You may recall a week or so back I was somewhat interested in a place that was up for action – a townhouse facing onto a park near our place.
Finally found out what it sold for. AU$541,000. Which is… well, it’s a lot less than some places I’ve seen. That’s practically achievable… Although of course we’d have to wait for another one in that row of townhouses to be for sale!
There used to be an old saying about an income multiplier, a rule of thumb about buying a property. I think the rough guide about housing affordability was to multiply your yearly income. If the house was more than three times that number, it was beyond you. This rule has been completely shot by the way real estate has gone berserk in this city, but still, that place is about five times our combined annual income. Hmmmm… gears are whirring in my head… I still need a place to store my child!
Finally, a story of real estate past. In about 1972 or 1973, my parents bought a house in Hawthorn. For $5,000. If I could go back in time, I could put that house on my credit card. The scary part, thought, is that at the time my dad was making $3,000 a year… Something is broken in the housing economy these days…