Skip to content Skip to main navigation

Business

Beyond the expected

New housing crisis?

By johnboy 2 March 2012 24

Liberal leader Zed Seselja is banging the drum on housing affordability:

The number of ACT dwellings approved for building has plummeted by 60 per cent in trend terms since June 2011, while the average cost of a median priced home in Canberra has skyrocketed to the nation’s highest at $505,000. This comes after information obtained by the ACT Opposition shows that the average first home in Canberra now costs over $400,000 for the first time. ACT Opposition Leader Zed Seselja said these figures show the extent of ACT Labor’s mismanagement of the housing market.

“These figures demonstrate just how difficult it is for first home buyers to enter the market, with a median home in Canberra now the most expensive in the country and $30,000 more than Sydney,” Mr Seselja said.

“Worse, ACT Labor has only recently acknowledged it has created a “two class Canberra? where people who are not in the property market are facing the very real possibility that they will never be able to afford a home.

“Longer-term statistics also show building approvals have fallen by 60 per cent in trend terms since June 2011, since ACT Labor placed a $50,000 tax burden on units.

Unhappy as they are with the change of use fees it’s hard to believe developers will stay on strike if the prices are rising.

What’s Your opinion?


Please login to post your comments, or connect with
24 Responses to
New housing crisis?
Filter
Showing only Website comments
Order
Newest to Oldest
Oldest to Newst
gazket 11:24 pm 07 Mar 12

“The most recent HIA affordability index release shows that housing affordability in the ACT is the highest it has been since the June quarter, 2010”

That would be because the pollies and their servants just gave themselves massive pay rises so it distorted the figures. how is 400k all of a sudden affordable. HIA and others are full of tripe

Darkfalz 10:08 pm 07 Mar 12

r1 said :

AnimosiTy i do not and never have lived in public housing , and unlike you i dont aspire to

I just bust my ass 6 days a week in a crap blue collar job to pay a fat mortgage and cant stand people who expect a house to miracuously appear from thin air

Housos think a free government house is a basic right. When the government purchases some place and gives to a bogan family, taking it off the market decreases availability and therefore increases prices, while actually making the neighbourhood otherwise devalued because who wants to buy a $500,000 house to end up surrounded by single mothers with screaming uncontrollable kids and dole bludgers.

Darkfalz 10:02 pm 07 Mar 12

It might be we never buy in Canberra. In the meantime we’ll continue to build our savings – hoping to figure out some kind of investment strategy that’s not a huge tax liability, pushing 160k combined income though we’re soon looking at losing 39 cents in the dollar on our savings as opposed to 32 cents at the moment. The advantage of the house is that it’s not losing value like our money is with inflation, but increasing (not at the 10% per year during the boom period) – still, every month rent “seems” a little cheaper because we’re getting a little more interest (falling rates aren’t helping though!). I think the RBA / government is artificially keeping the bubble inflated. I don’t pity people who lose money when the bubble bursts or deflates because their money is in 3 or 4 investment properties – these people are partially responsible for the bubble. Anyway, we’ll keep saving and hoping for an even modest drop in prices if it comes, then we’ll pounce. Otherwise we’re comfortable renting for now.

Related Articles

CBR Tweets

Sign up to our newsletter

Top
Copyright © 2018 Riot ACT Holdings Pty Ltd. All rights reserved.
the-riotact.com | aboutregional.com.au | b2bmagazine.com.au | thisiscanberra.com

Search across the site