Why is rent so high??
#1
Just Joined
Thread Starter
Joined: Jul 2011
Posts: 11
Why is rent so high??
I'm thinking ot moving to Australa but been looking at rental property and the cost is crazy - everywhere!! Even without converting the $ to £... which I know is pointless but just can't help it!
Why is it so expensive? Is renting seen as just a stepping stone before buying? I haven't looked into buying but is it a lot cheaper to buy than to rent? That would be mortgage dependent I know, but in general does it work out much cheaper on a weekly/monthly basis to buy?
Why is it so expensive? Is renting seen as just a stepping stone before buying? I haven't looked into buying but is it a lot cheaper to buy than to rent? That would be mortgage dependent I know, but in general does it work out much cheaper on a weekly/monthly basis to buy?
#2
Forum Regular
Joined: Jul 2006
Location: Western suburbs of Brisbane
Posts: 266
Re: Why is rent so high??
Renting is definitely expensive here but it seems to me, based on the numbers we have been given, that renting is actually cheaper than buying based on the repayments unless you have a huge wad of cash to throw at the mortgage.
#3
Re: Why is rent so high??
I was going to say...
If you think renting is expensive, try taking a look at mortgage repayments. Interest rates are high here, so you're paying more to cover the landlords repayments.
If you think renting is expensive, try taking a look at mortgage repayments. Interest rates are high here, so you're paying more to cover the landlords repayments.
#4
Capt Hilts
Joined: Jan 2008
Location: Sunny Adelaide :)
Posts: 1,573
Re: Why is rent so high??
Cooler
#5
Re: Why is rent so high??
Supply is low, demand is high therefore rents are high.
Of course it all depends on what type of property you are looking at and in what area. And you have to factor in that your salary in Aus will (usually) be higher than a UK equivalent position.
Of course it all depends on what type of property you are looking at and in what area. And you have to factor in that your salary in Aus will (usually) be higher than a UK equivalent position.
#6
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Joined: Sep 2004
Location: London - but only until I can afford to move back to Sydney
Posts: 938
#7
Re: Why is rent so high??
We both work fulltime... when we were renting we saved a HUGE wad of money... salaries are different and living cost are too... we brought, but have started frm scratch due to all the factors over the last 5 years... housing market crash, exchange rate crash.... etc etc etc
Renting IS the affordable option... if either of us wasnt workin we'd bestuffed
Renting IS the affordable option... if either of us wasnt workin we'd bestuffed
#8
Lost in BE Cyberspace
Joined: Apr 2004
Posts: 10,375
Re: Why is rent so high??
I'm thinking ot moving to Australa but been looking at rental property and the cost is crazy - everywhere!! Even without converting the $ to £... which I know is pointless but just can't help it!
Why is it so expensive? Is renting seen as just a stepping stone before buying? I haven't looked into buying but is it a lot cheaper to buy than to rent? That would be mortgage dependent I know, but in general does it work out much cheaper on a weekly/monthly basis to buy?
Why is it so expensive? Is renting seen as just a stepping stone before buying? I haven't looked into buying but is it a lot cheaper to buy than to rent? That would be mortgage dependent I know, but in general does it work out much cheaper on a weekly/monthly basis to buy?
Last edited by jad n rich; Jul 8th 2011 at 4:35 am.
#9
Re: Why is rent so high??
Is rent high though in reality? A 4x2 in a decent area can be had for about $1600 a month (GBP1K or less, depending on how you do your conversion) with no rates to pay (maybe a bit of water).
What would an equivalent house in the UK rent for?
What would an equivalent house in the UK rent for?
#10
Account Closed
Joined: Sep 2007
Posts: 5,768
Re: Why is rent so high??
As others have said, if you're a cashed up Pom with heaps to put down, you'll be right, but take on a 90% mortgage and you'll see!
I'm in the process of losing my house and the mortgage with rates is $1000 pw ($460k interest only mortgage)
The house 4 doors down is for rent now, $400pw and i'll be looking to rent it once I can get rid of my house! ...
Don't even think about cost of groceries etc ...
As I've said many a time on here. If you come for the sun, you'll be happy as we are, but apart from that the country has a lot to answer for!
#11
Account Closed
Joined: Sep 2007
Posts: 5,768
Re: Why is rent so high??
Aha! ... here's my situation.
Missus works for a company for 2.5 years ... all good. New boss comes in with a hate for Poms, and she's gone in 6 weeks ... no real reason.
Unfair dismissal claim goin in any day, and they'll lose, but don't go looking for job security here as it don't exist! No rights like in ole Blighty.
If they don't like ya, you go and there's naf all you can do about it.
Missus works for a company for 2.5 years ... all good. New boss comes in with a hate for Poms, and she's gone in 6 weeks ... no real reason.
Unfair dismissal claim goin in any day, and they'll lose, but don't go looking for job security here as it don't exist! No rights like in ole Blighty.
If they don't like ya, you go and there's naf all you can do about it.
#12
Living our life wherever
Joined: Jan 2007
Location: came back to oz after moving back to uk but not settled here so uk here i come, last time im moving
Posts: 361
Re: Why is rent so high??
I'm thinking ot moving to Australa but been looking at rental property and the cost is crazy - everywhere!! Even without converting the $ to £... which I know is pointless but just can't help it!
Why is it so expensive? Is renting seen as just a stepping stone before buying? I haven't looked into buying but is it a lot cheaper to buy than to rent? That would be mortgage dependent I know, but in general does it work out much cheaper on a weekly/monthly basis to buy?
Why is it so expensive? Is renting seen as just a stepping stone before buying? I haven't looked into buying but is it a lot cheaper to buy than to rent? That would be mortgage dependent I know, but in general does it work out much cheaper on a weekly/monthly basis to buy?
#13
Re: Why is rent so high??
Welcome to Australia (its getting a very expensive place to live) around us (brisbane) a good sized four bed low set will cost you approx $420 a week so about $1600/1700 a month, compared to uk were in the country side you can get a very large house for £850 per month , which on todays rates would be approx $1250 per month
Affordability is more important than exchange rates in this case.
#14
Re: Why is rent so high??
From my experience a 4x2 in the UK was not the norm anyway. Far more likely to be a 3x1.
Size of houses are generally larger here too so it's difficult to compare like with like.
Size of houses are generally larger here too so it's difficult to compare like with like.
#15
Lost in BE Cyberspace
Joined: May 2006
Posts: 6,600
Re: Why is rent so high??
Welcome to Australia (its getting a very expensive place to live) around us (brisbane) a good sized four bed low set will cost you approx $420 a week so about $1600/1700 a month, compared to uk were in the country side you can get a very large house for £850 per month , which on todays rates would be approx $1250 per month