It’s scary as well. I often think the government still factors in people owning their own house when retiring, however that percentage will reduce quite rapidly over time until renters for life become the majority. When people retire without housing the “bank of mum and dad option” the government loves to fall back on will disappear, as there will be no home as an asset for renters to pass on to their children.
Will government pensions still be available to home owners or will it only be available to those who are still renting as there’s simply not enough money to fund everyone? Will home owners be required to take out reverse mortgages on their homes to pay for their own retirement? Where will people live if they don’t have homes and can’t afford rent? If there’s not enough housing will people just be living on the streets in their thousands? Tens of thousands? Will hospitals be able to cope with the large number of people with health conditions caused by unstable housing? Will we still be able to fund Medicare to pay for everything?
When I hear people rubbing their hands together over their house going up thousands and thousands of dollars a day I sometimes wonder if they’ve thought it out to the conclusion. I don’t feel joy when I think how much our property being valued over a million when it’s not worth anything like that, I feel fear and panic.