our bubble's bigger than their bubble, page-2

Right or wrong Steve Keen does come without the insidious links that so many other "commentators" seem to have to the RE industry.

To realise how out-of-touch his opposing debaters are cop this statement from one of them.

"Although the prices have risen in recent decades, the house price to income ratio hadn't changed much in recent years".

A broad statement that could be broken down into a thousand sub arguments eg housing prices verses mining or professional incomes etc.etc But what about the real world. Check out salaries being paid to the average skilled person they are around 60k pa.

In the 1980s working 2 jobs (1 skilled the other semi skilled) over three years I purchased outright an inner city home. Do the numbers based on today's figures; say 60K for skilled job and 40K for second job =100k. Cost of comparable home today 700-800K = 7-8 years.

The commentator above is in LaLa Land and has little understanding of the average demographic which by the way makes up a pretty hefty statistic of the buyer landscape.

PS Sympathies to young people attempting to buy their first home and having to wade through all the BS.