You poor bastards will never afford a home!
Australian median wages (average is not a true reflection of regular wages because when you include billionaires, your average wage goes up to a ridiculous level, which is not a true representation of most workers (average wage in Australia is close to $90,000). A median wage lines every worker up in a line and selects the person in the middle to represent median wages. The median weekly wages on ABS includes people who work less than 38 hours a week, which are part time and casual, which means it is again not an accurate representation for regular full time workers).
38 hours a week (includes full time, casual, part time wages p/h, because ABS for some reason won't separate them - so this is still not very accurate, unfortunately, but it's as close as I could get).
Depending on which state you live in wages and house prices may be more or less. Use the below as approximate only. Also, take into account how little everything cost prior to 2000.
In the 90s, gas and electricity was about a quarter what you pay now. Food was at least half the cost, with much of it being a quarter of what you pay now. So was car rego, council rates and rent. We would also rent with others to keep costs down.
Median normal full time wage August 2019 in Australia PA = $64,220 (Average wags is $87,000)
Australia's median house price 2019 = $809,349 (average may be higher)
AVERAGE wage in Australia mid 1990s PA = $37,000
AVERAGE house price Australia mid 1990s = $120,000
AVERAGE wage in Australia mid 1970s PA = $10,000+ (wages rose considerably each year)
AVERAGE house price Australia mid 1970s = $25,000
Here's something else I found, but really details seem barely existent on costs of everything: https://mccrindle.com.au/insights/blog/40-years-of-change-1975-to-today/
Why are house prices so high?
There are many reasons.
Aside from house prices continuing to rise in most developed countries each year, wages going up, large immigration into Australia, etc., there is also artificial inflation too. This has come in the form of the very very rich overseas Chinese people wanting to avoid their communist government taking their properties or wealth from them in China when they please. And here I was thinking that everyone in China was supposed to be equal under communist rule. Shouldn't there be no such thing as poor and rich in China? https://fortune.com/2018/11/29/communist-china-billionaires-jack-ma/
Alas, like all countries, there are the very very rich that will do anything to hold onto their cash. The way Chinese are doing this is by buying Australian property. Almost as safe as putting it in a bank, hey, but with less red-tape. With so much money at their disposal and the thought of everything being taken away from them by their own government, they are very happy to buy Australian properties at inflated prices and leave them vacant. Value will go up and they have enough money so they don't need renters. Why have the hassle of people renting your house or apartment and just making a mess. It's a smart way of doing things, it's just that it has had a bad effect on Australians trying to buy property to live in themselves.
You will unfortunately be outbid by the very rich Chinese or have to fight against residents of Australia for the few properties left for you afterwards who also can't afford the higher prices. But don't worry, maybe some weird virus will come in an upset everything and throw everyone's world into turmoil :)
Australian median wages (average is not a true reflection of regular wages because when you include billionaires, your average wage goes up to a ridiculous level, which is not a true representation of most workers (average wage in Australia is close to $90,000). A median wage lines every worker up in a line and selects the person in the middle to represent median wages. The median weekly wages on ABS includes people who work less than 38 hours a week, which are part time and casual, which means it is again not an accurate representation for regular full time workers).
38 hours a week (includes full time, casual, part time wages p/h, because ABS for some reason won't separate them - so this is still not very accurate, unfortunately, but it's as close as I could get).
Depending on which state you live in wages and house prices may be more or less. Use the below as approximate only. Also, take into account how little everything cost prior to 2000.
In the 90s, gas and electricity was about a quarter what you pay now. Food was at least half the cost, with much of it being a quarter of what you pay now. So was car rego, council rates and rent. We would also rent with others to keep costs down.
Median normal full time wage August 2019 in Australia PA = $64,220 (Average wags is $87,000)
Australia's median house price 2019 = $809,349 (average may be higher)
AVERAGE wage in Australia mid 1990s PA = $37,000
AVERAGE house price Australia mid 1990s = $120,000
AVERAGE wage in Australia mid 1970s PA = $10,000+ (wages rose considerably each year)
AVERAGE house price Australia mid 1970s = $25,000
Here's something else I found, but really details seem barely existent on costs of everything: https://mccrindle.com.au/insights/blog/40-years-of-change-1975-to-today/
Why are house prices so high?
There are many reasons.
Aside from house prices continuing to rise in most developed countries each year, wages going up, large immigration into Australia, etc., there is also artificial inflation too. This has come in the form of the very very rich overseas Chinese people wanting to avoid their communist government taking their properties or wealth from them in China when they please. And here I was thinking that everyone in China was supposed to be equal under communist rule. Shouldn't there be no such thing as poor and rich in China? https://fortune.com/2018/11/29/communist-china-billionaires-jack-ma/
Alas, like all countries, there are the very very rich that will do anything to hold onto their cash. The way Chinese are doing this is by buying Australian property. Almost as safe as putting it in a bank, hey, but with less red-tape. With so much money at their disposal and the thought of everything being taken away from them by their own government, they are very happy to buy Australian properties at inflated prices and leave them vacant. Value will go up and they have enough money so they don't need renters. Why have the hassle of people renting your house or apartment and just making a mess. It's a smart way of doing things, it's just that it has had a bad effect on Australians trying to buy property to live in themselves.
You will unfortunately be outbid by the very rich Chinese or have to fight against residents of Australia for the few properties left for you afterwards who also can't afford the higher prices. But don't worry, maybe some weird virus will come in an upset everything and throw everyone's world into turmoil :)
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