Originally Posted by
rmbbrave
Doubles in price every 10 years? ie about 7% per year
Thats a new one Duncan. It used to be 10% a year - ie doubles in price every 7 years.
Do you still reckon propert has doubled every 10 years from 1066 to 2006 and will do so from 2006 to 2056?
Year average house price
2006....400k
2016....800k
2026....1.6 m
2036....3.2 m
2046....6.4m
2056....12.8m
A house is considered expensive if it is 7 times the average wage.
What are the chances of the average wage being $229,000 (1.6m/7 = 229k) in 2026?
Pretty slim I'd say.
If house prices keep doubling every 10 years no one will be able to afford to buy them.