For example, in 1980, a truck driver in New Zealand earned $10 per hour, thus $21k annual, a nice home in a lesser priced suburb could be purched for $25-40k, $200k got you a historic mansion in a great innercity zone. Effectively, they could enter the property ladder immediately, at payments of no more than 30% of their salary (by govt mandate). Entry level homes were approximately twice the average annual salary.
Today, the truck driver averages $12-16hr, a little over $25 -35k annually, house prices are around $300k in the cheaper suburbs, the innercity home between 2-5mill. He has no chance of servicing even the interest on a entry level home mortgage, and if he works additional jobs is taxed at the higher secondary income rate. Entry level homes are ten times the average salary, effectively pricing single people out of the market.
What is your forecast for the coming years in the market? How do the masses buy homes in future? Whats a single persons best act today? Ticks pls
2006-12-26
18:02:09
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7 answers
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asked by
Anonymous
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Other - Social Science