In 1983 I bought my first house. It was a two bedroom terrace house in Keele St Collingwood. I paid $49,000 and at the time I was earning a wage of $22,000 with a multi national company.
A mate of mine was a bank teller with NAB. He was on less money and bought a house in Gordon Grove Northcote for less than I paid.
Neither of us were high income earners. I was, at that time, unqualified and earning an average wage. Later I went to University studying at night and improved my earning capacity.
In effect we both bought inner city desireable homes for 2.5times our annual wage. Compare that with today and ask yourself if housing is affordable.
Has the paradym changed? Or are we in a bubble?
I don't advocate aggressively on this thread, but I tell you one thing.........I would never go into debt for 8 times my annual income in order to buy a house.
