OK Boomer; Normal friction or wealth and social inequality symptom

A lot of people don't understand basic economics?
In addition imagine in your illustration the CPI differs on some items, say it is actually less in line with inflation, so suddenly we can become poorer even with receiving a pay increase!
Clever or snickey Economics?

 

This thread was talking about it happening.

 

Are you responding to me as I didn't direct anything at you...

 

Navy Seal Copypasta | Know Your Meme

 

It has everything to do with where people are in their career path because increased earnings allows for increased investment and time allows for growth of those investments.

This is obvious and not worthy of bringing up on a thread discussing generational differences.

 

A younger generation who know it’s coming and can make life decisions based on this information, the same as others have before them.

 

Wow. What degree did you study? How many hours did you spend in uni (tutorial etc)?

 

Another Baby Boomer having a shot at Millennials:

The Biggest Property Mistake Millennials are Making

 

@kierank I did a 3 minute search to find this. Imagine what one could find if they actually did due diligence and a thorough search. Only 12km from the Sydney CBD. You could if you wanted do a nice reno and turn it from fine to a stunning first home.
6/135-139 Croydon Avenue Croydon Park NSW 2133 6/135-139 Croydon Avenue, Croydon Park, NSW 2133

It's absolute nonsense for anyone to say all of Australian property is too expensive. Absolute BS. It is even nonsense to say that all of Sydney and Melbourne are too expensive. There are always areas which show value for money and aren't even that far from the CBD at all.

The major problem isnt the property markets, but has been and always will be the attitude, mindset and expectations of individuals.

 

Further to this, when I was looking to buy my first house ($77K) back in the early 80's, I had the mindset of saving more deposit to borrow less.
Lower the repayments.
I was advised that by the time I had saved the extra 10% deposit, the house value would have gone up much more over the same period of time it took me to save the extra, and I might not be able to afford the house.
I took that advice and bought with the minimum deposit required, and got onto the ladder sooner. It was good advice in hindsight.

 

But that is an anecdote and we all know how some on PC feel about anecdotes .

Some would say it was Dumb Luck.

I say you took action, like many others of us .

 

I've never been called lucky.
One out two is not bad.

 

It only has anything to do with it if the comparison was real. My comparison was hypothetical. It was hypothetical specifically to isolate a set of circumstances.

Having said all that, it is obvious from the answers that few want to admit reality and so it's pointless to discuss it further.

 

You make the assumption there will be notice. History would suggest that will not be the case.

But not to worry, it won't affect Boomers so all is well with the world.

 

Shouldn't we assume this Boomer is full of BS just like the Boomer admitting reality in the OP linked article is full of BS?

 

The first line, not at all. I think the change will be made and there will be very little if any warning. Probably not even a mention of the policy during an election campaign.

Perhaps the second line has a hint of sarcasm. Though it does seem the prevailing feeling in this thread is that to even think any different to that is nothing but whinging, whining and bashing boomers. So perhaps not so sarcastic after all.

 

Principal repayments is investing into the growth of the asset (the land), just as investing in shares is investing in the growth of the particular company(or companies).

Rent isn't dead money if it covers interest repayments, maintenance of the depreciating asset (the house) and any necessary insurance.

There are cases where Rent is less than (Interest + maintenance). In those cases, it can make sense to rent instead of buy.