Calm down you old cogs!!
I was merely pointing out that such investors as yourself and I are going to profit from the demise of the poor Mr. & Mrs Average!
It was a sarcastic and sick jester about how sometimes we as humans are our own worst enemy.
Good luck with the crash and doom!
And I do have a IP's, in fact a growing one of 6 properties worth 2.1million, 49 %LMV
carlin wrote:Forumites may be interested in watching 4 Corners on the ABC this Monday night at 8.30pm. The program is about increasing mortgagee sales.Concur with Blogs and others here – too many single income/two+ kid families buying McMansions as their first home and shopping too freely at Harvey Norman = difficult times ahead.
Carlin
Thanks so much, I try to keep an eye on all TV shows (that are worth it) as some show the true picture of whats happening. I will watch Monday 4 corners for sure. Also Insight on SBS had a similar show last week . Yes Im sure Harvey N has done alright out of young First Home Buyers. Some times "24 months intrest free" means we wont allow you to pay the intrest for 24 months but after the 24 months its a diffrent story. In relation to what you saying, I had a friend who would sit in his house in the dark (no lights on) in order to save money. The leather lounge set he brought was very comfortable pity I could not see it.Thanks
Tony
carlin wrote:Forumites may be interested in watching 4 Corners on the ABC this Monday night at 8.30pm. The program is about increasing mortgagee sales.Concur with Blogs and others here – too many single income/two+ kid families buying McMansions as their first home and shopping too freely at Harvey Norman = difficult times ahead.
Thanks for that , I will try and catch it
I was reading an article other day with a screaming headline about massive % increases in defaults , when you read the article the % increase was indeed big (and double in Sydney compared with anywhere else) but it was off a small base and still trivial compared to the total no. of mortgages. Disasters for those involved but not a market wide issues the headline was trying to push
yarpos wrote:I was reading an article other day with a screaming headline about massive % increases in defaults , when you read the article the % increase was indeed big (and double in Sydney compared with anywhere else) but it was off a small base and still trivial compared to the total no. of mortgages. Disasters for those involved but not a market wide issues the headline was trying to pushANd it are these types of headlines mate that I believe will be a self fullfilling prophecy-it will change market sentiment which will go hand in hand with things cooling off which wil further drive headlines etc etc
Interest rate go up and down. Its just something that alot of people forgot when they decided to go looking for a house to buy. They have gone to the bank or money lender and been told you can have so much money so they go out and buy a house for the amount the bank has told them. In a way the have gone i want the biggest house i can get, instead of going this house could cost me heaps more if the interest rate increase what could i afford to pay before i have to stop living the life style i want to live. I know that for my PPOR my wife wanted to look at houses which where at the upper end of our budget. I put the brakes on because i remember paying higher interest rates and how much it affected my wage when the rates went up. To factor in any rate rises i limited what we would buy to $130k less then the bank told us we could get. That way i included any rate increases knowing that we had that buffer. That way we didn't have to scrape together each loan repayment when interest rates were low. If you have to do that what happens when the rates increase then scraping together fails to meet the bills then your stuffed.
I know that the banks and other lenders are out to make money but maybe saying to people that you need to factor in interest rate rise costs would help. But its not the banks job to teach people to manage there own money. maybe the schools should cover finances a bit more. You can point the blame at the banks or schools but in the end if you don't borrow out side of what you can afford to pay then you will be fine. if you can't control you money then stay in a rental property and make me money.
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