With house prices at an all time high, getting a foothold in the property market can sometimes seem like an unrealistic dream. But by following these six easy strategies – provided exclusively by Treasurer Joe Hockey – you’ll be in your very own four-bedroom North Shore home in no time.
1. Be rich: It’s a pretty straightforward strategy, but one that a lot of people tend to forget. If you’re in a job that doesn’t pay you $200k+ a year, switch to one that does. Nothing makes it harder to buy property than getting stuck in a cycle of average earnings.
2. Get someone else to pay for your travel: Incidental first class travel can really burn a hole in your budget, especially when you’re trying to save up for a house deposit. I get the Australian Government to pay for my VIP travel. Who’s paying for yours?
3. Pay off your HECS debt: Better yet, don’t pay for your education at all. And if your educational institution or government does insist on charging a fee, make sure you protest against it.
4. Claim a living away from home allowance on your wife’s house: Getting $270 a night to stay in a house your spouse owns may not seem like much, but over time it can really add up. Every night for five years calculates at around $500,000 – enough to put in a fifth bedroom, or wine cellar.
5. Cut back on buying coffees: And Cuban cigars. If that’s too hard, try changing from Cuban cigars to cheaper Dominican Republic cigars every other week. It’ll be hard at first, but it’s worth the sacrifice.
6. Use the equity in one of your investment properties: It’s a bit of a last resort – ideally you’d use the equity to buy additional negatively-geared investment properties. But at a pinch, it’s a strategy you can use to help make that knock-out bid for your first harbourside home.