- Real estate agent Quang Huynh shared tips for Gen Z renters
- Ben Fordham said saving wasn’t as simple as making sacrifices
- He said the housing market had changed exponentially since the 1980s.
- READ MORE: The only mistake Australians make when buying a house
2GB presenter Ben Fordham has criticized a property investor who accused Generation Z of being “entitled” and “lazy” for not making enough sacrifices to save money for a house deposit.
Investor Quang Huynh, 39, said young people who were serious about home ownership needed to make some big changes to their lifestyle, in an exclusive interview with Daily Mail Australia.
Their advice included taking cold showers, not eating out or drinking alcohol, passing up expensive concert tickets, and avoiding paying expensive rent.
“Well, this is going to upset Millennials,” Fordham told listeners Monday.
‘Some of our younger listeners probably wish Quang could take a cold shower before speaking.
2GB’s Ben Fordham reacted after a real estate broker with a portfolio of eight properties shared some difficult truths with Gen Z renters looking to get on the property ladder.
Quang Huynh has eight properties in Sydney, a portfolio he has spent 20 years building
But I think some older listeners will see some truth in what he says.
‘Homeowners have had to make sacrifices: working overtime, living with mum and dad for as long as they allow, living in a crowded houseshare, having toasted sandwiches for dinner, skipping holidays.
‘You can’t have it all. And some people think they can: they want to work when they want to work, they want to go on holiday when they want to be on holiday, and they spend money on whatever they want.’
Fordham said it was the fear of missing out that drove young people to go out and spend money, but admitted that buying a first home was not as simple as Huynh made it out to be.
‘I know many young workers who make sacrifices when it comes to spending and still find it almost impossible to enter the property market. And the numbers back them up,’ he stated.
Fordham said older listeners would appreciate the sacrifices Huynh had mentioned, but it wasn’t as simple as cutting back on eating out and concert tickets to afford a house.
Since the 1990s, housing prices have risen from 2.5 times annual household income to more than six times today – a 140 percent increase.
As a result, only 30 per cent of Australians aged 25 to 34 are homeowners, down from 58 per cent in 1986.
In 1994, the average rent represented about 18 percent of household income, while rent in capital cities now represents between 26 and 34 percent of household income.
Fordham said it was cheaper to build a house in Australia in the past, when power and gas were less expensive and there were more jobs in the regions.
He also noted that there are more and more people who make real estate investing a profession.
“There used to be fewer professional real estate investors,” Fordham continued.
‘Quang Huynh owns eight properties, so there are seven houses that people have to compete for in the rental market.
‘In the old days, people saw property as a place to raise a family and build a life. Nowadays, people like Quang buy as many properties as they can.
“So yes, we can listen to your advice on how to save money and do without it, but let’s not pretend that these days are like the old days.”
Mr Huynh’s advice to tenants wanting to save for a deposit included giving up alcohol, canceling subscription services and returning to the family home.