Housing Affordability in Australia
There are some people out there who you just have to take your hat off to. Eve Roberts appears to be one of them. In a report on housing affordability which is running in the Fairfax Press, Eve poured scorn on a statement that Generation Y are to blame for the housing crisis in Australia.
What she said was just spot on...and so cutting. Brilliant.
From The SMH:
Hornsby, NSW-based Eve Roberts is 29 and bristles at the suggestion that people in her age set have brought the affordability issue on themselves.
''Despite being on good salaries my partner and I can't afford to buy an apartment, or to have children for that matter,'' she said.
''The baby boomers who relish house prices going up are unfortunately to blame - why? Because for many, owning their house is the only thing they've managed to accomplish in their lives and want to see its value go up astronomically.''
''Generation Y having an entitlement issue? Give me a break.''
Ms Roberts said Baby Boomers are short-sighted for not seeing the generational burden that has been allowed to take hold.
''Unfortunately their foresight is so poor that they don't realise that in 10-20 years time, as they struggle to move from room to room and go to the toilet unaided, their children and grandchildren will be too busy working off their mortgages to come and visit them at the nursing home.''
About Just Grumpy
4 comments
34 y/o here sick of hearing about poor gen Y who can't buy a house.
As a financial adviser I see Gen Y every week coming to me telling me that they want to buy a house "this year". They have consumer debt greater than their annual income, they want their first house to be even more grand than the one that their baby boomer parents finished up with and they want to fill it with brand new furniture, not the second hand rubbish that their parents started off with.
When I tell them that they need to spend a little less and that with ther current lifestyle they can't afford to pay the mortgage they leave me without going any further. They want a lifetimes accomplishments now.
Give me a break.
ANOTHER NEWS FLASH - One day those baby boomers will die. Those houses don't get burried with them, they will get transferred to Gen Y.
I am sick of hearing "I will never own my own home". Use some logic people.
Here are my tips for poor old Gen Y.
- spend less than you earn
- start saving early
- be willing to live a bit further out, perhaps have a smaller first house than you would really like. One that needs some work done to it
- when you need some furniture, try driving the streets around a university and getting everything you need second hand for free. The international students go home and there is almost nothing that you can't get in good condition for free
- If you take out a car loan to buy a depreciating asset you will wake up about 10 years later and realise it was a mistake
- Keep away from short term loans. I'm sure that you don't need to go out with your mates. Get some fortitude, learn to say no.
Go ahead and try taking some responsibility.
Again, credit where its due. Great comment anon, well said. YG
First you have to believe....
If you don't believe that you can do it, then you won't even start any of the great suggestions above.
I Am in the predicament above, fully saved a 20% deposit, nearly 30, have all second hand furniture or saved up for some new things. My partner and I dont have credit cards, and we still cant get into the market (yes looking further out, smaller properties that need reno) without borrowing over half a million dollars. It seems crazy to us. We cant compete with Chinese who can borrow money at 1% interest and who's parents have given them cash. We feel desperate, and have almost given up on owning! Where is our support from the government ? We are trying to do it on our own, but there is so many other factors pushing us out.
We feel dismayed at the govt and their lack of housing affordability policies for young Australians.
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