The Haves and the Have Nots

Discussion in 'Property Analysis' started by MTR, 9th Feb, 2017.

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  1. MTR

    MTR Well-Known Member

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    The great divide, I expect the gap will continue to widen

    http://www.dailytelegraph.com.au/bu...e/news-story/3bb5af104bac7cc435fc330586003fa8

    Extract Below

    Australia’s middle class shrinks as property creates great divide
    [​IMG]
    ANTHONY KEANE, News Corp Australia Network
    July 28, 2016 10:00pm

    [​IMG]
    AUSTRALIA’S middle class is disappearing amid a widening gap between the haves and the have-nots, research suggests.

    Analysis by social research group McCrindle has found that the top 20 per cent of households now have average earnings 12 times higher than the bottom 20 per cent, and their average wealth is 71 times greater — at $2.5 million versus $35,000.

    Buoyed by rising real estate values, the income and wealth of the richest two million households is more than twice as high as the next two million households, and has been growing more than twice as fast.

    Social researcher Mark McCrindle said more than two-thirds of households earned less than the average household income of $107,276 — yet being middle class today required a six-figure income.

    “It is a worrying trend — there’s a bigger divide today compared to two years ago,” he said.
     
  2. wombat777

    wombat777 Well-Known Member

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    I'm happy with where I am sitting on those scales :cool:

    WHERE DOES YOUR HOUSEHOLD FIT?

    AVERAGE INCOME

    Top 20% - $260,104

    Fourth 20% - $124,956

    Third 20% - $80,704

    Second 20% - $47,944

    Lowest 20% - $22,620

    AVERAGE WEALTH

    Top 20% - $2.51 million

    Fourth 20% - $830,600

    Third 20% - $462,500

    Second 20% - $206,100

    Lowest 20% - $35,500​



     
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  3. MTR

    MTR Well-Known Member

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    thanks, where did you get this data?
     
  4. Tim & Chrissy

    Tim & Chrissy Well-Known Member

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    Is this total houshold income/wealth or per person in the household?
     
  5. zed_kid

    zed_kid Well-Known Member

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    This just in, capitalism favours those with capital, and money makes money. More at 11.
     
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  6. wombat777

    wombat777 Well-Known Member

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    The bottom of the article you linked, although I had to google the title.
     
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  7. MTR

    MTR Well-Known Member

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    LOL, I need to pay attention and I need to make more money...
     
  8. Biz

    Biz Well-Known Member

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    The rich get richer and the poor don't get the picture! Yeeee hawww!
     
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  9. Marg4000

    Marg4000 Well-Known Member

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    It all boils down to the individual.

    One of the richest people I know came from very humble beginnings. His first job was casual deckhand on a trawler.

    Sure, people from rich families have a huge advantage, but sometimes don't take advantage of their opportunities.
    Marg
     
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  10. Creamy

    Creamy Well-Known Member

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    Not sure if it's just tall poppy syndrome, but I noticed something the other day. The comments on articles where someone makes money from property are alarmingly negative. However about a month ago when 20 or so government workers won the lotto, the comments were along the lines of "good on them, they deserve it, well done".

    What gives? Try to get ahead and you get dragged down. Get given it and you receive praise??
     
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  11. sash

    sash Well-Known Member

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    Yep....ole tall poppy syndrome at work....its the same with some people on PC also.......
     
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  12. Perthguy

    Perthguy Well-Known Member

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    "Edward Kleut, 25 [in Adelaide], has been living with his parents while trying to save a deposit for his first home.

    “It is difficult as a young person to get involved in the housing market due to the high price of properties which just seem to be continuing to grow. You just feel like you don’t ever have a chance,” he said."

    Seriously? If he thinks Adelaide is expensive, he should try Sydney! :eek:

    This has to be a gee up surely. You can buy a house in Elizabeth for $150k. So sure, maybe he doesn't want to slum it. He could buy a new villa in Salisbury for $250k. That's not seriously unaffordable.
     
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  13. MTR

    MTR Well-Known Member

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    trick is not to discuss property outside this forum, it wont work, its a fine line, your joy and happiness could be perceived as gloating and remember just because we love property and making money not everyone feels the same way, they could find it boring or worse they start to feel insecure. Best to say very little, I have learnt this one.
    My mother does not even have a clue how many properties we own, true story.
     
  14. legallyblonde

    legallyblonde Well-Known Member

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    I do love reading comments on property posts via facebook
     
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  15. HUGH72

    HUGH72 Well-Known Member

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    It might have changed but deckhands make good money, it's hard dangerous work. The problem is when they return to shore for time off, most party pretty hard and spend a lot of money. The smart ones have a second job.
     
  16. HUGH72

    HUGH72 Well-Known Member

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    Exactly, keep it to yourself, no good comes from discussing it with family or friends unless they seriously invest as well.
     
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  17. paulF

    paulF Well-Known Member

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    Some people are poor because of their own doings(spending over their means,holidaying,not using chances that life gives them) and some are poor because simply life hasn't given them a chance(sickness,accidents...). I feel for both but respect the latter much more.

    and +many to the comments about keeping things to one self. One of my biggest regrets is talking to friends/family about investing or money making. Some simply don't get it...
     
  18. Perthguy

    Perthguy Well-Known Member

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    Depends who your friends are. Almost all my friends own property and love talking about it. I also talk shop with my parents: price, yield, capital growth etc. They are looking for renovators now. Love it! Of course they are buying in the worst suburbs but they love it so good on them.

    I'm not sure too many people can have the gross yield/net yield conversation with their parents... especially when it's the parents doing the investing! :)
     
  19. Phase2

    Phase2 Well-Known Member

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    So true. We bumped into a friend at our local shops last weekend, and my wife mentioned that we were going to look at a few properties.. my kid kicks off and yells,
    "No! That's soo boring! Dad, we've got enough houses! We don't need to buy more!!!!!"
    I'm not sure what was funnier, the tantrum, or the looks we got from other patrons in the shop! A few thought it was funny, others glared..:rolleyes::)
     
  20. Joshwaaaa

    Joshwaaaa Well-Known Member

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    its the same everywhere though, most of my mates in adelaide have owned their homes 10+ years now in the southern suburbs and doing well, a few have purchased more since or upgraded. But then we have a few friends making good money, crying about affordability as they want to live in what they grew up in, a big house on a 700sqm block in plympton and can't seem to save the deposit for a $550-$600,000 house because they **** it up against the wall every weekend and aren't willing to buckle the belt. Will never change
     
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