you should be happy dmichie – if the CAD blows out you will get your much anticipated destruction of the AUD. then painful recession.
Hey knucklehead, don’t shoot the messenger!

I am not the cause of our economic problems. I’m an exporter. I export software developed by my company in Australia to the rest of the world. 98% of our sales are…[Read more]

but I do like the taxable aspects of investing, and would probably still chuck the bucks into IP’s instead of a ppor.
It almost makes you think there’s something wrong with a tax system that encourages property investment but not home ownership.

As John Garnaut put it today:
Most economists agree that the current account deficit has been inflated…[Read more]

Borrowing just to fuel consumption ?????
Yes, we’re borrowing from East Asian countries to buy goods made in East Asia. Our banks are also borrowing from overseas to fund our appetite for housing debt. Very little of our overseas borrowings are going into business investment.

err.. It was a tongue in cheek reference to this gem
Sorry, missed that one. I was struck down with the ‘flu yesterday, and I’m a bit slow on the uptake today. Perhaps God is punishing me for not being positive enough?

F and David – are you backing the 10% forecast interest rates? There really will be blood on the streets in this event.
There would have to be some pretty serious inflation in the next few months for the RBA to get anywhere near 10% by next year. Australians are so heavily in debt at the moment that even the tiniest move in interest rates will…[Read more]

I guess it’s all about the spin.
I thought I tried that with my “Why a House Price Crash is GOOD for your Wealth!” thread. I obviously need to work on my language and make liberal use of the word “positive” throughout futute posts.

PS Happy birthday for yesterday!
Sorry … dunno what you’re on about there.

Foundation, why is when I post something like this I cop an avalanche of abuse, but when you do everyone agrees that a fall in prices is a good thing?

Anyway, here is the Sydney angle on the same story:
http://smh.com.au/news/National/Interest-rates-tipped-to-rise-to-9-next-year/2005/05/29/1117305503675.html
Interest rates tipped to rise to 9%…[Read more]

bob the worker wrote:
However, all I know is that after a property cycle peak, it often takes years for prices to recover, after a healthy correction.

For example, after the 1980 peak, there was a drop, and it took 7 years to get back to the highs. After the 1989 peak, there was a drop, and it took about 10 years to get back to the highs. Thats a…[Read more]

I’m 100% with AUSPROP on this one (yes, I think this is a first!).

IMO, personal income, companies, and capital gains should all be taxed at more or less the same rate (say 37%). This would remove the distortions from the tax system that encourage people to corporatise and capitalise their personal income.

As for encouraging people to save,…[Read more]

Yesterday the Syd Fin Review, had on its front page, “Property Developers are dumping developments sites”
Really? I must pick that up…

Wednesday’s Fin ran this story:
http://afr.com/premium/articles/2005/05/24/1116700707338.html

World property prices on a knife-edge
“World property prices on a knife-edge” reports Corinne Lim. “The private…[Read more]

Agree completely. My guess is REI turned those figures inside out to find some angle indicating that “now is a good time to buy”
Yes, we desperately need an independent regulatory authority in this country where actual sale prices are accurately (and promptly) recorded, and statistics made freely available to the public.

See the “Where to get…[Read more]

dmichie, have you heard of refinancing and debt consolidation?
Of course, but you can’t tell me a lot of your (former) business isn’t people buying new properties.

look for ways to make money whichever ways markets are moving at the time.
But the market isn’t moving that’s the point. Its a standoff between vendors who want too much and buyers…[Read more]

Well one thing’s for sure, if turnover has dropped 27% the agents won’t be happy, the banks won’t be happy, the mortgage brokers won’t be happy … no-one’s making money if the market ain’t moving.

1Winner wrote:
I have yet to hear a more pitifull statement then “I feel guilty about the money I made”. It not only defies all logic but it screems of anti-values and limiting beliefs so loud that it is deafening.
Clearly I have a very different value system to your own, so lets leave it at that shall we.

Mr Car(stro) from New South Cuba may be…[Read more]

Yes, Qld tried to abolish this a few years ago and it was reinstated within 12 months as it was so detrimental to the state govt.
Really?! its a deduction from federal income tax, how is that possible?

Hey Robin Hood (dmichie), what are your views on taxing everyone equally?
I’m not an advocate of flat tax, I have no problems with a progessive income tax system, but I’d prefer the top rate was lower than 48.5%

The GST is essentially a flat tax (i.e. everyone pays the same) and I’d prefer there were no exemptions.

my biggest complaint about the…[Read more]

Oh, and stop feeling guilty about making money.
I don’t feel guilty about making money when I’ve worked hard for it. I feel guilty about making money from sitting on real estate.

If you do feel guilty … start a business and employ people to be productive.
I did, long ago.

1Winner:
It seems that you believe achieving a high value in asset’s accumulated by (in your view) “passive” means, is a sin and must be punished. Whoever has not suffered and worked hard to achieve a large capital portfolio is a parasite and must be stripped from his ill- gotten gain
In a word “yes”. I believe our tax system favours speculation…[Read more]

The Mortgage Adviser wrote:
dmichie, READ IT…. I am referring to the majority of people WHO ACTUALLY CARE!!!!
Robert, there’s no need to shout, I simply misunderstood what you meant by “majority” that’s all. I now understand what you meant.

bruham wrote:
The trouble with having a property down turn,is that all other segments of industry…[Read more]

As 20% is more than 10%, that makes it a majority
I don’t want to be too pedantic, but a majority is generally defined to mean a number more than half the total, and 20% is less than half.

Anyway, I would argue that the percentage of people who are renting (or living with family) because they can’t afford anything is much larger than you suggest…[Read more]