If you don't own a home by your 40s, you never will. And you'll end up poorer than those who do.; Silly bears who think they can rent their way to wealth are only fooling themselves...
Tweet Topic Started: 10 Oct 2016, 07:29 AM (8,620 Views)
You're obsessed with proving to us that you've 'won' against 'the bears', and yet the irony is if you had 'won', you wouldn't be here. You'd be off enjoying your riches, rather than spending a good deal of your time authoring thousands of posts (mainly under your previous sock 'Shadow') on message boards with only modest traffic (and therefore influence).
Meanwhile I rent a great house in a great part of the city, have a super fund increasing faster than most (as i can divert the extra $ i'd othetwise be paying into a mortgage), and have parents 'winning' like you - with a multi-million dollar portfolio of properties around Sydney and large N.S.W cities. All of which I'll inherit one day.
All bubbles like this eventually pop. You shouldn't spend all your time stressing about when it will happen, and posting on anonymous forums in a desperate effort to convince yourself that it won't happen.
Just get out, enjoy your life, and accept the inevitable when it transpires.
Can you sell that pitch to your wife?
Take risks - if you win you will become wealthy, if you lose you will become wise
Off where, and why? Are you saying 'winners' never use the Internet because they always have more enjoyable things to do?
They don't post with the frequency or ferocity that you do.
Quote:
What extra dollars? If you'd bought a house ten years ago it would be nearly paid off by now and you'd have far more free money to divert into your super fund.
Oh, you're back to cherry picking arbitrary dates to define when 'the competition' started. Typical nonsense from financial illiterates.
Quote:
And in another ten years from now you'll still be fooling yourself into believing it's costing you less to rent.
No doubt you'll still be here like an anonymous loser, bleating about how fantastic you are.
Quote:
So what? I'll inherit too, but (hopefully) not until I'm in my 60s or 70s.
Your desperation to prove to us all what a winner you are (despite being anonymous) is one of the reasons why I keep coming back to this board.
Quote:
Whereas the person who bought 20 years previously is enjoying virtually free accommodation and thus a dramatically higher cashflow to invest elsewhere.
There's very clear, easily understandable macroeconomic reasons why this has occurred over the last 40 years, and none of them are based around your maxim that "house prices always go up"
But just to humor you - are you recommending to young people that they should be extrapolating the past into the future ad-infinitum? what a fantastic investment strategy to build wealth!
Quote:
Prove there's a bubble.
Your hysteria and desperation is enough proof for me.
Rufus
10 Oct 2016, 01:01 PM
Can you sell that pitch to your wife?
Fortunately I didn't have to sell it to her - a weekend in Brisbane observing the potential gene-pool for her offspring was enough to put her off the idea of moving away from Sydney.
"It were not best that we should all think alike; it is difference of opinion that makes horse races." - Mark Twain on why he avoids discussing house prices over at MacroBusiness. "Buy land, they're not making any more of it." - Georgist Land Tax proponent Mark Twain laughing in his grave at humourless idiots like skamy that continually use this quip to justify housing bubbles.
They don't post with the frequency or ferocity that you do.
You can prove this?
Quote:
you're back to cherry picking arbitrary dates to define when 'the competition' started
Didn't mention a competition. Not sure what you're on about.
Quote:
No doubt you'll still be here like an anonymous loser, bleating about how fantastic you are
I have never described myself as fantastic. My comments are generally about the housing market itself, not about my personal situation.
Quote:
Your desperation to prove to us all what a winner you are
As above, my comments are generally about the housing market itself, not about my personal situation.
Quote:
your maxim that "house prices always go up"
I have no such maxim. House prices fall every few years.
Quote:
are you recommending to young people that they should be extrapolating the past into the future ad-infinitum?
No, I'm saying it's cheaper to buy a home than it is to rent one for a lifetime. Nothing unusual there - it's cheaper to buy pretty much anything, than it is to rent that thing forever. Renting something only makes financial sense if you need it for a short time (e.g. a hotel room, a taxi, a floor sander, a tuxedo etc.).
"The truth is that there are no good men, or bad men. It is the deeds that have goodness or badness in them. There are good deeds, and bad deeds. Men are just men."
Fortunately I didn't have to sell it to her - a weekend in Brisbane observing the potential gene-pool for her offspring was enough to put her off the idea of moving away from Sydney.
Makes sense I suppose - To afford your offspring the opportunity to choose from the nation's biggest selection of working girls and gigolos, you need to ensure they remain in the nation's biggest brothel.
A Professional Demographer to an amateur demographer:"negative natural increase will never outweigh the positive net migration"
Fortunately I didn't have to sell it to her - a weekend in Brisbane observing the potential gene-pool for her offspring was enough to put her off the idea of moving away from Sydney.
I didn't mention a move to Brisbane or the local gene pool, however I don't think comparisons to others are as flattering to you as you would think John.
Take risks - if you win you will become wealthy, if you lose you will become wise
As discussed last week, although the bears refuse to admit it.
The truth is it costs far more to rent for a lifetime than it does to buy a home.
And homeowners end up vastly more wealthy than renters.
People like Crazy Ted and Steve Keen seriously damaged their financial futures by selling perfectly good Sydney homes just before the recent boom.
Life-long renters face financial stress in retirement, new report says
Oct 10, 2016
If you do not own a home by the time you are in your late 40s, you will probably never own one — and you will probably be significantly poorer than those who do.
That is according to a paper released on Monday by Swinburne University, which found more Australians are renting in retirement and facing financial stress.
“Housing is a probably the key way of generating wealth, but people who are unable to purchase or fall out of home ownership will find that they don’t have as much wealth in retirement,” research author Andrea Sharam said.
The paper showed if you had not purchased property by mid life (45-49 years old), there was a strong likelihood you would not purchase thereafter.
Financial experts have previously advised “generation rent” — the growing cohort of young people priced out of the property market — would find it difficult to retire as wealthy as a property owner, largely because Australia’s retirement income system is predicated on owning a home outright in retirement.
The study also showed that in the older age brackets, 65 to 69 year olds, the wealthiest segments were those who owned both their own home and other properties.
But none of that has anything to do with the thread title : "If you don't own a home by your 40s, you never will. And you'll end up poorer than those who do.; Silly bears who think they can rent their way to wealth are only fooling themselves..."
Lots of people decide to spend money developing their skills, seeking employment opportunities overseas, interstate etc.
Having a mortgage doesn't allow them to utilise risk as a self promotion strategy, trying new careers or making risky decisions
Many who rent and undertake this path, by the age of 40+ are making huge amounts of money and can buy their houses from pretty cash.
It helps them that large numbers of their peers are trapped at an early age into mortgage fear, and try to stick to one job for life lol.
Your methodology makes for very boring suburbanites.
"The truth is that there are no good men, or bad men. It is the deeds that have goodness or badness in them. There are good deeds, and bad deeds. Men are just men."
This was aimed squarely at the suburbanites' emotions anyway and fails some basic reasoning tests.
1. If wealth building is based entirely around buying houses, then the idea would be to have ownership in as few hands as possible. Alternatively, if all suburbanites owned their homes, that does not mean that wealth is generated.
2. Assumptions based on "that's the way it is" are as useful as sails made from toilet paper.
"The truth is that there are no good men, or bad men. It is the deeds that have goodness or badness in them. There are good deeds, and bad deeds. Men are just men."
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.
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