jovanco and tricky---firtly my humble little home is less than 3x my income,now i dont expect any great return,but i did buy an unusual property which has a small but i think growing market,and should i squeeze 3% net of purchase and selling costs in two years i would be pleased then again i might do 5%.
i dont aim high, i buy within my needs and means,fortunately should i wish to increase my equity its simple just close out my share trades --firstly is a stable residence supported by adequate income,secondly i have intentionally geared to be a cash player on the asx,which last year and by the close of this financial year will do a lot more than cover mortgage rates etc,and then i still have my basic income which approximates the average wage.
and that is the whole issue i have with all these posters basing affordability on the median price,you dont have to buy a home at the median price ,so the whole debate around median price is well frankly, ridiculous,if some of these people read a lot more they would understand the history behind past medians and there relativity,it simply doesnt apply today.
its not that Australia is different,Australia really is different and that supports the ever floating r/e values:growth and wage earners--this is the land of opportunity and yes i believe r/e values will continue to rise ,albeit very slowly and less than not all for some,for probably the next 5 years
