Australian sub prime mortgage market.

Were These Guys on your list Mr Bailey?

 

Call me old fashioned and conservative but is it only me that thinks that the gains in the property market in Australia over recent times have been driven by greed and profit as appose to real tangible required price increases.

Yes I know something is worth what someone else is prepared to pay for that item at exactly the time you sell it but I cant help feeling that there is a big game of musical chairs going on in Australia and the music is about to run out leaving many new to property without a seat or roof over there head (as it where).

Anyone remember 17.5% Interest rates for owner occupied real estate and 21.5% for investors. It seems talk of a .25% increase on 7-8% rates is something big?? Election coming up? Booming economy (apparently). With a mortgage of $3-400,000 for a first homebuyer not uncommon and ability to repay based on two incomes (it used to be only one income in the late 80's before the recession we had to have! did we have to?) I agree, first mortgage lenders are going to crash or should I say there clients, as they will be covered by insurance, guarantee’s etc........do I here the word foreclosure with negative equity in the media soon, not to mention the flow on domino to higher risk lending etc

P.S my car drove real sweat today. Had the roof on, thought she was a GTB for the day : )

 

i was saying almost exactly that just the other day, good to know there's someone as clueless as i am!

 

and people say rent money is dead money...

 

maq bank took a bath again today while rio pushed up . all over the shop .

 

who's it with ?

 

Thank.... goodness I am not alone! Was beginning to think just me. Where do they (who ever they are!) think it will stop, one million dollars for a first home? I am in Western Australia, you know the place with a land shortage......last time I checked that’s all we have got, land, land oh and look at the space between the land release....... more......vacant.......land! Don’t you love how the media have invented the home affordability CRISIS just before an election? Me thinks they will jump real soon to the next CRISIS, Housing price crash CRISIS. Hope my comments don’t offend as only my humble opinion.

I am paying rent but own my 328....and strangely I feel ok with that. As long as I don’t watch the news. Tone

 

I am from the Warren Buffet school of share investing- buy quality and hold longer term. Same advice the late AHG gave me.
Recent falls are a buying opportunity.

I used to trade a bit, results were not as good.

 

Me.

 

median house price for brisbane is about 330k i think from memory . they say it will be 3.4M in 20 years time . makes me happy with my casa , you know , the one pp bagged and goober ( wherever he is , been a while since he told me i was wrong all the time and his way was the best and only way to live , wonder how much of that is true at the moment ??? ) said i was crazy to own outright , better owing cars outright and give the bank security over your house . right mate , right !!!!

 

Yes, if the fund is over circa $250k it is worthwhile. Under the running costs are more than the gains of self managed fund.

 

i just changed super funds , wish i had known .

 

didn't you say maq was gonna fly?? what happened?

 

i bagged your house????? wtf are you talking about?

 

$120 in 12 months , not 12 days .

 

short memory peter

 

i can make that in 12 hours i'm so high paid

 

i don't think he bagged it, i think he said your mummy was kind for giving you a house or something