Why these old newspaper ads about house prices have divided Aussies

Australians have been left divided after old newspaper advertisements resurfaced showing the incredibly low prices for properties in upmarket suburbs.

The vintage 1980s and 1990s ads from a local newspaper in Sydney's north were published on the Humans of Eastwood Facebook page with the cheeky post: 'Back in the day when you can buy the entire street.'

The advertisements showed several houses including a Ryde property listed for $57,950 in 1985 and a Marsfield townhouse for $159,000 in 1992. 

The post by Ryde councillor Justin Li sparked an angry reaction from one woman, who alluded to the 18 per cent interest rates of the late 1980s.

'Gee, so naive. Repayments were high. Wages were low. Interest rates were high,' she said.

'It never has been easy for average person to buy property.'

But a younger man pointed out houses compared with incomes were much cheaper during the 1980s even when variable mortgage rates were at punishing levels.

'People need to consider wages to house prices ratio,' he said.

'It was more doable even with kids back then despite the high interest rates. Today, wages to house price especially in Sydney is almost impossible.' 

A Raine and Horne ad from 1985, published in the Northern District Times, had a four-bedroom house in North Ryde for $111,950 and a home at Putney, near the Parramatta River, for $129,000.

The house in North Ryde four decades ago only cost 4.3 times the average pay of $20,649 with a 20 per cent deposit, compared with five times for Putney, an upmarket waterfront suburb.

In 2024, North Ryde's median house price is $2.358million or 19 times the average, full-time wage, while at Putney, it's $3.43million or a whopping 27.9 times the typical pay.

A Professionals KG Hurst ad from 1992, shortly after a recession, had a house at Beecroft for $285,000. 

That would have cost 7.5 times an average salary of $30,519, back when Sydney's median house price was at $140,280. 

Beecroft's median house price is now $2.435million or 19.9 times an average, full-time salary of $98,218. 

Councillor Li said he expected things to get worse.

'It's getting harder all the time for young people to buy their first home because of increasing property prices, interest rates and cost of living expenses generally,' he told Daily Mail Australia.

'It's unlikely to get any easier in the future and tomorrow's generation will probably say the same about today's generation.'