Puzzicato
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- Ex-pat Ozzie in Greater London, UK
Paisley said:Twenty months' median income vs. 69 months' income for a house is a whopping big difference--a difference that hasn't come to pass in all areas. The reasons for the differences are worth considering.
True. I would imagine that in the 1950s only the wealthiest people would have imagined owning a second property or a home that they weren't going to live in, but I know a number of people who still live with their parents who have investment homes (that they can't afford to live in themselves). That must have assisted the rise in prices for housing. And in Australia there has been room for "negative gearing" - money that you lose on an investment property can be offset against your taxes.