Ocean Views
There is some prime real estate at Bicheno on Tasmania's east coast. A small population of under 1000 people, and some of the cleanest water in the world. The people who have lived here for years are sitting on gold.
Property values have risen over 20 percent in the last year alone and houses sell before they are even listed (often to foreign investors). This is all being fueled by historically low interest rates and tax breaks (which in Australia we call negative gearing). The problem is that the boom in house prices is happening everywhere, so you sell high here and you pay plenty somewhere else.
With inflation on the rise (though governments are fudging these figures low - the cost of living has gone through the roof), and a market correction on the way - especially in the wake of recent events - it is inevitable interest rates will rise. And what happens then? But sadly, it is harder than ever in history for young people to buy their own house. And who can afford these ocean views? Not me.
Ocean Views
There is some prime real estate at Bicheno on Tasmania's east coast. A small population of under 1000 people, and some of the cleanest water in the world. The people who have lived here for years are sitting on gold.
Property values have risen over 20 percent in the last year alone and houses sell before they are even listed (often to foreign investors). This is all being fueled by historically low interest rates and tax breaks (which in Australia we call negative gearing). The problem is that the boom in house prices is happening everywhere, so you sell high here and you pay plenty somewhere else.
With inflation on the rise (though governments are fudging these figures low - the cost of living has gone through the roof), and a market correction on the way - especially in the wake of recent events - it is inevitable interest rates will rise. And what happens then? But sadly, it is harder than ever in history for young people to buy their own house. And who can afford these ocean views? Not me.