Housing End Game - What Happens When No One Can Afford a Home

The housing market is facing the worst housing affordability ever - yet house prices continue to show extreme strength. So what's the housing end game when the majority of people can't afford a home - what's the future for house prices.

This video features sections from the video: "If Nobody Can Afford A Home... Who's Going To Buy Them?" by the YouTube Channel "How Money Works".
Watch the full video here:

DISCLAIMER: This video content has been made available for informational and educational purposes only and does NOT in any way constitute financial or investment advice.

#australianrealestate #housingcrisis #housingmarket #bikokonstantinos

[bikokonstantinos]

What do you think is the Housing End Game???

[davidbrayshaw]

I have been saying this for the last 23 years. And people looked at me like I had two heads. This started with the Howard Government's first home buyer's grant, July 1, 2000. And it was no coincidence that the same government was responsible for record immigration numbers and the relaxing of all sorts of Visa requirements. And no government since has done a single thing to address Howard's failures. Not a thing.
But don't wait for a crash. That's not coming anytime soon. Prepare yourself for traffic jams, longer hospital waiting times and lower wages. Australia will keep piling in immigrants, student visa and work visa holders, indefinitely.

[amgis]

I love the humorous way you present important information. Keep up the good work. PS: We did a study at work on house prices in Australia, and we came to a very interesting conclusion. When you price houses in gold troy ounces, you find that property hasn't increased in price. It's actually down. It takes fewer troy gold ounces today to buy an average Australian property compared to ten years ago. What does this mean? It means that the Australian dollar is depreciating extremely quickly and deeply. It means that actual wages have been falling in comparison to the price of goods and services in general. It means that Aussies today are getting less troy ounces of gold per working hour, when compared to Aussies of four decades ago. And this is the real cause of housing unaffordability: a rapidly depreciating currency (high inflation being the standard across the last four decades) and a lower real working wage. PPS: The modern slave wage worker is exactly that: the modern slave.

[johncitizen]

It's ok. A man who owns 10 houses said to me to buy now. I need to stop and think about how much they will be worth in 10 years... If that man is right. I'm not only not buying a house in 10 years, but I will go into the forest with a tarp and some rope and join everyone else who's doing the same thing.

[antl]

Well done Biko. Preach it brother. It's disgusting what they are doing. My daughter earns 120 a year her husband earns similar but saving 200k for a deposit (which is what they have been told to do by lenders) is nearly impossible with 2 kids 2 cars and all the expenses that come with it.
I often wonder what houses would be worth if there were no mortgages, or banks. A Lot more realistic I'm sure.

[XTSonic]

That resentment already exists imo. Older colleagues all live in a paid off home in the nice suburbs of Sydney and Auckland, while younger colleagues who surpassed them in rank can't even dream of a median suburb and struggle to repay a mortgage on a 30th-percentile home. There is no way to catch up.

[KoDeMondo]

To me, it appears that every country is implementing its version of the Great Reset locally, so there isn't a one-size-fits-all model. The common goal, however, seems to be the elimination of private property. We could delve into discussions about house prices, immigration, billionaires acquiring banks, and political corruption, but the primary focus is on how to eliminate private property—a plan already outlined in the 2030 agenda.

[ll-dqij]

As housing affordability worsens, we see a comesurate pick up in crime and social unrest.. It's not something to look forward too, the fortunate ones that own property will have to build fortresses with barbed wire to protect themselves.. like in South Africa.. It will definitely be a blight on our nation that's 4 sure..

[dougwhiley]

We bring in 400 000 immigrants per year. Most of them are from India. They are wealthy, educated and hardworking.
They are buying the houses. Our government has opened us up to international competition. Existing Australians will live in tents

[burnthehighway]

Biko needs alot more subs. its good seing your channel grow, quality content

[fairhall]

Home ownership allows people more money to invest in the sharemarket and more money to sustain a consumer based economy. There are fewer investors than there are home owners. Fewer home owners means less consumption and fewer shareholders. This means the economy suffers and the sharemarket is turned over to fewer investors. After the financial crisis of 2008 the corporate sector started to invest into housing. The housing sector will go into corporate control and at the same corporate control will go into the hands of fewer investors, which will become a virtual monopoly. A lot of these corporations have been using money created as stimulus during the financial crashes and covid to fund this. China is obsessed with investing in housing and distrust the sharemarket as an investment tool. Foreign ownership of housing should be banned, along with flooding Australia with immigrants. Eventually there will be a flood of homeless people that will turn to crime and will destroy the retail sector like they are in the west United States.

[gavinpruden]

Too many politicians own rental homes. They have a vested interest in keeping prices high.

[InfinityIsland]

Well Albonese lost his Ego Boost campaign.
Hopefully he gets the message we don't want his hyperinflation and hyperinflation immigration and we want our living standards back

[philmarsh]

And the "homeowner" even one without a mortgage, sees taxes and insurance going up and up too.

[williamcrossan]

I think the situation, is 60% will still be able to afford a home:
1. Those with inherited wealth
2. Those with high dual income.
3. Those who now have to buy apartments.
4. The rest are toast

[addictiveaussie]

The sooner you realise the WEF means what it says, the sooner you understand everything is on track.

[BrandOdyssey]

It’s not just renters. Even $500k mortgages are unpayable. And $1M mortgages will never be paid back. Think about it. You have to pay $50k per year for 20 years just for the principal. Let alone the interest.

[aaronhogan]

Just to share a story of my neighbour. He bought a 330 acre farm about 15 years ago. He paid $1.1M or roughly as much as a high end inner suburbs house would go for at the time. He just sold for $9M. To a developer. But the developer won't be able to subdivide because it's zoned farming. He bought it for some bullshit "carbon credit" tax shenanigans. Makes things very interesting as far as valuations go for our place and the area in general. Town is Little River /Lara halfway between Geelong and Melbourne. Also it's my dad's farm, not mine.

[rubyduby]

Thanks for uploading Biko - I'm always keen to hear you explaining things.

[simonc]

Great work Biko, finally someone ties it all together.