real estate South Coast Property Specialists (Carlene Franzen) Tips: Another Reason to Move to “The Regions” The Sydney Morning Herald (SMH) has reported a gloomy picture for Sydneysiders Vol 16 September 15th 2017 saying that 27th home ownership is becoming a fading dream for many. The falling rate of 28 April December 7th, 2017 Vol 48 2018 home ownership is threatening to trigger a surge in demand for social housing with modelling indica:ng this could cost NSW government (and therefore taxpayers) an addi:onal $12.1 billion over the next four decades. This equates to an increase demand for social housing by 68,000 households by 2060. The SMH reports that “The NSW intergenera:onal report, which forecasts how the state will change over the next 40 years, says the home ownership rate in NSW has now declined for each genera:on since the Baby Boomers. More than 60 per cent of the early Boomer genera:on (born between the mid-1940s and early 1950s) owned homes by the age of 25-34. But among those aged 25-34 years now, the rate of home ownership is 15 percentage points lower, at 45 per cent.” One of the biggest issues with home ownership is saving for a deposit the report found. “In 1995-96, a median income household took 6.6 years to save for a deposit on a typical home, including 0.7 years to pay stamp duty. By 2019-20, this had nearly doubled to 11.5 years, including 1.8 years to pay stamp duty, as house prices grew much faster than incomes”. On top of this, Corelogic reported that Sydney’s median house price jumped 3.5% last month, one of the biggest monthly gains since the late 1980s, to a record $1.186 million. So, the big challenge for the government is how do they create an economic environment where each genera:on has similar prospects for owning their own home? Treasurer Dominic PerroBet, who released the intergenera:onal report on Monday, said “What this report shows very clearly is that the average age for a Millennial to get into the property market is much higher than it was for Boomers ... we owe it to our kids to make sure that they have the [same] opportunity to buy a home, and have access to housing, that we had.” AAAhhhhh……. It seems so much simpler living in the regions!!!
beagle weekly : Vol 211 June 11th 2021
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