Housing Affordability for GEN Y

N

Nixba

Hi guys,

I'm interested to get your thoughts. My friend posted the following onto Facebook earlier in the day and the debate that has followed has been quite extraordinary. Very strong opinions on both sides as you can imagine.

"There is some concern even people on modest to moderate incomes will never really be able to afford to buy," Professor Hulse said. "And for some people that is going to be a big problem."

Maybe if people didn't waste lots of money on alcohol etc they'd be able to afford their own home.. It's pretty simple.. You can either YOLO it up, or you can set yourself up for the future. But don't complain when you can't do both... Don't blame it on "expensive property prices" that previous generations "didn't have the problem of". The fact is previous Generations took some accountability and responsibility with their finances.. and went out there and worked.. and saved their money so they could have a future..

I just don't understand why people choose this life style of not even having their own room... They are probably complaining they don't have any money.. but go out each weekend and pay $7+ a Drink...

http://www.theaustralian.com.au/new...en-ys-adventure/story-e6frg6nf-1226761472445#
Click to expand...

I'm GEN Y also, and about to exchange on my 2nd property with the view to buy 2-3 more next year. I'm very blessed to be in such a position. I'm interested to get the thoughts of the forum.

Is it that Gen Y being unaccountable for savings and spending?

Is it housing prices driving Gen Y out of the market (due to no fault of their own)?

Is it Gen Y's expectations to live on the North Shore / Eastern Suburbs for their first home unrealistic and the market is just reflecting this? Instead they should be focusing on moving into a place in the Western Suburbs where 'they can afford' as opposed to sticking their noses up at these such areas?

Was it as hard to get into the market in previous generations past?

Look forward to hearing your thoughts.

Regards,
Nixba
 
The reasons Gen Y will not be able to buy are
1) Their self-entitlement level is off the charts
2) They're not prepared to buy something modest; it must be within x km of the CBD
3) They'e not prepared to go to work for a few years first
4) They spend all of their money on their social life and physical appearance and none is left over for their house deposit savings.

Poor frigging diddums!
 
Hey Nixba

I'm 24, been working for under 3 years in a not hugely high paying job and I'm looking to purchase my second property in the next few months.

A few others in my workplace around the same age are looking to buy / have bought as well. Although some of them have had help from the parents.

I believe its just an expectation thing that their first home has to be a great place. (Buying close to the city in perth) etc.
 
dtraeger said:
The reasons Gen Y will not be able to buy are
1) Their self-entitlement level is off the charts
2) They're not prepared to buy something modest; it must be within x km of the CBD
3) They'e not prepared to go to work for a few years first
4) They spend all of their money on their social life and physical appearance and none is left over for their house deposit savings.

Poor frigging diddums!
Click to expand...

What absolute nonsense.

Pathetic generalisations and misguided assumptions.
 
There's a bloke I know who was like that. He was happy to rent all of his life, and spent everything in lifestyle- with nothing to show by age 32 but a lot of books.

But I then met the love of my life, go married, settled down, and bought the house (we've now been there 20 years) and later some IPs.

Actually we could only afford the block of land for a start. It took a few years to be able to build.

It's not jut Gen Y.
 
Hi Nixba,

People have to start somewhere and aiming to high is not a good start.
They have to bare in mind,what they can afford and go from there.
Housing is affordable where you buy where you can afford.
Just like in a new job,you have start at the bottom and work yourself up the ladder.

Cheers Spades.
 
Ideo said:
What absolute nonsense.

Pathetic generalisations and misguided assumptions.
Click to expand...

I see it every day.

I'm Gen Y myself (or maybe cusp of Gen X?) so associate with many of the above. Twice over i've had to make sacrifices to get myself a modest home in the outer suburbs. I'm sick of hearing everyone complain about not being able to buy - there are no excuses.

If i can, anyone can, trust me on that.
 
It all boils down to making sacrifices. If you want something bad enough you'll work hard to achieve it! With determination, comes success...
 
Most of my friends have either
a) Bought a house/actively searching
b) renting with friends to save more money
c) At uni doing a MA while working full time so renting
d) Investing heavily in other areas and renting (that would be me)
e) Renting and spending money on other things but not complaining.
f) Building up their own business, and either living in a cheap place they have purchased or renting.
g) Renting in the area they want to live and saving to purchase in that area, and understanding that this will take them longer.

This whole nonsense about self entitlement is just that. Nonsense. Yeah, I'm sure some people are. But not a whole generation. And not just in that generation. I've got friends in there 50s who don't own property. I've got friends in their early 20s that own 4 properties.
 
Ideo said:
Most of my friends have either
a) Bought a house/actively searching
b) renting with friends to save more money
c) At uni doing a MA while working full time so renting
d) Investing heavily in other areas and renting (that would be me)
e) Renting and spending money on other things but not complaining.
f) Building up their own business, and either living in a cheap place they have purchased or renting.
g) Renting in the area they want to live and saving to purchase in that area, and understanding that this will take them longer.

This whole nonsense about self entitlement is just that. Nonsense. Yeah, I'm sure some people are. But not a whole generation. And not just in that generation. I've got friends in there 50s who don't own property. I've got friends in their early 20s that own 4 properties.
Click to expand...

So your small circle of friends defines a generation?
 
Kesse said:
Serious question - what do you think is keeping Gen Y/FHB'ers out of the market?
Click to expand...

A few factors
1) Price. It just takes a bit longer to save
2) Dealing settling down (in terms of long term partnerships). The property market has increased the average price from 3x average wage to a bit under 6x average wage, as both people in a relation ship tend to work. If you are single, it makes it a bit harder
3) Change in workforce habits. More and more jobs are casual/contract positions. That uncertainty leads people to save more and can cause issues getting loans
4) Some people just waste money on needless crap
5) Constant media reports about the market going down/up/sideways/diagonal depending on day of the week creating uncertainty
 
Ideo said:
A few factors
1) Price. It just takes a bit longer to save
2) Dealing settling down (in terms of long term partnerships). The property market has increased the average price from 3x average wage to a bit under 6x average wage, as both people in a relation ship tend to work. If you are single, it makes it a bit harder
3) Change in workforce habits. More and more jobs are casual/contract positions. That uncertainty leads people to save more and can cause issues getting loans
4) Some people just waste money on needless crap
5) Constant media reports about the market going down/up/sideways/diagonal depending on day of the week creating uncertainty
Click to expand...

So a few of our factors were the same. I added a couple of extra and you added a couple of extra, what exactly were you jumping up and down about?
 
You must log in or register to reply here.

Similar threads

see_change
?What Crisis??: How to buy a Sydney apartment on a $29,000 salary
Replies
18
Views
4K
see_change
see_change
hobo-jo
Somersoft Goodbye Thread
2 3
Replies
43
Views
14K
paulzag
paulzag
D
Mornington - VIC
Replies
11
Views
2K
DinoJess
D
R
House and Land package with Possibility of granny Flat ?
Replies
2
Views
1K
serendip
S
A
Help me reach my goal!!
Replies
12
Views
3K
Deltaberry
D
Back
Top