I believe the "luxuries" of today are overseas travel and upgrading the car every so often. The things I think could be classed as luxuries (cable TV, mobile phones, new computer every two years) are not luxuries to my kids but things they would struggle to go without. But they could do without them if they really wanted to save hundreds per month to get into a house.They are all choices. My kids don't see these as luxuries. They are standard, but my kids also scoff at my $17 monthly phone plan. We each do what suits us, but someone with a $70 per month phone plan will get no sympathy from me when they could manage by using the home internet for rather than have both. They don't see it as discretionary. My kids will not do without cable TV either. Or a fancy car. More choices that take money every month that we didn't spend (didn't have a choice on cable TV, internet or mobile phones of course). They could downsize all that stuff or do without and save so much quicker, if they choose to. They don't.
It isn't just we baby boomers whinging. I believe this whinging thread was started by one of those younger folk? Yes?
The cost of airfares from decades ago is pertinent because compared to a flight to England today which can be bought for about $1.7K, the same flight would have cost me the equivalent "back in my day" of over $8K. I could buy a house or I could travel. I could NOT do both.
My 26 year old son has (within the space of five years) bought a unit, bought a house with his partner, done it up and sold it, and bought another house with his partner and they are looking at spending around $700K on a major renovation. It will be worth over $1.5M finished. They have been to New York on one trip (cheap airfares, stayed with friends most of the trip) and London and Paris. I say "good on them" but refuse to acknowledge when they whinge (and they do) about maybe not being able to afford a $40K kitchen. I say put on a cheap bench top until you can afford stone. They say "no".
They will not compromise on the quality of the finishes for the renovation no matter how much we try to hose it down a bit.
Aged 26, I had bought a quarter share in a house, half share in a unit (had to sell both when family members needed their money out) and my first "all mine" house for $46K. It was 7 squares (size of a smallish unit), hideous kitchen and bathroom. I couldn't afford to renovate anything.
So, you see the comparison of "extra" things like travel is very important because these days, many younger folk want both, and can do both because it is so much cheaper. And good on them. If I could have done so I would have renovated rather than travel, but I couldn't afford to do either. My friend's parents (now in their 70s) also could not afford a toaster and put it on hire purchase when they married in the 50s.
The comparison is not as a whinge, but to try to help younger people get some sort of understanding of how very different things were even 30 years ago. My kids are amazed that a toaster bought in Woolworths for $20 would one day have had to be bought on hire purchase with a signed contract.
I recall very clearly that once I had a mortgage, I had no discretionary spending money for many years. Then I married and had kids and it is really only when I hit my 40s that things freed up a little. Now I can pretty much do what I like, but it was the early hard work and sacrifice that has put us in this position, not luck.
I'm so over this boomer bashing. I wasn't even a boomer until they changed the dates. Now I feel old
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So many things have changed, not just house prices, that to compare today with even the 1980s is like comparing apples and grapes. It was just as hard back then, just in different ways. I couldn't easily et a loan as a woman for starters in the 1980s.