| This is indeed a frightening thought for many | | | | It is a sad state when the gap between the |
| Australians. However, for many renters, costly | | | | 'haves' (investors) and 'have-nots' (aspiring home |
| house prices are turning the great Australian | | | | buyers) is widening, and analysts do not predict |
| dream of home ownership into exactly that - a | | | | changes in this trend any time soon. Moreover, |
| dream. | | | | median house and apartment prices have |
| Renters, especially those saving to buy, have | | | | increased by such a huge margin, and are |
| survived several harsh setbacks this year. Agents | | | | continuing to increase, particularly in the inner city |
| revealed that in over 85% of cases, rents have | | | | where tenant demand is strong. We all must be |
| increased in the past 12 months, and are likely to | | | | aware of course that this has brought a smile to |
| continue to increase until 2009. This will be around | | | | the face of investors. |
| the time when a new upsurge of apartments is | | | | Furthermore, the value of the investors' property |
| expected to come onto the market, easing the | | | | portfolios has increased in recent years. This most |
| shortage. | | | | certainly provides tens of thousands of dollars in |
| At the same time, interest rates skyrocketed | | | | equity, which in turn enables them to buy more |
| three times since the beginning of 2006, making a | | | | property. Renters, by comparison, must make |
| total of eight times since 2002. This has | | | | serious lifestyle changes to go up against rising |
| destroyed the borrowing capacity of prospective | | | | rents, rates, stamp duty, and real estate values. |
| buyers. Those who dreamt of home ownership | | | | The easiest way to check on rental and homes |
| have had their dreams dashed. Melbourne's | | | | to buy is online at in their Real Estate section you |
| current 284,000 rented households must make | | | | can register, login, and search the thousands of |
| big decisions this year. To buy or risk being | | | | real estate property listings all for free! |
| pushed out of the market. | | | | |