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Australian Housing Market

When you read articles about Australian housing affordability, it is often comparing the single average adult wage to house prices, from generations ago.

The articles generally say something like, ‘a house was worth three times the annual average wage back in the sixties and is now worth 10 times the average wage. This shows housing has become unaffordable.’

You can’t compare the two because back in the sixties it was one wage bidding on real estate.

The state of Australian housing

The days of Dad going off to work, while Mum tends the children are long gone, just like the black and white TVs of that era.

It is now usually at least two incomes bidding on Australian real estate, land price has quickly factored that in. So you can’t compare the two figures.

These days you need to find historical figures for combined household income and compare the two.

When you do that you may find housing affordability hasn’t run away at all, but is simply keeping pace with wages.

Australia's Never-Ending Housing Dilemma - Housing Prices Higher

Australia’s Never-Ending Housing Dilemma — Housing Prices Rising

Housing markets have strengthened further, with prices rising in most markets. Housing credit growth to owner-occupiers has picked up, with strong demand from first-home buyers…

By Ryan Clarkson-Ledward, Thursday, 08 April 2021

Property Takeovers and Bear Calls - Property Market is Moving Up

Property Takeovers and Bear Calls – Property Market is Moving Up

You only need to look out the window or at your local paper. The property market is moving up and it’s taking Australia’s total wealth with it. Some of the Real Estate Investment Trusts (REITs) yield as much as 6% currently…

By Callum Newman, Tuesday, 30 March 2021

ASX MOC - Mortgage Choice Share Price

Mortgage Choice Share Price up 60% After REA Group Bid (ASX:MOC)

The Mortgage Choice Ltd [ASX:MOC] share price is up 62% at time of writing after a $244 million bid from REA Group Ltd [ASX:REA]. The news saw MOC shares jump 62.5% at noon while REA’s share price was down 2.1%…

By Lachlann Tierney, Monday, 29 March 2021

Australian Property Market is Still in a Bubble

Hubble’s Law Predicts Aussie House Prices Will Fall

We mentioned house prices and housing bubbles already. But what’s the other part of the global economy that booms and busts? What other industry is dependent on interest rates?

By Nick Hubble, Saturday, 27 March 2021

The Future of Farming: Agtech Age Is Here

The Future of Farming — Agtech Age Is Here

The future of farming with the CEO of Agtuary, Angus Muffatti. Agtuary is an Australian start-up that uses satellite imagery and machine learning to smooth out the financial planning of farms…

By Lachlann Tierney, Wednesday, 24 March 2021

Trader’s Corner — Ways to Make Money in The Market

Trader’s Corner — Ways to Make Money in The Stock Market

There are many ways to make money in the markets. But there are even more ways to lose money. My way of making money may not suit your personality

By Murray Dawes, Saturday, 20 March 2021

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Email: support@fattail.com.au

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All advice is general in nature and has not taken into account your personal circumstances. Please seek independent financial advice regarding your own situation, or if in doubt about the suitability of an investment.

The value of any investment and the income derived from it can go down as well as up. Never invest more than you can afford to lose and keep in mind the ultimate risk is that you can lose whatever you’ve invested. While useful for detecting patterns, the past is not a guide to future performance. Some figures contained in our reports are forecasts and may not be a reliable indicator of future results. Any actual or potential gains in these reports may not include taxes, brokerage commissions, or associated fees.

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