Does your excitement go the same way as that graph greedy guy? Im going to laugh like fuck when you get your arse bored out by the banks. Your bank manager is going to turn you into a spit roast when you miss payments on your houses worth less than you paid for.
Catweasel sat it a good observe.
Mouzealot put up its pictures,
and mouse react.
Mouzealot get its cheap the thrill,
and mouse kind of crumble into reactionary.
But if mouse see same pictures,
at $69.99 white shoe seminar,
would it cause same the reactionary in public the place?
I know that this isn't really David, but it was his response to China Bob at MB today.
China Bob owned him. Poor David he doesn't understand.
I just had a look he didn't own him one iota.
He just gave the same old "supply and demand" argument that morons like that fucktard from Perth always gives, without taking into consideration credit, interest rates, sentiment, black swans, and all the other stuff that influences an economy.
stinkbug omosessuale Frank Castle is a liar and a criminal. He will often deliberately take people out of context and use straw man arguments. Frank finally and unintentionally gives it up and admits he got where he is, primarily via dumb luck! See here Property will be 50-70% off by 2016.
In Sydney housing construction has been on a downward trend for several years. This has happened because residential housing development is simply not a profitable activity. Or more correctly wasn’t at the $550K median price.
From my perspective, (having looked at the financial costs for several development projects in Sydney) I know it is just not possible to provide the desired product for under $550K. The reasons are multifaceted and nothing that a good recession / depression couldn’t fix, but these costs are real for the developer wanting to build new houses TODAY.
So we have an silly situation where prices are at absurd levels (relative to wages) but no new supply develops. That’s been the case in Sydney for the last 5 or more years.
Nothing will have any real impact on the prices of a Balmain terrace or a Mosman mansion. If you aspire to own these than the market is functioning perfectly and is providing product within the code restrictions. You just need to accept this product is genuinely scarce and deserves the premium that it currently attracts. If you want it then find $$$$ its that simple.
Hey Robert ,which inner city R.E agency do you work for?
Please name another investment class, that requires for most people such high leverage, and hence risk, like housing ?
I take it you mean Life = zero or no risk?
What other investment classes are "lifelike"?
Prices go up. Prices of items with restricted supply go up faster. Most Australian capital cities are growing in population. Australians are wealthy. Many Australians have surplus income to their basic needs. Australian banks are wealthy and stable. Australian banks have the ability to lend to Australians to buy houses (collateral and income). Australians choose to spend this surplus income on well located houses. Australians compete with each other to buy well located homes. Well located homes go up in value.
Eg. Inner West Sydney - close to CBD, easy commute, amenities pretty good, growing population. 4 bedroom weatherboard house up to $2m 4 bedder in Inner West
Broken Hill - same banks on the high street as Sydney, same access to credit, same lending standards, far from CBD, population stable. 4 bedroom house $330k 4 bedder in Broken Hill on a quick look I couldn't find a similar age and standard property. It seems it's uncommon for someone to spend big money to renovate an old weatherboard in Broken Hill.
A couple of closer examples still 1/5 to 1/4 the price in Rozelle and 3 or 4 times the land:
Neutral geared from day one. I wouldn't buy it but the numbers do give reason to stop and think for a moment. Don't worry about the marks on the roof - they should just buff out.
Neutral geared from day one. I wouldn't buy it but the numbers do give reason to stop and think for a moment. Don't worry about the marks on the roof - they should just buff out.
I bet if you talk to the locals Mel theyll tell you that those prices are rediculous bordering on a bubble.
He just gave the same old "supply and demand" argument that morons like that fucktard from Perth always gives, without taking into consideration credit, interest rates, sentiment, black swans, and all the other stuff that influences an economy.
Well in my view he did. What Bob said was:-
Quote:
China-Bob
November 7, 2013 at 3:58 pm
@David Are you having much success with this “dont buy now” concept. All I see is good people getting hurt by their own stubbornness.
Personally If I lacked the capital to buy into today’s market I’d be looking at a joining with other similarly affected people and buying a farm and just building simple cottages on it. Basically I’d be calling the Gov’t bluff, lets see you come here and knock down 20 modest houses owned and built by genuine Aussie battlers. Developed with their own money and built with their own sweat. That’s the sort of political dynamite that’ll cause genuine change in the land supply situation.
and then he followed it up with this:-
Quote:
China-Bob
November 7, 2013 at 6:33 pm
Maybe I should explain:
In Sydney housing construction has been on a downward trend for several years. This has happened because residential housing development is simply not a profitable activity. Or more correctly wasn’t at the $550K median price.
I know Leith likes to say its all land-banking but from my perspective, (having looked at the financial costs for several development projects in Sydney) I know it is just not possible to provide the desired product for under $550K. The reasons are multifaceted and nothing that a good recession / depression couldn’t fix, but these costs are real for the developer wanting to build new houses TODAY.
So we have an silly situation where prices are at absurd levels (relative to wages) but no new supply develops. That’s been the case in Sydney for the last 5 or more years.
That’s why I’m saying that average people need to start saying that they’re just not going to accept restrictive Govt policy ruining their lives. But they need to change things, learn what civil disobedience means and use it as a tool to address systemic inequity.
NB nothing that I’ve said will have any real impact on the prices of a Balmain terrace or a Mosman mansion. If you aspire to own these than the market is functioning perfectly and is providing product within the code restrictions. You just need to accept this product is genuinely scarce and deserves the premium that it currently attracts. If you want it then find $$$$ its that simple.
Bob is correct. He is also correct in his later statements where he encouraged people to buy acreage in the country and build unauthorised dwellings to save money. A huge number of structures used as dwellings in country NSW are not council approved dwellings. They are converted sheds and the council allows people to live there because there are so many of them and it's just too hard to sort the problem out.
It's the same in Qld and I'll wager it's the same in Victoria.
Any expressed market opinion is my own and is not to be taken as financial advice
Neutral geared from day one. I wouldn't buy it but the numbers do give reason to stop and think for a moment. Don't worry about the marks on the roof - they should just buff out.
Actually in looking at my Broken Hill example it's a bad comparison to the 90-110 year old Rozelle house. I'll try and find something broadly comparable and repost...
It shows you though that it takes more than juicing up lending to drive prices up.
barns
8 Nov 2013, 09:25 AM
Actually in looking at my Broken Hill example it's a bad comparison to the 90-110 year old Rozelle house. I'll try and find something broadly comparable and repost...
It shows you though that it takes more than juicing up lending to drive prices up.
Ok, here are some better examples, still 1/5 to 1/4 the price in Rozelle and 3 or 4 times the land...
Actually in looking at my Broken Hill example it's a bad comparison to the 90-110 year old Rozelle house. I'll try and find something broadly comparable and repost...
It shows you though that it takes more than juicing up lending to drive prices up. Ok, here are some better examples, still 1/5 to 1/4 the price in Rozelle and 3 or 4 times the land...
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