Dark Times are Coming for Aussie Property



#realestate #housingmarket #heisesays
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48 thoughts on “Dark Times are Coming for Aussie Property”

  1. Why can't Australia just import hardworking Indonesians to work in the construction and other professional or in demand industries to help lower the cost of building in Australia specifically? Offer them permanent residency after 10years..

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  2. It's easy to determine whether property prices will rise faster or slower, perhaps even stagnate or go down. It all depends on whether the total amount of debt is growing and how fast the debt is growing. At the moment debt growth has slowed but it hasn't gone backwards yet. Therefore it is fairly likely that house prices will rise slower, but not stop or go backwards. Not yet anyway. While the banks control the valuations and distribute the debt according to those valuations, they're not going to let them fall.

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  3. Australia has very close to the most unaffordable property market on the planet, following 30 years of economic growth – due mostly to the never-to-be-repeated event of China's economic rise, and our luck in being able to feed off it for so long. But China did it all on borrowed money and is now entering an economic and demographic meltdown from which it is unlikely to ever recover. There is no 1.4 million population country waiting in the wings to replace it (maybe India one day but not anytime soon). The rest of the mineral-buying world is entering long-term population decline. The volume and prices of Australian iron ore and coal sales are tanking as a result of all of this. Also, the world is decarbonising, so our other coal exports will be stuffed before long. Gas might hold on for a while during the transition. This is what makes the current times so different to what you've known for 30 years. Australia will, at least for a while, cease to be the lucky country. Warren Buffett is cashing up for a world-wide stock market crash, which by his own metric needs to come down 40% to get back to equilibrium after all the cash pumped in by central banks after Covid. Property market crashes usually follow stock market crashes (2008 being an exception for Australia due, of course, to China). I'm not brave enough to make predictions, but I certainly don't share your optimism. Also I am old enough to remember what a property market crash looks like, and it ain't pretty. PS Your podcast would be more credible if you didn't make your ill-informed political bias so obvious.

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  4. 14:15 You seem overly confident that two people have a six figure income in Australia per household. This ain’t true. The medium wage vs the real wage is massively distorted by top earners. Overall most people are earning 70 grand. Not 100. So 140 not 200. At least, that’s what I can see from the research that I’ve done.

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  5. What’s the point of raising interest rates anyway? The banks are still going to get their money for the loans anyway. They claim it’s to control spending all
    It does is make families suffer and go without just because banks want more money quicker.

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  6. I keep hearing about people doing it tough but just don’t see the evidence of that, at least in Brisbane. You can’t get anywhere near a shopping centre on the weekend, the roads are absolutely packed and all the bars and restaurants are packed with people spending up big.

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  7. Let's settle down. In NZ property prices have been falling & the sky hasn't fallen in.

    We need more affordable housing & its logical if rates go up house prices will fall or flat line.

    If we want affordable housing we need a royalty tax on gas. That can be used to create a sovereign wealth fund. In turn we can buy community housing.

    As you said lower house prices aren't necessarily a bad thing

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  8. According to Heiser, the situation is "not too bad compared to what it used to be." However, his comparison then states the following:

    Previously, a single income earner could comfortably afford to pay a mortgage for a house with land, support a family with children, go on annual vacations, own two cars, and have a dog.

    Nowadays, a single income earner struggles to even afford rent in a unit.

    Yeah, "not too bad" at all.

    And let's not forget this gem: a couple earning a combined $200k, ready to start a family. What, with no kids if they are both working?

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  9. Australia doesn't manufacture anything. Our whole economy is based on immigration, coal and housing. The inflation problem we're living in is cause and effect. Home owners are rich because of house prices, creating money from nothing and spending accordingly.

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  10. You ask for a comment –
    If a person has a few joints and all the houses fall forty percent it would not bother me.
    It's shared between the people.
    I still will get rent.
    If fuel goes to five bucks it don't matter, dudes still gotta pay rent.🎉

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  11. A friend of mine works for an agency that markets Australia as a destination for studying abroad with the prospect of immigration, he’s been getting 80% of his applications getting declined. I guess if the government continues to double down on stopping migration then it may ease the rental market at the possibility of destroying the investment market?
    To be honest, I’ve listened to some of these channels that do nothing but whinge and blame the 10% who have multiple investment properties for their own problems, constantly claiming that taxing these people more to alleviate their own problems. I’ve listened to these channels (punters politics) and I’ve said in the comments that me as a forklift driver in warehousing and my wife working as a labourer in a freight company, we make our mortgage payments and still buy things and live a life whilst saving money, yes we work overtime when we can, but it’s achievable!

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  12. The reality is nobody knows what is going to happen, Only probabilities. I would recommend everyone to listen to the Rebel Capitalist Channel, with George Gammon.

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  13. This realtor is just fear mongering. Some of them are shoe salesmen one week and home salesmen the next. Zero formal qualifications in property valuation usually. Many, not all, buy the listing with a big number then work on the home owner to drop the price during the course of the listing. There are good reasons why snakes, used car salesmen and realtors are despised.

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  14. My dad purchased a waterfront two-story home with a self-contained 2 bedroom flat on the first floor on the Gold Coast in 1975 for $40,000 and sold it in 2011 for $900,000.00.
    I purchased a 3 bedroom home on the Gold Coast in 2000 for $185,000 and sold it in 2010 for $485,000. The next home was 3 bedroom, we purchased was the same and now sits valued at $900,000.
    I worry for my Kids. Let the bubble burst. Homes should not be subject to supply/demand which is a greed motivated dishonest system.

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  15. Just need to stop participating in housing. If you allow a tyranical gov to monetise everything that is needed to live then they just get arrogant after 2 generations (60years). Create a parallel system and ignore whatever they builts. They just disappear.

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  16. Pundits are watching the imminent 2-10 US Bond Yield about to uninvert, which has been the lowest and longest in history. This usually is followed by a recession in the US add in J Powel throwing in a rate cut in maybe September, that's usually bad for share markets and other markets including housing. But the way I see it there is actually a housing shortage which I think keeps the housing market elevated, think big migration numbers. Pundits fear a 1929-32 Depression given the extent of the 2-10 year inversion. cheers

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