Havent bought a house yet? has the boat sailed away?

[HULK_I6T]

Ive been monitoring price of houses in the past 18 months and it appears the property market has really exploded off. Prices are ridiculously high at the moment and houses are selling like hot cakes which can only push the prices further up

I just shake my head when i think of the affordabity.. how can people afford to buy? Unless they are already home owners from many years ago selling and buying in the same relative market or using their existing home equity to buy into another..

But for the new entrant to the market, it looks bleak. i just dont see it as anywhere near affordable. To enter the market at current prices is so tough. By the time they save a 10-20% deposit the price will shift from them another $100-200k+. The kids of next generation wont stand a chance.

I think its even tougher for renters. As property prices shift up so will rents.. as prices go up, less people can afford an investment property (lucky if they can buy one to live) so rental properties will become scarce relative to those looking to rent a place. demand for scarce rental properties will increase (as people cant afford to enter the market). Renters will be trapped forever at the mercy of landlords charging whatever they please.

Has the current state of the property prices officially seen the boat sail away from first time market entrants and renters?