You ask
A question for you, what percentage of debt to ones assets would you suggest is a fiscally conservative/responsible amount to have?
I don't think what % of debt to assets is important. It may be to the bank,if it needs to sell your assets to get its money back. I think more important is how much income you have that should determine your debt level.
The problem in Sydney is that average income earner is way over his head, based on debt levels to income. Your assets being the home may have risen, but when that equity he thinks he has disappears so will jobs as both are related to each other. All that will be left will be the debt and the banks ringing to get LVR back to 80%.
It going to get bad and the govnuts will take the easy way out meaning your children don't have a chance , until the whole Ponzi scheme comes crashing down and we start again .
