Shhh about this house prices falling stuff.
The photographer and person drawing the plans for house I’ve got for sale only left literally 15 minutes ago.
Should there be any slump on the way, could it please be kind enough to wait until I’ve got the place sold.
It wasn't long ago, that everyone was crying for those who couldn't get into the market, Now I bet those poor sods who couldn't get into a house are saying thank god.
https://thewest.com.au/business/housing-market/perth-houses-most-affordable-on-record-ng-b88901143z
Now we will hear all the same bleeding hearts, crying about all those people who are in financial trouble, for getting into the market.
Is there any wonder you get cynical about people's sympathy, how about letting people make their own decisions, and allowing them to be responsible for the outcomes.
No but they're in boxes and combined that's 4 pallets worth.....Smurph, do the Christmas lights go with the house?
Yea, while I do have sympathies for first home buyers rushing in for fear of missing out... you're young, wanting to own something, start a family... Mr Market wasn't very nice.
Mr Market is always pushing, that is one of life's first lessons, don't panic buy.
Everyone gets a seat in the school of hard knocks, for some they learn and graduate, for others they get to repeat.
oh btw, thanks for that advise... keep hammering and something will give. Wise words.
I have never seen this amount of people dumping DHA houses, funny how everyone wanted to bail into houses, now everyone wants to bail out.
Check out the mid term lease sales, on their website, it is a mile long.
It wasn't that long ago, everyone was up in arms, because the young couldn't get into the market.
Well now the young that got in, will be up in arms, because they didn't wait.
Jeez, I think that was said a long time ago.
But I'm pleased it helped.
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A new report from Reuters.
When Wall St screw main street on the way up and on the way down.
I'm definitely sure we're going to see this happening to Australians en mass coming few years.
They've engineered a property boom... made crap load of money on the way up.
Now it's time to engineer a proper crash, push millions of Australian families out of their over-leveraged property. Then load them up on the cheap, rent them back out again.
We're going to see a massive increase in homelessness and a generation of mainly landless peasants.
https://www.reuters.com/investigates/special-report/usa-housing-invitation/
I like how you always expose the financial system as a cold, callous devourer of the hard working average person's money.I'm definitely sure we're going to see this happening to Australians en mass coming few years.
They've engineered a property boom... made crap load of money on the way up.
Now it's time to engineer a proper crash, push millions of Australian families out of their over-leveraged property. Then load them up on the cheap, rent them back out again.
We're going to see a massive increase in homelessness and a generation of mainly landless peasants.
See, now your humanitarian side, is swinging from wanting to help people to get into houses, to wanting to help people get out of houses.
Basically all you want to do is help, whether it does or doesn't, isn't important as long as you feel you are trying.
You're just one of life's nice guys.
I like how you always expose the financial system as a cold, callous devourer of the hard working average person's money.
Interest rates are all that matters when it comes to property and they matter a lot!
The thing is, if people took an interest only loan, they either couldn't afford it, or they were just gambling on a capital gain.Yea, and principal.
Read somewhere that about 1/3rd [?] of OZ loans are due to roll into interest and principal repayment by 2019 to 2020?
When the big banks pass on the full cost of their borrowings, and won't allow interest only repayment... wooo. Not going to be pretty.
And being able to borrow the money in the first place.Interest rates are all that matters when it comes to property and they matter a lot!
The thing is, if people took an interest only loan, they either couldn't afford it, or they were just gambling on a capital gain.
Or rather than paying principle and earning an after tax return of approx 4% (today's rates) they took the principle part of the payment and invested it elsewhere for a higher expected return.
Also most loans these days are set on a 30 yr term, of course extra repayments can pay it off sooner.
If the customer wants an interest only loan, generally most lenders will offer upto 5 yrs interesy only and then the loan reverts to P&I for the remaining 25 yr term. Some lenders offer 10 yr terms and one or two offer up to 15 yr, well they use to.
When the lender initially calculates the borrowers capacity to repay at the start of the loan term they do it on the remaining P&I term.
So a lender will lend less to a borrower wishing to take an interest only loan compared to a 30 yr p&i term.
As such it should cause much less issues than most believe.
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