Markets don’t stay irrational forever, but maybe we really are different. Even if unemployment does rise, and even if there are forced sales, there is still 1.3 billion Chinese, plus a whole lot of rich Indians, and other buyers from nearby countries falling over themselves to park their money here, and we are just rolling over and letting them.
We also have a huge number of immigrants pouring into the country putting demand on housing, which is the intended consequence to maintain the Ponzi scheme.
For every buyer, there is a seller, but retirees only have to sell off an investment property or two, and still maintain their own home. And to top it all off, the government is standing by, willing to pump whatever is needed to keep the whole thing going (and growing).
What kind of country allows this open threat to it's sovereignty? What kind of country throws it's young to the wolves like this? We will get what we deserve and at least the Chinese couldn't do a worse job than the bunch of greedy, selfish, blind pricks currently ruining this nation. At least this ancient culture understands the importance of soverignty. A pity the world will never see the full expression of Australian culture. A young culture that was easy prey for the rabid nation destroying ideology of globalisation.
Opening the Australian real estate market to foreign investment has led to the situation that Australian property has become an asset that the wealthy from all over the world can park their money in "safely". This year Chinese investors have already spent 5 billion on property, largely in Sydney and in areas near transport and the best public schools.
The government does little to protect their own resident population - foreign investment is seen to be the answer to the mining boom decline as they believe the stimulation of the construction industry will be the new Australian economy bedrock. However, as interest rates go lower than ever, the rents rise higher than. That's fine if you are already wealthy, you will make even more money but local workers, who find themselves in a virtual wages freeze and a rising cost of living, struggle to rent let alone buy. God help single mothers who try and work, provide shelter for their children and live close to the city (where the jobs largely are) so they can pick their children up from after school care before 6pm.
Answers? Restricting foreign investment more stringently? Rental caps based on cost of living or rental subsidies for everyday Australians? Crazy that the government would have to help people to afford to live in their own country! Lose the negative gearing investment incentive? How about taxing people on their residential property after sale? Something has to change or the average Australian will simply be servicing the international and local elite's wealth.
How about making housing in Australia affordable and bursting the bubble before even more pain is inflicted on current and future generations?
How about making housing in Australia affordable and bursting the bubble before even more pain is inflicted on current and future generations?
And fuck everyone else eh?
Ignore posts by The Whole Truth · View Post · End Ignoring The forum fuckwit goes RRRAAARRRGGHHhhh - But not a fuck was given..................by anyone.
For what it’s worth these is an anecdotal issue I have been told.
I have a work colleague who is from china, has been an Aust Citizen for 15 years.
He told me that his kids who go to uni work part time as interpreters and guides and drivers for a group here in Perth that hosts “tour” groups of Chinese nationals to purchase property in Perth. From the way he described it me this is how it works.
They arrive in groups of 12 or so at a time, they are collected at the airport and checked into hotels. They are then driven to multiple properties in Perth over a week or so and have the interpreters liase with the real-estate agents to make offers on the properties they like. He said his daughter has become a favorite with several Chinese couples because of her fluent Chinese and gets requested. One couple have been to Perth 4 times this year so far and so far “purchased” 7 properties.
He said his daughter explained it that through her they make a verbal offer then the next day a written offer gets handed to the agent from some 3rd party typically a local company/trust or relative as the actual buyer of record. He said some of the couples actually speak excellent English but won’t speak English to the agents and still work through the “interpreter”.
It's not uncommon for several of the groups to arrive at the same house at the same time, apparently they get listings from a mandarin website put up by local agents to spruik property to Chinese people. Its common they get in bidding wars as well. He told me one case of a property in leeming where 3 couples wanted it. Original asking price was 690k. At the end it “sold” for 935k.
It seems to me the local agents must know they are not Australian residents as they collect passport details of the people making the offer. There’s nothing illegal about this as the actual purchase is made by a local entity who is allowed to purchase property here. In fact there was an article in the West Paper couple days ago, quoting agents taking about this practice quite openly it seems.
Not having a home to sell I didn’t ask for more details when he told me this initially. When I mentioned I had posted this on a forum he did a bit of a dummy spit and said he didn’t want to say as he didn’t think I would be posting this on a forum. Given that his kids are employed by this tour operator I guess I cant blame him.
It's not legal, and it's quite disgusting that it's done so blatantly.
The FIRB are tasked with restricting foreign investment to new builds only. Purchasing for a dependant who will be studying in Australia is OK but the property must be sold on once they return home.
Regarding Australian based trusts: "Australian incorporated companies or trusts where 15 per cent or more of the shares or units are beneficially held by a foreign person are themselves considered to be 'foreign' and require approval [by the FIRB]".
The rules are in place to stop this kind of thing but our Government is incompetent. It looks like foreigner's are knowingly flaunting our laws by purchasing through their Australian based relatives and the RE industry is loving it.
No comments yet from WA's wonderful Minister for Housing Bill Marmion.
Human beings go mad in crowds.. and come to their senses slowly and individually..
It's not legal, and it's quite disgusting that it's done so blatantly.
The FIRB are tasked with restricting foreign investment to new builds only. Purchasing for a dependant who will be studying in Australia is OK but the property must be sold on once they return home.
Regarding Australian based trusts: "Australian incorporated companies or trusts where 15 per cent or more of the shares or units are beneficially held by a foreign person are themselves considered to be 'foreign' and require approval [by the FIRB]".
The rules are in place to stop this kind of thing but our Government is incompetent. It looks like foreigner's are knowingly flaunting our laws by purchasing through their Australian based relatives and the RE industry is loving it.
No comments yet from WA's wonderful Minister for Housing Bill Marmion.
FIRB is a joke. It is only designed for the pollies to hide behind and to keep the plebs quiet.
I dont understand what the problem is? we actually still produce a product that the international community actually want (housing) we can always produce more houses for everyone. What we need is more efficient planning regualtion so that a 200 m block out in the sticks dosent cost a young couple 200k.
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