There is an interesting post on The Oil Drum. There are some great graphics posted that show the percentage of income required to commute as you move away from the city and into the suburbs in Sydney.
The main article behind the post talks about the rising cost of fuel cutting into the family budget for car-dependant commuters. Fuel prices in Sydney are approaching $1.50 per litre and some estimate it could rise to $2.00 over the next couple years which would equate to about 6% of income for those who commute. Add to this an inadequate transit system and the lack of government to fast track alternative fuel research some are worried a serious crisis will develop.
The main article behind the post talks about the rising cost of fuel cutting into the family budget for car-dependant commuters. Fuel prices in Sydney are approaching $1.50 per litre and some estimate it could rise to $2.00 over the next couple years which would equate to about 6% of income for those who commute. Add to this an inadequate transit system and the lack of government to fast track alternative fuel research some are worried a serious crisis will develop.
Final thoughts: The article briefly mentioned the impact on those who are already mortgage strapped and I couldn't help but see this as a global problem.
Australia, US, Canada, Great Britain and many other countries have had major real estate booms and as gas prices continue to climb, those who maxed out on their mortgage I suspect started feeling the pinch when fuel broke $1.00 per litre.
Maybe unemployment is at an all-time low in some areas because those who are mortgage strapped have 2nd and 3rd jobs.
Today's quote: Every day, you’ll have opportunities to take chances and to work outside your safety net. Sure, it’s a lot easier to stay in your comfort zone.. in my case, business suits and real estate.. but sometimes you have to take risks. When the risks pay off, that’s when you reap the biggest rewards. Donald Trump
1 comment:
It is hard to find some solution in this situation. It is an interesting research but it is same with prices of food and almost everything. Actually I have seen some curious solution recently. There are sky resorts in the US with some restriction. If you want to reach the place by car you have to pay some sum of money in case that you are in the car alone. (less if you are two and three and more is for free) .Sure this is solution against huge traffic but principle is the same: people are forced to use cars more effectively and they are able to adjust to the situation. Working as a West Toronto realtor I am meeting many potential house buyers and I see that accessibility of the place is weighted more than before.
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