Earns $60 k net for last 4 years and saves $6000

Discussion in 'Money Management & Banking' started by Coastal, 13th Mar, 2017.

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  1. 2FAST4U

    2FAST4U Well-Known Member

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    That's why we have mass immigration. Tens of thousands of people apply to become cops each year. There are thousands of graduate nurses many of whom will get overlooked in favour of nurses with more experience and the job security of teaching for young teachers has all but disappeared. Those are middle class jobs. You look at the working class jobs like labouring, cleaners, hospitality , chefs etc. and it's mainly done by immigrants who are happy to work more for less.
     
    2FAST4U, 13th Mar, 2017
    #41
  2. TMNT

    TMNT Well-Known Member

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    Wouldn't a shortage of nurses bring the salary up another 10%?

    Supply and demand
     
    TMNT, 14th Mar, 2017
    #42
  3. TMNT

    TMNT Well-Known Member

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    I'm no economic expert but at some point property prices will get so unaffordable that market forces mean they will stop going up as fast or at all as no one will buy them or people will simply start to rent and make this a behaviour commonly accepted like in European countries
     
    TMNT, 14th Mar, 2017
    #43
  4. TMNT

    TMNT Well-Known Member

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    Just did the maths. It's about 79k before tax
     
    TMNT, 14th Mar, 2017
    #44
  5. Cimbom

    Cimbom Well-Known Member

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    If he has a HECS debt, it'd be closer to 88-90k
     
    Cimbom, 14th Mar, 2017
    #45
  6. Redom

    Redom Mortgage Broker Business Plus Member

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    Thats true - affordability is a generally viewed 'cap' on prices. How thats measured is difficult to say. But generally speaking, its near impossible with current financial market conditions & limits on overseas purchases (closed market) - to have median salaries stay at ~$80k and median prices to be $5mill. At some point, affordability constraints limit prices.

    If you allowed internationals to buy property at will (i.e. open market) - that does distort the importance of domestic salaries and it may be possible, but will depend on asset prices around the world. If you allowed LVRs to go to 100% and no serviceability restrictions, its very possible too, as thats a fundamental shift in financing abilities and allows incomes to stretch further.
     
    Redom, 14th Mar, 2017
    #46
    Iamnumber5 and Eric Wu like this.
  7. Eric Wu

    Eric Wu Well-Known Member

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    a good analogy @Redom, Sydney and Melbourne are international cities, and are very appealing to lots of international purchases, if it is an open market, then the affordability thing will be non exist. locals will be competing with wealthy international purchasers. scary. hope it never happens.
     
    Eric Wu, 14th Mar, 2017
    #47
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