Hawke’s Bay median weekly earnings skyrocket – This article reports that with a median weekly wages boost by $80 to $850 pw, job opportunities are abundant and housing costs are far way cheaper than other areas in NZ, it appears a wise option for people to move to there. But is it?
- Median remuneration does not mean job opportunities; and both can be seasonal. For example, the area is mainly farmland and many are semi- to fully-automated. Only a few high-paid jobs are available (eg. machine operators) and they fluctuate with season.
- Local housing may appear “cheaper” when compared to other big cities, but such comparison is not apple to apple; one major factor the article and many people overlook is the local housing cost shall be compared to their income source; say wages if they are employees. Since real job opportunities along with wages level are relatively low (when compared to other big cities), the real housing costs, or mortgage debt vs income may not be low as people think.
- It seems to me that people’s life goal(s) has now narrowed down to only one – owning their own house. They’d rather move to places where the housing is “affordable” regardless of what they love to do for their lives, or for their families. This is a typical “savers” mindset. To me, I’d bust my gut to chase my dreams; ok the properties in Auckland are expensive; fine, I’ll think of and execute my financial plans/strategies (expand my means), stick to it till I have enough capital.