Australian Property Bubble: 8.Tampering with the Ecosystem

Thanks for taking the time to view this larger than usual rant!

Category:

Nonprofits & Activism

Tags:

• recession
• retail
• economy
• white collar recession
• banks RBA interest rate
• interest rates
• property
• real estate
• mortgage
• property market
• real-estate
• home loan
• first home buyer
• first home
• Mortgage Loan
• renting
• melbourne
• sydney
• banks
• Interest Rate

[AussiePropertyBubble]

This is an interesting article that supports the idea of a stagnant upgrading ladder

google LennoxHerald -Property ladder 'has bottleneck'

"people being unable to move up the ladder could have a "knock-on effect across the whole of the housing market".

"It is vital that this group of home movers receive more support and attention as they play an intrinsic role in getting the housing market moving again."

[AussiePropertyBubble]

"To achieve a sustainable housing market in Scotland we need to see movement throughout the market. If second steppers get stuck on the first rung, movement at the bottom half of the ladder comes to a standstill & this bottleneck will not only restrict the supply of starter properties but will have a knock-on effect across the whole of the housing market."

The main problems buying a second home were a lack of offers from first-time buyers (40%) & a shortage of affordable homes (31%).

[AussiePropertyBubble]

Hmm Yes i think the whole idea of globalisation & 'interconnected' global trade is much more volatile than having a good ol fashioned 'local' economy, but times have changed & we have to live with this volatility (no excuse 4 policies that favour the former). RE china, take the more than 80% of 'made in china' stuff in your house, multiply by the western world & divide by recession. There's now way chinas demand can 'make up' 4 this, particularly given the global expansion of credit since 2000!

[TheJuroz]

A great cartoon! type in:

The American Dream Film-Full Length

[blahdeblah07]

Well made mate...

[Tomta20012]

Dude You are forgetting the elephant in the room China!

Some where in the future china has civil unrest over inflation, It fights inflation then BOOM the western product subsidy is gone, we have to make our own fucking trinkets!

That would be really bad news, big inflation???

What do u reckon?

[DragonFeast90]

grow and sell drugs.. easy

[AussiePropertyBubble]

@murdamcloud Hey, phew.. man i was getting a bit hot under the collar then! Ok, i see what the rumours about.. It wouldn't surprise me thought, for the govt to incetivise investing further.. this would punishing renters further for not buying into the market and force more buying.. im of the opinion they will have to do something, id be very suprised if they 'hands off' let it fall. its still given me some thought for next vid.. cheers!

[murdamcloud]

@AussiePropertyBubble Sorry mate, I just read your post and maybe I didn't express myself properly-the rumour from my friend was that the breaks from negative gearing laws will be reduced/removed in order for the gov to claw back tax and so forcing investors to sell up. Does that sound right? Is that how you understood what I said? Cheers

[AussiePropertyBubble]

@AussiePropertyBubble It wont result in significant capital gain but rather rely purely on the harder earnt rental yield.. (Speculators have much prefer to sit with empty units). Im of the opinion a cash grab for the less experienced would always work better than a percentage write down for the veterans..

Thanks so much for the post, it is has become inspiration for a new video.