Property costs in NZ - the heart of evil

[Brian d marge]

My view is thus,
A house is a house when your not fully settled inside yourself, and your life.
A house is a home when you are.

Good call

when u say fully settled , buy that you mean "one realised one may never be a rocket scientist or rich and this is ones lot in life "

Stephen

[Brian d marge]

10 char

http://www.chranz.co.nz/pdfs/rbnz-tr...use-prices.pdf

good read well done

back up what Ive been saying about the financial deregulation, also backs up the anecdotal evidence given on here by people

interesting to see about section prices .... baby boomer’s , life stylers , rich americans??? ( no you can stay lower case ya twats )

Stephen

need more wine , must get ,,,of couch and get it ......oh where is the wife when you need here , bloody kids are useless,

[BMWST?]

good read well done

back up what Ive been saying about the financial deregulation, also backs up the anecdotal evidence given on here by people

interesting to see about section prices .... baby boomer’s , life stylers , rich americans??? ( no you can stay lower case ya twats )

Stephen

need more wine , must get ,,,of couch and get it ......oh where is the wife when you need here , bloody kids are useless,

i didnt read it,only small peices and looked at some graphs...seems things changed somewhat about 2002

[Winston001]

Yes, its rubbish.

Southland has under 4% unemployment, and some of the most affordable housing in the country.

I just laugh my head off every time an Aucklander tells me he

(a) is the economic powerhouse of NZ.
(b) that housing is too expensive.


Because Taranaki makes more money than Auckland. And so does Manawatu.

And a nice home is $200k.

Nice one Dave, bling sent. But most people won't have a clue about what you say. I even pointed this out to Tony Alexander one day but he kept on with his mantra that Auckland is more important. Sigh...

Might be true but no one wants to live there.

Farg you trogldyte

I've spent my life in Southland and Otago (with a stint overseas) and it has been a win. Right now I'm relaxing in Central Otago looking out the window at Coronet Peak, a whole 2 hours drive from Invercargill, and I can do that every weekend if my teenagers don't insist on sports coaching. I don't know any Aucklanders who have the lifestyle and choices which are possible in other parts of NZ. Oh I'm sure there are some but not many.

[Indiana_Jones]

I've been thinking it over lately and think sod it, I might just have bloody kids now and just see what happens.

If I'm gonna wait till I can afford to rent or buy a house I'll never fucking get one lol

-Indy

[Winston001]

Actually Indy, its easier to have a kid than buy a house. In fact, its lots more fun trying to make a kid than get a house. And you can try out the kid-making with helpers of various style whereas you can only buy one house. And if the lucky child-bearer later develops leaks or has shaky foundations...well, Oz is only over the ditch.

[Indiana_Jones]

Actually Indy, its easier to have a kid than buy a house. In fact, its lots more fun trying to make a kid than get a house. And you can try out the kid-making with helpers of various style whereas you can only buy one house. And if the lucky child-bearer later develops leaks or has shaky foundations...well, Oz is only over the ditch.

That is good advice lol

-Indy

[Brian d marge]

i didnt read it,only small peices and looked at some graphs...seems things changed somewhat about 2002

I have a feeling there was a law change , in either england or ahole of america , which allowed money to move

for the life of me i cant remember,

linked with the sub prime fiasco?? who knows

what I do know is money is the (all evil)^1/2

Stephen

Ps
was talking to someone whose rent was going up to 350 pw and he reckoned it was the same payment more or less to a 200k mortgage in chch AND the government guarantees the mortgage insurance , so small or sweet fa deposit

that cant be right ?? can it???

[davereid]

I have a feeling there was a law change , in either england or ahole of america , which allowed money to move

for the life of me i cant remember,

linked with the sub prime fiasco?? who knows

what I do know is money is the (all evil)^1/2

Stephen

Ps
was talking to someone whose rent was going up to 350 pw and he reckoned it was the same payment more or less to a 200k mortgage in chch AND the government guarantees the mortgage insurance , so small or sweet fa deposit

that cant be right ?? can it???

Yes, anyone with an income less than $85k can apply for a no deposit loan of up to $200k under a government scheme, and its not just limited to Canterbury.

It will buy a very nice home in most of provincial NZ.

The only catch is, provincial NZ has low unemployment, no traffic, no toll roads and low crime.

[Robert Taylor]

I have a feeling there was a law change , in either england or ahole of america , which allowed money to move

for the life of me i cant remember,

linked with the sub prime fiasco?? who knows

what I do know is money is the (all evil)^1/2

Stephen

Ps
was talking to someone whose rent was going up to 350 pw and he reckoned it was the same payment more or less to a 200k mortgage in chch AND the government guarantees the mortgage insurance , so small or sweet fa deposit

that cant be right ?? can it???

We seem to have an environment where the money supply favours speculation, as opposed to favouring backing business people who will do something that is actually productive and usefully employs and rewards people to assist in such endeavour.

Given the culture that we have had of casino banking and speculators running rife is it any wonder that bankers and property speculators are those who engender little or no respect?

It is shameful that there is now an environment where it is almost impossible now for too many young people to ever harbour hope of owning their own homes, all because of created property booms lining greedy pockets.

[merv]

Robert, you'll be going all left wing on us soon.

davereid has talked about the easy start loans above and I made comment earlier on where we started, signing up to buy our first house in 1978 - then we had Housing Corp loans, but the maximum was $20,000 and so you had to have a second mortgage at a higher interest rate to buy the house because none of us then had huge deposits. Also if you went the Housing Corp way you had to buy a new house i.e get one built or buy a spec house so you had all the breaking in of the grounds to do and the furnishing of the house - carpet, drapes etc - none of that was included.

Remembering the numbers we paid around $318 per month when we started for a $40,000 house because the interest rates weren't very low and we borrowed more than 3/4 of the cost. First mortgage was for 30 years and cost was $148 pm and second mortgage was for 10 years and cost $170 pm. We put around half of our take home pay into the first house to get started and scraped along with second hand gear, doing as much work ourselves to make it work.

At current floating interest rate of 5.74% (so not even allowing for lower fixed rates) the $200,000 no deposit loan davereid talks of if for 30 years the cost would be less than $1,200 pm. The income of less than $85,000 per year would be roughly 10 times what me and Mrs were paid way back. So I'm struggling to see the issue today - salaries are much higher, the mortgage has only gone up about less than four fold, salaries are up 10 fold and tax is lower.

Back then we just had to work for what we got and others have talked on this thread of breaking in sections etc too and living in 100m2 boxes. The yoof of today need to stop bitching and put more effort in to work for what they want. The numbers are in there favour more than they were when we were young but they have to act now. Tomorrow will always be more expensive. If you want a house stop wasting your money on pointless things and concentrate on the goal, else enjoy the crazy life you are leading and stop blaming everyone else because you can't buy a house.

[mashman]

Back then we just had to work for what we got and others have talked on this thread of breaking in sections etc too and living in 100m2 boxes. The yoof of today need to stop bitching and put more effort in to work for what they want. The numbers are in there favour more than they were when we were young but they have to act now. Tomorrow will always be more expensive. If you want a house stop wasting your money on pointless things and concentrate on the goal, else enjoy the crazy life you are leading and stop blaming everyone else because you can't buy a house.

How much ACC did a person pay per $100 on their salary back in the day? What was the rate of GST back in the day (where there any exemptions)? What was the duty on fuel? What was the duty on beer? What was the duty on Cigs? How much was vehicle insurance? How much was a vehicle? How much was whiteware? How much was a insert food stuff/drink? How much was electricity/gas? How much were water rates? How much was council rates? Take out beer and cigs iffen ye like as they shouldn't be bought if you're saving ... How much was home and contents insurance? How much was the EQC levy? How much has the average wage risen? What were the costs of public transport/Infrstructure? How much was rent? How much was a penny chew ? How much was detergent? How much were kid costs? What type of mortgage did you have?

From a wee read I see that some of that list didn't exist in the early 80's? No doubt there are many more "stealth" taxes that I've never even contemplated and there's likely other odds n sods that should be in that list, but I reckon there's enough there to shrink the factor of 10 you're querying in regards to housing affordability?

[scumdog]

How much ACC did a person pay per $100 on their salary back in the day? What was the rate of GST back in the day (where there any exemptions)? What was the duty on fuel? What was the duty on beer? What was the duty on Cigs? How much was vehicle insurance? How much was a vehicle? How much was whiteware? How much was a insert food stuff/drink? How much was electricity/gas? How much were water rates? How much was council rates? Take out beer and cigs iffen ye like as they shouldn't be bought if you're saving ... How much was home and contents insurance? How much was the EQC levy? How much has the average wage risen? What were the costs of public transport/Infrstructure? How much was rent? How much was a penny chew ? How much was detergent? How much were kid costs? What type of mortgage did you have?

From a wee read I see that some of that list didn't exist in the early 80's? No doubt there are many more "stealth" taxes that I've never even contemplated and there's likely other odds n sods that should be in that list, but I reckon there's enough there to shrink the factor of 10 you're querying in regards to housing affordability?

Merv is onto it - Mashy, we didn't have so many 'things' back them - but the whiteware, TV's etc cost heaps (i.e. a mate scored an almost new VCR for 'only' $1,200 when they were $1,400 at the time) and in '84 I was paying 22% interest on my mortgage.

A 13" radial tyre was $33 when my off-season income was $60 a week.

And so it goes on...

[davereid]

How much ACC did a person pay per $100 on their salary back in the day? What was the rate of GST back in the day (where there any exemptions)? What was the duty on fuel? What was the duty on beer? What was the duty on Cigs? How much was vehicle insurance? How much was a vehicle? How much was whiteware? How much was a insert food stuff/drink? How much was electricity/gas? How much were water rates? How much was council rates? Take out beer and cigs iffen ye like as they shouldn't be bought if you're saving ... How much was home and contents insurance? How much was the EQC levy? How much has the average wage risen? What were the costs of public transport/Infrstructure? How much was rent? How much was a penny chew ? How much was detergent? How much were kid costs? What type of mortgage did you have?

From a wee read I see that some of that list didn't exist in the early 80's? No doubt there are many more "stealth" taxes that I've never even contemplated and there's likely other odds n sods that should be in that list, but I reckon there's enough there to shrink the factor of 10 you're querying in regards to housing affordability?

Vehicles were prohibitively expensive - in 1972 a new Chrysler Ranger XL cost the same as an average house.

Unless you had access to overseas funds you couldn't buy one anyway.

Mortgage Interest rates varied, same as now. Mine peaked at 19.5% but they got higher than that for some.

You saved and saved for whiteware, only F&P made it and they charged what they liked.

Some foods were cheap, especially sheep meats and electricity was very cheap.

Many people couldn't afford a TV, a two car family was rare, and a no car family common. You were always asked "if you were on the phone" as many people couldn't afford telephones.

[mashman]

Vehicles were prohibitively expensive - in 1972 a new Chrysler Ranger XL cost the same as an average house.

Unless you had access to overseas funds you couldn't buy one anyway.

Mortgage Interest rates varied, same as now. Mine peaked at 19.5% but they got higher than that for some.

You saved and saved for whiteware, only F&P made it and they charged what they liked.

Some foods were cheap, especially sheep meats and electricity was very cheap.

Many people couldn't afford a TV, a two car family was rare, and a no car family common. You were always asked "if you were on the phone" as many people couldn't afford telephones.

Plenty of extra money to put towards house ownership then