Welcome Guest [Log In] [Register]


Reply
  • Pages:
  • 1
It's Financial Suicide to Own a House; US Perspective
Topic Started: 10 Oct 2015, 06:17 PM (1,965 Views)
Financial Help Line
Unregistered

https://medium.com/life-learning/financial-fridays-it-s-financial-suicide-to-own-a-house-ba03ef98c8e8

Quote:
 
If companies aren’t growing, I can tell you that housing prices will go lower. Because housing prices depend on the stability of employment.
By definition then, companies will always grow faster than housing, in aggregate.

"REPLY WITH QUOTE" Go to top
 
Jason
Member Avatar


:lol Good one!
Profile "REPLY WITH QUOTE" Go to top
 
DragonGM
Member Avatar


The authors suppositions are wrong and so her conclusions are wrong. She builds her business model on a $500K house needing $200K deposit. Most people don't start out that way.
Profile "REPLY WITH QUOTE" Go to top
 
createdby
Default APF Avatar


America is a house of cards which gutted its manufacturing and downsized, underpaid, and overworked its service sector.

Then they decided speculating on houses and ringing the credit card will make up for those shortfall.

When that failed, they thought using high % junk bonds to frack gas will be the next big thing. It worked until Saudis said no.

All that's going for them now is their petrodollar and the military to back it and Facebook/Google/Twitter companies.

Their other problems are structural and can't be cured by Yellen.
Edited by createdby, 12 Oct 2015, 08:06 AM.
Profile "REPLY WITH QUOTE" Go to top
 
Ex BP Golly
Member Avatar


createdby
12 Oct 2015, 08:06 AM
America is a house of cards which gutted its manufacturing and downsized, underpaid, and overworked its service sector.

Then they decided speculating on houses and ringing the credit card will make up for those shortfall.

When that failed, they thought using high % junk bonds to frack gas will be the next big thing. It worked until Saudis said no.

All that's going for them now is their petrodollar and the military to back it and Facebook/Google/Twitter companies.

Their other problems are structural and can't be cured by Yellen.
Pinintrest is the next Apple dude.
Buy shares now or miss out forever.

You have been warned.
That or an Australian house.

Buy now or miss out foreva dude.
Edited by Ex BP Golly, 12 Oct 2015, 08:15 AM.
WHAT WOULD EDDIE DO? MAAAATE!
Share a cot with Milton?
Profile "REPLY WITH QUOTE" Go to top
 
DragonGM
Member Avatar


createdby
12 Oct 2015, 08:06 AM
America is a house of cards which gutted its manufacturing and downsized, underpaid, and overworked its service sector.

Then they decided speculating on houses and ringing the credit card will make up for those shortfall.

When that failed, they thought using high % junk bonds to frack gas will be the next big thing. It worked until Saudis said no.

All that's going for them now is their petrodollar and the military to back it and Facebook/Google/Twitter companies.

Their other problems are structural and can't be cured by Yellen.
If that is your assessment of America, I would love to hear your unfiltered assessment of Australia.

The fact is that we have to live in some economy in the world, so where do you choose?
Profile "REPLY WITH QUOTE" Go to top
 
createdby
Default APF Avatar


DragonGM
12 Oct 2015, 11:34 AM
If that is your assessment of America, I would love to hear your unfiltered assessment of Australia.

The fact is that we have to live in some economy in the world, so where do you choose?
I can live in either country the more I think about it as long as I can keep a job. Or any first world country. But US has 90 million unemployed. So Australia it is.
Profile "REPLY WITH QUOTE" Go to top
 
Mike
Default APF Avatar


createdby
12 Oct 2015, 08:06 AM
America is a house of cards which gutted its manufacturing and downsized, underpaid, and overworked its service sector.

Then they decided speculating on houses and ringing the credit card will make up for those shortfall.

When that failed, they thought using high % junk bonds to frack gas will be the next big thing. It worked until Saudis said no.

All that's going for them now is their petrodollar and the military to back it and Facebook/Google/Twitter companies.

Their other problems are structural and can't be cured by Yellen.
Actually US manufacturing has been growing over most of the last 5 years, hundreds of thousands of jobs have been created as new factories open in the US and close in China. The abundance of cheap energy which is 1/2 to 1/3 the cost of energy in Asia, creates a powerful business model.

The US service sector is booming and wages are increasing at a moderate pace. Wages growth should accelerate as the US now has a skills shortage with job vacancies growing as the domestic US labour force can no longer meet the demands. Simply put the US has to many jobs to fill.

Saudi Arabia is busy selling its foreign reserves to pay for its massive budget deficit caused by low oil prices. US private companies have massively reduced costs and increase productivity of its oil/gas wells over the last 2 years. US oil/gas production has increased while reducing the numbers of wells required, greatly reducing costs. Meanwhile Saudi Arabia is running a deficit of 20% of GDP as its government subsidies oil prices and cannot meet its massive expenditure without oil being over $100 a barrel. To put this into perspective at the height of Obamas massive spending to end the GFC the US spent just over 10% of GDP in deficit spending to help recover from the worlds economic crisis in 80 years. The Saudis are spending twice this amount as a % of GDP just to sustain every day needs, such as very generous welfare payments.

The problem the Saudis have is when the Oil price goes up a few dollars, the US opens a few more wells, there by increasing global supply and keeping prices low. The US is now the energy Super Power of the world, the US sets the world oil price by controlling spare capacity.

The rest of your comments are just complete rubbish.
createdby
12 Oct 2015, 11:47 AM
I can live in either country the more I think about it as long as I can keep a job. Or any first world country. But US has 90 million unemployed. So Australia it is.
Can you post a link to official data showing 90 million unemployed or is this just an opinion with no basis in reality.

Well seems you can get a job in the US, they desperately need skilled workers to help the economy, read below.

http://www.khl.com/magazines/international-construction/detail/item111232/Skills-shortage-bites-in-the-US

Quote:
 
A survey by the Associated General Contractors of America (AGC) has found that 86% of contractors in the US are having difficulty finding skilled workers.


http://www.northjersey.com/news/business/new-skills-for-a-new-age-1.1425048?page=all

Quote:
 
Struggling to find skilled workers, some of North Jersey’s biggest high-tech manufacturers have joined together to help forge an innovative high school program designed to create future employees for the increasingly computerized industry.


Oh dear, did you not say US manufacturing was dead. Why on earth do they then have a skills shortage.

Move to the US seems they have plenty of Jobs if you have the skills they need.
Edited by Mike, 12 Oct 2015, 12:02 PM.
http://mike-globaleconomy.blogspot.com.au/
Profile "REPLY WITH QUOTE" Go to top
 
DragonGM
Member Avatar


createdby
12 Oct 2015, 11:47 AM
I can live in either country the more I think about it as long as I can keep a job. Or any first world country. But US has 90 million unemployed. So Australia it is.
The US has unemployment of 5.1% and Australia is 6%. (Not that I accept that either is accurate). But my point is that on nearly every measure that we criticise America, on a per capita basis Australia has just as many problems.
Profile "REPLY WITH QUOTE" Go to top
 
Ex BP Golly
Member Avatar


Mike
12 Oct 2015, 11:52 AM
The US service sector is booming and wages are increasing at a moderate pace. Wages growth should accelerate as the US now has a skills shortage with job vacancies growing as the domestic US labour force can no longer meet the demands. Simply put the US has to many jobs to fill.

I'm aware of the massive increases in manufacturing, and the illegal Mexican cross boarder employment bureau has reopened.

But wages growth?

You know wages had been declining since the 1970s?

They must be going great guns to actually record wages growth!
WHAT WOULD EDDIE DO? MAAAATE!
Share a cot with Milton?
Profile "REPLY WITH QUOTE" Go to top
 
1 user reading this topic (1 Guest and 0 Anonymous)
ZetaBoards - Free Forum Hosting
Join the millions that use us for their forum communities. Create your own forum today.
Learn More · Sign-up for Free
Go to Next Page
« Previous Topic · Australian Property Forum · Next Topic »
Reply
  • Pages:
  • 1



Australian Property Forum is an economics and finance forum dedicated to discussion of Australian and global real estate markets and macroeconomics, including house prices, housing affordability, and the likelihood of a property crash. Is there an Australian housing bubble? Will house prices crash, boom or stagnate? Is the Australian property market a pyramid scheme or Ponzi scheme? Can house prices really rise forever? These are the questions we address on Australian Property Forum, the premier real estate site for property bears, bulls, investors, and speculators. Members may also discuss matters related to finance, modern monetary theory (MMT), debt deflation, cryptocurrencies like Bitcoin Ethereum and Ripple, property investing, landlords, tenants, debt consolidation, reverse home equity loans, the housing shortage, negative gearing, capital gains tax, land tax and macro prudential regulation.

Forum Rules: The main forum may be used to discuss property, politics, economics and finance, precious metals, crypto currency, debt management, generational divides, climate change, sustainability, alternative energy, environmental topics, human rights or social justice issues, and other topics on a case by case basis. Topics unsuitable for the main forum may be discussed in the lounge. You agree you won't use this forum to post material that is illegal, private, defamatory, pornographic, excessively abusive or profane, threatening, or invasive of another forum member's privacy. Don't post NSFW content. Racist or ethnic slurs and homophobic comments aren't tolerated. Accusing forum members of serious crimes is not permitted. Accusations, attacks, abuse or threats, litigious or otherwise, directed against the forum or forum administrators aren't tolerated and will result in immediate suspension of your account for a number of days depending on the severity of the attack. No spamming or advertising in the main forum. Spamming includes repeating the same message over and over again within a short period of time. Don't post ALL CAPS thread titles. The Advertising and Promotion Subforum may be used to promote your Australian property related business or service. Active members of the forum who contribute regularly to main forum discussions may also include a link to their product or service in their signature block. Members are limited to one actively posting account each. A secondary account may be used solely for the purpose of maintaining a blog as long as that account no longer posts in threads. Any member who believes another member has violated these rules may report the offending post using the report button.

Australian Property Forum complies with ASIC Regulatory Guide 162 regarding Internet Discussion Sites. Australian Property Forum is not a provider of financial advice. Australian Property Forum does not in any way endorse the views and opinions of its members, nor does it vouch for for the accuracy or authenticity of their posts. It is not permitted for any Australian Property Forum member to post in the role of a licensed financial advisor or to post as the representative of a financial advisor. It is not permitted for Australian Property Forum members to ask for or offer specific buy, sell or hold recommendations on particular stocks, as a response to a request of this nature may be considered the provision of financial advice.

Views expressed on this forum are not representative of the forum owners. The forum owners are not liable or responsible for comments posted. Information posted does not constitute financial or legal advice. The forum owners accept no liability for information posted, nor for consequences of actions taken on the basis of that information. By visiting or using this forum, members and guests agree to be bound by the Zetaboards Terms of Use.

This site may contain copyright material (i.e. attributed snippets from online news reports), the use of which has not always been specifically authorized by the copyright owner. Such content is posted to advance understanding of environmental, political, human rights, economic, democratic, scientific, and social justice issues. This constitutes 'fair use' of such copyright material as provided for in section 107 of US Copyright Law. In accordance with Title 17 U.S.C. Section 107, the material on this site is distributed for research and educational purposes only. If you wish to use this material for purposes that go beyond 'fair use', you must obtain permission from the copyright owner. Such material is credited to the true owner or licensee. We will remove from the forum any such material upon the request of the owners of the copyright of said material, as we claim no credit for such material.

For more information go to Limitations on Exclusive Rights: Fair Use

Privacy Policy: Australian Property Forum uses third party advertising companies to serve ads when you visit our site. These third party advertising companies may collect and use information about your visits to Australian Property Forum as well as other web sites in order to provide advertisements about goods and services of interest to you. If you would like more information about this practice and to know your choices about not having this information used by these companies, click here: Google Advertising Privacy FAQ

Australian Property Forum is hosted by Zetaboards. Please refer also to the Zetaboards Privacy Policy