Sob story of the day...

[Leftette]

http://www.nzherald.co.nz/business/news/article.cfm?c_id=3&objectid=10899065

[Leftette]

"We've been forced to look in west Auckland because the prices everywhere else are so expensive," Miss Longville said. Oh boo bloody hoo. West Auckland. Where they're FROM. Insulting to proud West Aucklanders, much?

[Glizzle]

6.6% ill be crying too LOL

[speights boy]

6.6% ill be crying too LOL

Low equity loans, profitable for the banks.
That's why the Banks fought against LVR restrictions.

[VCTLDH]

"They are among thousands not able to access their KiwiSaver savings because they are looking at properties above the $400,000 threshold - but anything below that wasn't worth looking at, she said."

We all had to start somewhere - my first wasn't much to look at either!!!

[Leftette]

I just saw a 2-bed block/tile unit in Glenfield sell for around $370. Clean, tidy, good location, lots of grass for kids. Moaning waste of space, this couple.

[flyernzl]

"They are among thousands not able to access their KiwiSaver savings because they are looking at properties above the $400,000 threshold - but anything below that wasn't worth looking at, she said."

That, of course, is the nub of the problem.

Not over-inflated prices but over-inflated expectations.

As a Massey lecturer of property said on the radio the other day, "I was into my 4th or 5th house before I got one with more than one bathroom".

Like those who say: "I can't afford to buy a house . . ." and then continue " . . . in an area I'd prefer to live in".

[speights boy]

I don't disagree flyer.....however, we do live in a different city environment than "you young whippersnapper; back in my day"

Two in full time employment versus likely was only one.
The commute - time and cost - now to those two jobs is a major limiting factor.
School zones are even more important now with the competition from offshore students.
Even things like sports and clubs now, time to venues are so much greater that walking or cycling is less of an option than back in the day.
If driving is required then there is more weekend employment for a parent than there used to be.

So yes, expectations in many cases are too high.
However, in many other cases the practical limits to areas are more easily reached today I reckon.

[McDuck]

http://www.nzherald.co.nz/business/n...ectid=10899065

Are they, the sobees, thinking about this clearly?

Surely the biggest favour anyone could do a first home buyer, is to stop the escalation of housing prices.

The Reserve bank, in trying to secure the integrity of the commercial banking sector, is working for the new home buyers advantage.

I’m sure the new home buyers aren’t thinking about this clearly, the ability to afford a loan is not the same thing as the ability to afford a house.

The Trading Banks are similar to a weapons manufactures,
they arm both sides,
thus forcing an ever increasing cycle of having to buy bigger and more destructive weapons.
Except that banks are using money to arm all opposing bidders at a house auction (with personal debt).

The Reserve Bank is simply taking the really big dangerous debt weapons out of this money war.
Once this, Trading Bank fuelled debt escalation manoeuvre, is implemented, other tools can be employed to mop up the issues of the importation of the product of" foreign money", for example… and the like.

[Eugene]

They are only 22, how many baby boomers and gen x's were able to afford houses when that young?

[NIK]

Hmmm....
The couple, both 22, are struggling to find a three-bedroom house with a garage and backyard within their $450,000 price range. They have moved back in with Miss Longville's parents in Kumeu and delayed their wedding while they search and save.
"We've been forced to look in west Auckland because the prices everywhere else are so expensive," Miss Longville said.
The production assistant earns $41,000 a year, while Mr Carter earns $56,000 as a refrigeration technician. They each bank $300 a week and hope they'll have enough to secure a home by the end of the year.

So they are living at her parents, delayed their wedding and now are,"forced" to look in West Auckland.
If they are living with her parents, surely they can save more than $ 300 each ?
If their deposit is 30 000 including their Kiwisaver, surely the repayments, insurance, rates, maintenance etc will be close to the $ 600 if not more per week they 'save' now. What if the rates rise?
Why do they need 3 bedrooms and a big yard, they are 22 and have no kids.

[Glizzle]

Guys i cant find a job its so hard, everyone wants experience all i want to do is be a astronaut for Christ shakes! If im late for my winz work seminars(btw i have no reason to be late i have no job) they want to cut my benefit off and they are wanting me to wash dishes, who do they think i am? i was born for space walks .

[grip]

It's not hard for the Herald to find moaners. These stories generate reaction, which is exactly what the newspapers want. Would it be a story if a young couple saved hard to buy a 2 bedroom flat in Manurewa?

For me the most interesting bit is this:

While relationship status, ethnicity, age, and location were all important factors in whether a person could afford a house, the Treasury made a surprising discovery - there was no statistically significant relationship between a person's income and their likelihood of home ownership.

[Maccachic]

Guys i cant find a job its so hard, everyone wants experience all i want to do is be a astronaut for Christ shakes! If im late for my winz work seminars(btw i have no reason to be late i have no job) they want to cut my benefit off and they are wanting me to wash dishes, who do they think i am? i was born for space walks .

http://www.stuff.co.nz/sport/cricket/8929053/Former-Black-Cap-on-dole-queue

"It has been very hard to look for some sort of meaningful employment," he said.

[Glizzle]

I think its because he dosnt move his feet.