1 in 3 Under the Pump !, page-190

To start with wealth accounts for all assets.
So it doesn't change before or after you purchase a property...

But ok, so now we are getting to the point.
"or those with little wealth beside that deposits but have a seemingly stable job with median level pay."

So now we have someone with median wealth (let's use the national average of ~$800k) and someone who has just enough for deposit on a median priced home (let's say 20% of $1.2m - so $240k plus stamp duty, call it $300k).

They both really want the property.

At auction they are in a battle to secure the property.

Clearly the buyer with an extra $500k of capital has a better chance of being the highest bidder. Yes?

Extrapolate that across the entire property market and the reason why median priced property is actually that price that is because the largest part of the wealth curve are all wanting to buy said median priced property....

Of course there are exceptions where people with less wealth overextend themselves and people with more wealth buy something below what they could afford.

My point is, as stated originally.
Just because someone has a median income does not automatically mean they should be able to purchase a median priced property.

Why?
Because all of the people who have median wealth also want these properties and they have an advantage.