My daughter and her friends work in FIFO and although they let of steam and travel more than most, they are very aware that this is not long term (they hate it apart from anything else) so they are all pretty sensible with savings and paying down mortgages etc. A certain proportion of people will always be silly with money. Aggregate statistics on Australian saving and spending show a nation of sensible savers, that is just the facts of the matter. I can get you graphs from the ABS if you wish.
As part of my job, I spend some time overseas or up north (commissioning and final inspections). Maybe 20% of my time is on site.
I earn shitloads more on those stints and I get to hear the chatter. Some of the younger ones are up to their ears in debt without even realising it. When you hear a 25 year old boilermaker talking about the boat he bought for 80k on a finance deal,you know he is going to be in deep shit soon.
As for property investment in the UK being a rich mans game, I am not so sure if that is the reason I didn't know any property investors in the UK.
The UK property market has had some pretty bumpy rides over the last 3 decades so ordinary people think of it in the same way as buying shares or other investments. It is not a guaranteed road to riches. Many UK amateurs got burned badly by the Spanish crash.
Property investors in the UK tend to do it as a profession.
I still maintain that there is an awful lot of dumb money in WA property investing. The great thing for serious investors, is that dumb money is the first to get burned when things go wrong.
Matthew, 30 Jan 2016, 09:21 AM Your simplistic view is so flawed it is not worth debating. The current oversupply will be swallowed in 12 months. By the time dumb shits like you realise this prices will already be rising.
As part of my job, I spend some time overseas or up north (commissioning and final inspections). Maybe 20% of my time is on site.
I earn shitloads more on those stints and I get to hear the chatter. Some of the younger ones are up to their ears in debt without even realising it. When you hear a 25 year old boilermaker talking about the boat he bought for 80k on a finance deal,you know he is going to be in deep shit soon.
As for property investment in the UK being a rich mans game, I am not so sure if that is the reason I didn't know any property investors in the UK.
The UK property market has had some pretty bumpy rides over the last 3 decades so ordinary people think of it in the same way as buying shares or other investments. It is not a guaranteed road to riches. Many UK amateurs got burned badly by the Spanish crash.
Property investors in the UK tend to do it as a profession.
I still maintain that there is an awful lot of dumb money in WA property investing. The great thing for serious investors, is that dumb money is the first to get burned when things go wrong.
When did you leave the UK? I know lots of property investors. It is a 2000 onwards phenomenon, took off after the dot com crash.
Whenever you have an argument with someone, there comes a moment where you must ask yourself, whatever your political persuasion, 'am I the Nazi?'
When did you leave the UK? I know lots of property investors. It is a 2000 onwards phenomenon, took off after the dot com crash.
I left in 2007. I know that property has become more popular as an investment in the last ten years or so, but nothing like as mainstream as it is here.
My sister in law bought a flat in central Edinburgh in 2008 to save commuting and rented it out when she changed jobs. She has done quite well but I would class her as an accidental investor.
Spain and Portugal timeshare buying was a big thing for a while amongst the working classes. That was spruiked as a win win investment strategy and we all know how that ended up.
I liken some of the dumb WA money to the 90's UK timeshare buyers.
Matthew, 30 Jan 2016, 09:21 AM Your simplistic view is so flawed it is not worth debating. The current oversupply will be swallowed in 12 months. By the time dumb shits like you realise this prices will already be rising.
I know lots of property investors. It is a 2000 onwards phenomenon, took off after the dot com crash.
Most of the property investors I know, including those who mentored me in the beginning, have all been investing for decades. They have seen booms and busts before, and operated in higher inflation environments than now. This is why I tend to listen to their ideas and advice for long term strategies.
Most of the property investors I know, including those who mentored me in the beginning, have all been investing for decades. They have seen booms and busts before, and operated in higher inflation environments than now. This is why I tend to listen to their ideas and advice for long term strategies.
But that is the problem with the WA market. It has a high number of amateur property investors who were mentored at BBQ's.
Down my way, I saw boats and 4WD's parked up on every other lawn with for sale signs on them when interest rates ticked up a few points.
Now migration has slowed a bit, I am seeing rental vacancies increase weekly and I am watching empty properties reduce their asking rents by $10 every other week. This is happening when unemployment and wages are relatively steady. What happens when the mining investment downturn really starts to bite in the coming months and years?
Matthew, 30 Jan 2016, 09:21 AM Your simplistic view is so flawed it is not worth debating. The current oversupply will be swallowed in 12 months. By the time dumb shits like you realise this prices will already be rising.
Most of the property investors I know, including those who mentored me in the beginning, have all been investing for decades. They have seen booms and busts before, and operated in higher inflation environments than now. This is why I tend to listen to their ideas and advice for long term strategies.
Ditto What do you think my situation is about? I've had parents who began in property over 40+ yrs, Ive got 3 boomer brothers to get assistance, in what they do & a husband who is also property mad.
However, what's been fascinating is the fact that people who have sucessful biznesses treat PI as a bizness, when you treat investing impartially & objectively it's a combo to really reckon with.
I'm aware of 1st & 2nd generation of wealthy people I do find two things evident..especially when it involves old money... If those who inherit don't top it up & know the logistics, they tend to be more selfish & lazy in their outlook as opposed to those who get a satisfaction of actively investing. Someone of these vampires will be eager to inherit when the oldies kark it & believe me some are quite horrid snobs. The reality is if it wasn't for their gran parents making the initial $ they wouldn't having their toys that they take for granted.
You once stated that " no property is ever equal".
That is absolutely true, there's no set rigid rules in PI, peoples situations also differ in what works for them.
That's why a lot of people do the mistake of assuming & judging what they "think" is correct.
My hubs & I do make a particular point of not telling associates & friends what assets we have, it's a big no no friends & $ do not mix well.
Another thing with Perth?
Not everyone is dependant on the FIFO life. There's soe morons on this forum who think its the end ATM people like me will just ride the rents & decrease if required, I believe in maintaining the IPs which my man does a superb job & we have honestly saved do much in repairs & maintenance if we just let the agent get whoever to charge exorbitant fees to do handy work & general repairs.Also, open your eyes in what you consider as potentials in property.
My father understood in looking for the most crappy house in prime location it does work, the hard part is getting that opportunity to do so.
Newjerk? can you try harder than dig up another person's blog. My first promo was with Billabong and my name in English is modified with a T, am Perth born but also lived in Sydney to make my $$ It's Absolutely Fabulous if it includes brilliant locations, & high calibre tenants..what more does one want? Understand the power of the two "P"" or be financially challenged Even better when there is family who are property mad and one is born in some entitlements.....Understand that beautiful women are the exhibitionists we crave attention, whilst hot blooded men are the voyeurs ... A stunning woman can command and takes pleasure in being noticed. Seems not too many understand what it means to hold and own props and get threatened by those who do. Banks are considered to be law abiding and & rather boring places yeah not true . A bank balance sheet will show capital is dwarfed by their liabilities this means when a portions of loans is falling its problems for the bank.
But that is the problem with the WA market. It has a high number of amateur property investors who were mentored at BBQ's.
Down my way, I saw boats and 4WD's parked up on every other lawn with for sale signs on them when interest rates ticked up a few points.
Now migration has slowed a bit, I am seeing rental vacancies increase weekly and I am watching empty properties reduce their asking rents by $10 every other week. This is happening when unemployment and wages are relatively steady. What happens when the mining investment downturn really starts to bite in the coming months and years?
It'll be a good time to buy a cheap boat though.
Whenever you have an argument with someone, there comes a moment where you must ask yourself, whatever your political persuasion, 'am I the Nazi?'
Cheap boat???? i would not have one if it was free. Peter Someone offered me a boat for $1m that has a replacement value of $6m, i thought about it. A master mariner who i know flew in from the U.K., he said don't touch it. I asked Foxbat, he just said, "If i knew you where such a fool i would never have spoken to you" Anyway Foxbat said the lower the quality of troops the greater the victory. He still talks to me.
But that is the problem with the WA market. It has a high number of amateur property investors who were mentored at BBQ's.
Down my way, I saw boats and 4WD's parked up on every other lawn with for sale signs on them when interest rates ticked up a few points.
Now migration has slowed a bit, I am seeing rental vacancies increase weekly and I am watching empty properties reduce their asking rents by $10 every other week. This is happening when unemployment and wages are relatively steady. What happens when the mining investment downturn really starts to bite in the coming months and years?
That's no different from any other market. 98% of Australian property investors own only 1 or 2 properties. 70% own only 1.
The cycle happens not only because of economic factors, but also because of silly investor behaviour.
This is when bargains are to be found.
EDIT: I had an example but removed it, because it will likely start arguments.
All I can say is - I didn't rack up a 50k uni debt to become a miner or a real estate agent lol or be locked into a rip off house for 25 years unable to move
You guys can keep Perth all to yourselves I'm moving to the US in November yay.
Gonna renounce my citizenship as soon as I'm there and use that money to buy a house immediately instead of waiting till I'm 30 lol.
God Perth. ... what a small rip off of a city. Glad I'm gonna get out before being locked into slavery.
But won't you miss your family and friends! You can't come back if you do that...
Nope. 99% of them are racist Bogans. Cry me a river lol. Have fun squabbling over you derelict dilapidated investment properties that you force everyone to live in while you barely scrape by servicing loans with negative equity all to say you own 3 properties lol. Sick of hearing that talk around the BBQ making money you can't access earning just more than the cash rate. No wonder Perths turned to shit 20 years of a mining boom and what manufacturing industries did you establish with the cash? Oh that's right. Nothing. Nothing but throwing all that money straight back into housing. Niceeeeee
Check yourselves before last quarters sales volumes wreck yourselves
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