Offset mortgages? We have more than enough to pay off our mortgage, but it is convenient to keep should we want to upgrade. Keeps our credit rating up.
I have had a similar type in the UK called a drawdown. You put all of your savings into the mortgage but they can be drawn back down when (if) required.
I don't think Skamys chart on financial assets v debts suggests that everybody has an offset mortgage and could pay their debts off whenever they wanted to though. Financial assets also includes money tied up in superfunds which makes up a big chunk.
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.
Maybe the Foxbat guru & musta lusta could make a nice 3 tiered space cake, both could chow it down & think such wonderful things when you both meet up in the sauna next, instead of sucking up to me.
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.
Ok I made assumptions too, but mine were not arrogant as I was not assuming others were fools.
We all know that there are fools and tyros who make mistakes, but to assume that all our investors are idiots is very far from the truth. I also think there is a bit of elitism there that "working class and middle class people are just not bred to be investors" type of attitude, which I dislike.
There are three trends driving more egalitarion property investment levels in Australia, the first is a trend in cities like Sydney for young people to start home ownership with an investment property. They can afford a home they would otherwise struggle with due to having a rental income to help with the mortgage and a tax deduction with REDUCES (not removes) losses.
The second is a trend for older people who have paid down their mortgage to invest in a property so that it can provide them with an inflation linked income on retirement.
The third is using super in SMF for investment property , this one is not IMHO sustainable and could endanger the stability of the market if it grows out of hand.
To put it into context houshold savings in Australia was at around 10% in 2012(the most recent comparisons I could find), the UK, Canada and the US are at about 5% and before the crash in Ireland its savings rate had dipped to zero after several years well below 5%.
WA is exceptional good at saving,with an average savings level of $19,442 compared to the national level of $15,427 ( figures from 2013)
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.
May have let slip that the suspect 3.8% figure on their homepage is fabricated. REIs massaging the figures to suit their agenda.
Do they include empty rentals that are now up for sale as vacant?
There are quite a few of them around at the moment.
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.
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