House prices to stagnate for 'years'

[Kimosabi]

hello,

here we go, awesome weekend ahead most likely

another 3% off the ASX, 10% rise for Melb real estate holders in 3mths, get another 10% in the next quarter I would suggest

people renting have had it good for too long, things are changing as property investors pass on the costs now, good stuff

thankyou

robots

ps. how's the house hunting going smurf

I'm not sure how housing prices are going to keep rising when the Banks Stop Lending Money and all the Aussie Mortgage company's start going belly up...

 

[robots]

hello,

even with all the talk about credit crunch around the globe, money will get easier to get here in Aus,

only is Aus just starting to see the arm loans, ie, commbank 3 yr economiser special

you have cash converters, pay day loans etc, as with whats happening now it will be the fundies who take on these sophistacated (ha ha) CDO packages and the most indirect person who will wear the burden of poor decisions

didnt warren buffffet make an error on US dollar punts?

thankyou

robots

 

[numbercruncher]

Now I'll bet in the years 1996-2002 you were one of the many who watched the property market treble and did F/A.---actually sweet F/A.

That would be a negative to that swiper ......



And i bet your one of the many who waited till 2006 to buy ??

Wonder how many folks are seeing Realestate as a one way street after paying 400k + 20k duty + 30k Interest in the last year , oh and dont forget to throw in the 15k realty fees when they decide to dump and run or maybe they just post the keys back to the bank or something now a days?

Please folks all go get 105pc mortgages, many are enjoying betting against this little bricks n' mortar fiasco.

Peace.

 

[robots]

hello,

not everything is bought on finance,

look at the tv show Tech eluded to, two people were left an inheritance in Bondi that sold for 3.6mil

so grant the purchaser may have used finance, but the two recipients would most likely go and buy a property outright with that sort of dough,

there's a lot of pre-inheritance being handed out to buyers,

3% return?, strange how people always forget the capital growth component

thankyou

robots

 

[Kimosabi]

strange how people always forget the capital growth component

Good Try Robots...

Unfortunately for you, some of us are now pretty wise to your spuiker Real Estate Salesman crap!?!?!

Capital Growth is a Furfy...

Capital Growth is primarily caused by the Reserve Banks of the World printing more Money out of "Thin Air", which devalues the existing money and eventually the extra money that has been created flows into higher Prices or Capital Growth.

If we had a Sound Monetary System, Real Estate prices along with everything else would slowly decline, but, and this is the kicker, we would have a rising Standard of Living...

 

[wayneL]

strange how people always forget the capital growth component

Or the possibility of a capital loss.

 

[theasxgorilla]

Please folks all go get 105pc mortgages, many are enjoying betting against this little bricks n' mortar fiasco.

I'm curious, how are they doing that exactly???

 

[theasxgorilla]

didnt warren buffffet make an error on US dollar punts?

I don't know if he did or didn't, but what I've read suggests he got it wrong.

He should probably have considered this quote from Donald Trump:

"Experience taught me a few things. One is to listen to your gut, no matter how good something sounds on paper. The second is that you're generally better off sticking with what you know. And the third is that sometimes your best investments are the ones you don't make."

People who know real estate shouldn't have anything to fear.

 

[wayneL]

I'm curious, how are they doing that exactly???

Short builders and financials.

 

[wayneL]

Short builders and financials.

http://www.bloomberg.com/apps/news?pid=20601087&sid=as0tW6Fr8gTM&refer=home

 

[robots]

hello,

that may well occur wayneL, a capital loss

but at the moment it is the complete opposite with appreciation happening

dont know why people are so jaded by property?

everybody gives each other high fives if they have traded a stock to profit, yet if people make money on property they are the devil, lucky, dont have clue and the rest, astonishing

kimosabi, how is you're girlfriends credit card debt going, all paid off?

goodluck

thankyou

robots

 

[Kathmandu]

Capital Growth is a Furfy

Gotta get me some more of that Furfy, where can I get me some.

That's 30 years of capital gain, not capital loss.

Dave

 

[Kimosabi]

Gotta get me some more of that Furfy, where can I get me some.

That's 30 years of capital gain, not capital loss.

Dave

And how much money has been printed out of "Thin Air" in the last 30 years.

Let get into a discussion about VALUE, what is the VALUE of todays Dollar compared to a Dollar 30 Years ago...

Just because the price of something has gone up, doesn't mean it has increased in VALUE.

The people who duped us with this Ponzi scheme we call Modern Money, must giggle on the couch everytime they see a newspaper article like the one above, at how happy everyone is that the price of their property's have gone up, not realising that the money they had 30 years ago has been massively diluted by the printing of more money out of "Thin Air"...

 

[numbercruncher]

Thats a way cool return now isnt it!!


Wonder if itll do the same over the next 30 years and multiply 1154x that puchase price too! 6.92 Billion dollar Byron home anyone ?

Wonder if well be using 100k bills and thousand dollar coins in those days ?


Will we look back and sigh how cheap it was back in 2007 ?

Something to ponder .....

 

[Kimosabi]

The MOGAMBO GURU describes modern money the best.

What is a dollar worth these days?

 

[Kathmandu]

Let get into a discussion about VALUE, what is the VALUE of todays Dollar compared to a Dollar 30 Years ago...

Just because the price of something has gone up, doesn't mean it has increased in VALUE.

I think their $6,000,000 today will buy lots more than their $5200 would have 30 years ago.

Dave

 

[Flying Fish]

I think their $6,000,000 today will buy lots more than their $5200 would have 30 years ago.

Dave

A lot more wacky weed at least.

 

[theasxgorilla]

Thats all good and well...and MOGAMBO GURU the nutter can cleverly point out what used to be vrs what is now...but the question is, short of starting some central-bank-overturning-revolution, what are you going to do about it NOW?

There are plenty of people who used property to achieve upward social mobility since 1913.

 

[Flying Fish]

Thats all good and well...and MOGAMBO GURU the nutter can cleverly point out what used to be vrs what is now...but the question is, short of starting some central-bank-overturning-revolution, what are you going to do about it NOW?

There are plenty of people who used property to achieve upward social mobility since 1913.

Put a new captain at the helm of the titanic lol

 

[wayneL]

There are plenty of people who used property to achieve upward social mobility since 1913.

The point of the bears (most of us anyway) is not that property is a bad investment, it's that there are good times to buy and bad times to buy. Of course property can be a sterling investment.

But people who buy at the wrong time, can, and do, lose shedloads of money. The argument is that this is not a good time to buy under many circumstances. Folks in the US are learning this lesson right now. Recent buyers in regional UK and Eire are also discovering that, with further pain ahead.

Oz has had a few problems here and there as well.

The key is availability of credit. With the mortgage apocalypse in full swing, borrowing capacity everywhere will be affected, with all the knock on effects that entails.

As I've said many times, bears are only bears so they can eventually be bulls.