How personal finance has changed since 1987

It absolutely is, plenty of stories of people living with nothing but still loving life.

I feel living with abundance breeds whinging and entitlement oft times, most likely due to idleness, when you are working 50-60hrs a week there is not a lot of time to brood on how unfair life is and how hard done by you are!

 

Got my first PPoR in Brunswick for $92k in the early 90's, single fronted Victorian cottage. Rented out a room for $50pw to a work colleague. A few years later moved out and turned it into an IP (had no idea what I was doing) and had to pay an extra 1% because it was now an 'investment loan'. I felt ripped off at the time ):

 

No. It was me. That was the year I first put any money into shares...

 

What I did notice in the 80's (not sure how much of this was at the time and how much was hind sight later on) was that inflation was running pretty high and wages were increasing so even with the high interest rates I was paying (also peaked at 18.5%) the payments as a % of my pay reduced over time. Was tough for the first couple of years.

 

I also remember the days when investors were penalised an extra 1% for paying off an investment loan vs PPOR. Imagine if the banks tried pulling that trick today!