the world. I think that most FHBs who buy their house outright have either made a lot of money at a young age, are good investors and/or live thrifty lifestyles. We need to learn from them.
I disagree.
If a larger percentage had no mortgage then yes. But that 10% isn't indicative of anything really.
Wealthy foreigners, people working in the mines, people with wealthy parents, lottery winners. But hardly indicative of a common position.
Spot on. We generally take a month off each year for overseas travel. It's about balance, and working towards long term goals.
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