OzTennis

OP wonders how people manage in Australia. Where is this?

"Home ownership fell to its lowest level in 25 years in 2012/13, while the number of private tenants overtook the number in social housing for the first time, according to official figures that show how tenure has shifted over three decades.

The latest housing survey showed that the proportion of homes lived in by owner-ocupiers had dropped to 65.2%, down from 71% in 2003 and its lowest level since 1987. Ownership levels have been driven down by rising prices and tougher mortgage criteria,"


It's the UK being described. Home ownership levels are higher in Australia (67% cf 65%) so the answer to the question how do people manage is they seem to.

Bermudashorts

Well the truth is moving from £100k income in Leeds to $200k in Melbourne is going to mean a drop in your material living standards. That is not to say you shouldn't do it, you cannot put a price on some life experiences, but you should consider how much you want it and whether it is worth it.

I tend to think of Sydney as being most comparable to London amd Melbourne as not necessarily London, but definitely most comparable with the SE in terms of property prices.

skinnygeorge

As far as cost of living. We moved Dec `08,and personally we have a far bigger mortgage than we did in the UK and the cost of living is as you say is much greater. I do earn a bit more than I did in the UK. And yet we are far better off, with more to spend all round. Was told right at the start do not try and compare. Its in our nature I know and you cannot help but try and foresee where you will stand. But somehow we have more. We worry about how much groceries cost each week, but visiting the Uk were surprised how much stuff cost there.

jad n rich

Agree Sunbury is not really Melbourne. Its also got a large drug and unemployment side. Son did a medical placement there, bad area. Eltham is treed and green. A fairly white middle class area fir melb. Hilly, green more clean air feel. Remember most housing goes way over the advertised price. 700 plus for a house. 45 mins train to cbd.

OzTennis

A friend of ours is a nurse in a clinic near the CBD and she has lots and lots of 'suits' from Toorak etc coming in for their methadone, needles etc. Truth be known there is a large drug problem in ALL suburbs. It's just that it is not as apparent or wears a suit, collar and tie in some of the upmarket suburbs.

IndieG

Rent in one of the following suburbs (make sure that the property falls within the zone, schools are pretty strict in this regard) where the state secondary schools have a very good reputation:

North Balwyn (Balwyn High)
Glen Waverley (GWSC)
Mckinnon (Mckinnon Secondary)
Camberwell (Camberwell High) - Edit: the best in terms of commuting, serviced by 3 train stations!
.
.
.

Buy in any suburb where you can buy your house without a backbreaking mortgage.

OzTennis

You would need a 7 figure sum (min) to get an average house in the zones of the schools you specified and rental would be budget stretching as well.

Median house price:

N Balwyn $1.8 mill
McKinnon $1.5 mill
Camberwell $1.8 mill
Glen Waverley $1.2 mill

Sunbury $370K

Japonica

Yeah, we looked at Camberwell but balked at the average $850 p/w rent for a 4 bedroom...

OzTennis

Property and rents a lot cheaper (although expensive for most admittedly), schools etc good where I originate from.

https://www.realestate.com.au/neighb...stown-3016-vic

Japonica

Ha, all the 4 bedrooms I just looked at are comparable, anywhere from the $600-900 p/w range. Nice area though, have to agree with you there.

Having moved twice in the past year though I think we're staying put for the meantime (and hoping our rent doesn't go up too much when we're up for renewal).

OzTennis

Yeah, understood; I'm surprised that rentals are in the N Balwyn/Camberwell league though as the house and unit prices aren't!

IndieG

Which is why I said rent in the suburbs with good schools and buy in a suburb you can afford.


Camberwell: - less than $700 p/w for 3-4 bedroom houses

116 Rowell Avenue Camberwell Vic 3124 - House for Rent #418165334 - realestate.com.au
3/24 Russell Street Camberwell Vic 3124 - Unit for Rent #418597546 - realestate.com.au
3 Currajong Avenue Camberwell Vic 3124 - House for Rent #418582318 - realestate.com.au

etc

Glen Waverley and Mckinnon would be even cheaper than Camberwell. On a $200k salary, I would definitely find it very affordable to rent here.

Nice house and great location in Glen Waverley:

http://www.realestate.com.au/propert...rley-418453738

IndieG

I know this market quite well and follow it very closely. High-priced rental properties remain vacant for a long time and then some of the owners start reducing rents by up to 20% until they're down to the $700-800 range. Supply is definitely much more than demand

Japonica

That's good to hear. Will keep it in mind for down the road.

OzTennis

If someone was on $200K p.a. (2 to 3 times the national average) they should be able to pick anywhere to rent I would have thought.