Qlds007 wrote:
Not at all. 100% finance is still alive and well.

Madness – like Sparta:)Consider this though, if a vendor offers 5% of the value of a house to secure a sale then the lendor would have to assume that the house is worth 5% less than the agreed price (provided that the valuation isn't less still). The lendor could then ask for a 5%…[Read more]

Qlds007 wrote:
It is perfectly legal for a Vendor to provide part of the deposit as long as it is clearly disclosed to the financier.

But doesn't the financer use the deposit to offset any potential depriciation in the mortgage loan? Isn't that why banks are chasing deposits now – because the value of property is decreasing and the deposit acts…[Read more]

Chelley – I think what you propose to do is very generous do but I am not sure if it is technically legal.If the financer found out that you were providing the deposit, wouldn't it would null and void the loan?

So it seems banks may not value property as high as some owners and or vendors do.A question, is there any way a buyer can get a bank valuation from a prospective lender (not an independant valuation from a 'property expert') before bidding on property?

D – most sad to hear about your Brother in Law.I may sit on the polar opposite side of the housing market to you, putting up with a very mean landlord who keeps lying and trying to break the law with us but, as you have noted, the twists of life outweigh even the most sound investment plan. It is sad to hear of any news such as yours. 1 of my wor…[Read more]

With rentals becoming scarce this type of behaviour will be on the up and up. That said, if you have not recieved rent for a period of time you should have no problems enforcing an eviction and getting an order for the payments that you are owed. REAs are useless most of the time and interpret all laws in the manner of thier own financial profit…[Read more]

johk – have you heard about all those people that are using their credit cards to pay increased interest rates? The banks solution is to give them more credit… gotta wonder exactly what the banks agenda is in all that. My point is that I would hate to see another Australian end up in that position.As someone suggested, why not try and sell the…[Read more]

No gold or silver for me. If they haven't gone down 30% by 2011, I won't buy one – so I won't be disapointed – I'll just be down a beer:)

How philosophical of you Harb – with the sour grapes anology:) No doubt I will find the first home I buy a dissapointment – imagine how dissapointed I'd be with the purchase at current prices.2011 – you're on. I recon the curve will have reached the bottom by then. If I loose, I'll buy you a beer, if you loose, I'll buy one of your…[Read more]

L.A. Aussie – there is no bottom of the price range where I work – nothing under 300K… yet.The circle of people I know from work over 50% of the boomers have more than 1 property and the X's either rent or have 1 house.If I could get to work from Western Sydney, i'd be more than happy to start looking for something to buy tthere but that is…[Read more]

Bardon (nice avatar BTW, make it yourself?) to play the devil's (or capitalist's:)) advocate (as I usually do) Terry Ryder could be trying to promote interest in the market to help secure the value of his own investments. Then again, the guy has got it in for REAs, so he can't be all bad…PS – Reading some of his stuff, he seems to give good…[Read more]

mpertile – I agree, you can be a socialistic capitalist. You can produce something useful for society and resonably expect to be paid well for it. You are also correct when you state I am attacking greed and not capitalism.I have no idea what any of the investors on this board are like outside of it, and by the same token, they have no idea wh…[Read more]

mugli – I'm not offended by the question at all and consider it fair and valid.1. From the replies investors give, I can get a beat on how they are feeling about the market at the moment.2. I believe this forum is browsed (if not always posted on) by Australian's who aren't investors and/or capatilists and they probably enjoy reading the alternate…[Read more]

JRr wrote:
I don't have a problem withbanks getting bigger, but I do have a problem when they get bigger through monopolizing the market and that's what I think the current business environment allows them to do just that.

Like thishttp://www.bloomberg.com/apps/news?pid=20601081&sid=aFskJLzyueg4&refer=australiaI will not be surprised if, by the…[Read more]

http://www.abc.net.au/news/stories/2008/08/13/2334526.htm?section=justin

Depends on so many things, like:What happens to interest rates.What happens to unemployment.How much of the market's value is leveraged.How much is brought the next 2 years.How much land is released.How financially secure the majority of vendors are.What happens with the credit crisis in the US.What happens to other housing markets.The RBA is al…[Read more]

mackar,Indeed, as an investor, it still makes some sense to buy now.I was speaking from the POV of the owner occupier. For them, I feel it makes more sense to rent and save the 20000 PA for a number of years and use that to decrease the amount of interest incurred with a purchase. Of course, during the past 5 years, prices have been rising f…[Read more]

L.A. Aussie – owner occupiers are not 70% of the market. In an RBA report form 2003, which I have linked to elsewhere on this forum, owner occupiers were put between 40 & 45%. I doubt the figure has changed that much over the last 5 years.The financial institutions are a problem, I do not disagree with you on this. I agree with the 20% deposit…[Read more]

L.A AussieI am not slagging off your ideals, just presenting an alternate POV. Property Investment can be more than financial and I feel that in forgetting that investors have gotten the country into a dangerous financial state.Besides, I am learning things by being here. The obvious, but overlooked by me, buyers insurance that Harb just pointed…[Read more]

harb wrote:
That's a funny thing to say. Does it bother you that someone is making a profit out of you ?

If it's unreasonable, yes.

harb wrote:
Unless you buy from an investor who pockets the cash without declaring to the tax man what difference does that really make ? Its like the other one  "I'm prepared to make a cash offer subject to…[Read more]