While property prices may currently be on the rise in Sydney, Malcolm Gunning, principal of real estate franchise Gunning, believes it is the actions of individuals unwilling to give up some of life’s niceties that is keeping them out of the property market, rather than prices.
“There are lots of young people who are complaining that it is too hard to buy in Sydney, however they won’t forgo their material possessions,” Gunning said.
“More and more we are seeing a victim mentality associated with the high cost of property, yet this ‘generation selfish’ sees wide screen TVs, designer clothes, international holidays and eating out as every day essentials,” he said.
Recent price growth figures revealed the median price for a house in Sydney was $1,021,968 at the end of June, while the median unit price was $669,830.
Gunning also said young people in Sydney seem unwilling to scale down expectations and are unwilling to look outside the city’s most desirable locations, though recent survey of first home buyers from St.George Bank revealed a large portion of first time buyers were prepared to give up on their dream location.
Gunning did acknowledge government assistance for home buyers has been reduced in recent years; however he said young Sydney-siders could learn something from their counterparts in regional areas.
“While we must recognise that government incentives have been reduced to new properties and the issue of bracket creep is an important one, Sydneysiders are those who have the biggest problem,” he said.
“Young people in regional areas, who are not bringing home as big a pay packet, are making sacrifices to get into the property market. They recognise that getting onto the property ladder should be a priority and do everything they can to ensure they are saving to get to their end goal.”
