Kochie’s controversial real estate comments

 

Sunrise host David Koch sparks a heated debate about the Aussie housing market after making some controversial comments about his views on younger generations buying property.

The argument, which came about when hosts were discussing their views about whether overseas property investors should be hit with a new NSW property tax, saw Kochie challenge the view that first-time property buyers are facing a tough market, instead implying that they simply don’t make enough effort to save for a deposit.

Also read: The real reason first-time buyers are being locked out the property market

“It has always been hard for first time buyers – it was hard when you bought your first home and it was hard when I bought by first home,” Kochie said.

“But also it comes with some sacrifices when you buy your first home. You have to buckle down, you have to save and give up your overseas holidays.”

“My kids give me this argument all the time and I say ‘where did you go on holidays?’ and they say Europe or America, and I say ‘well we went to Nelson Bay when we were saving for a first home’.”

However, another co-host points out that overseas holidays are now cheaper than in the past, while the cost of buying a home has skyrocketed, hinting that his comments aren’t quite applicable to today’s market.

“But we weren’t getting paid today’s salary’s and we were getting 18% mortgages. All I’m saying is its hard for everyone,” Kochie said.

When the conversation moved to the increased pressure on parents to help pay for this children’s home, he adds: “Why would you do that? You’re a sucker if you do.”

WATCH: Kochie's thoughts on younger generations buying property

Kochie’s comments come at a time when first time buyers are finding themselves squeezed out of the property market.

Although cooling house prices could be considered to provide an opportunity for first-time buyers to crack into the property market in 2016, the outlook is still expected to be relatively bleak.

Also read: 120 Aussie suburbs could be set for a price plunge

Property prices are still uncharacteristically high, meanwhile, wage growth is at a record low, the number of home loans are falling and one major bank has even announced it will demand a higher 30% deposit in some areas it deems ‘risky’ in fear of oversupply issues.