China problem for property market?

Discussion in 'Property Market Economics' started by einentiva, 29th Apr, 2020.

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  1. MTR

    MTR Well-Known Member

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    ??? I have no idea

    I have read that only 2 out of 3 restaurants will survive/come back. This is huge

    I think out of all the States Melb is going to feel the most pain. Someone posted some stats, cant recall where? But property already taking a hit

    Melb has been numero uno for immigration, now zip. In the main service industries. Also overseas students taken a hit

    Lets see how this all plays out and how our government works through this
     
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  2. Antoni0

    Antoni0 Well-Known Member

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    Why do people think China has a significant holding in Australia with investments ?

    "The United States and United Kingdom are the biggest investors in Australia, followed by Belgium, Japan and Hong Kong (SAR of China).

    China is our ninth largest foreign investor, with 1.8 per cent of the total. However, the levels of Hong Kong (SAR of China) and Chinese investment in Australia have grown significantly over the past decade."

    Statistics on who invests in Australia | DFAT
     
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  3. MTR

    MTR Well-Known Member

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    But dont we need to consider business relationship which means exports, what we sell to China to help prop up our economy. China number 1, worth billions to Australia

    Australia’s Top Trading Partners
     
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  4. The Y-man

    The Y-man Moderator Staff Member

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    Good point - just have to look at what happened to Perth when sales of the stuff we dig out of the ground went down....

    The Y-man
     
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  5. Antoni0

    Antoni0 Well-Known Member

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    I have my views on this, we have the raw end of the deal relying on one country. We too can make cheap products in Australia if we ignore human rights and environmental issues but my post responded mainly to the fear that people will pull out of real estate.
     
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  6. MTR

    MTR Well-Known Member

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    ..... and we are still trying to recover, top end - properties still at 2007 prices
    ok
    Yes, we cant do cheap labour
     
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  7. Duck1234

    Duck1234 Well-Known Member

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    not great for property lol. China accounts for 1/3 of Australia exports. Recession risk just at least doubled if China were to do something
     
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  8. C-mac

    C-mac Well-Known Member

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    Is currency a factor or variable here too?

    AUD is slowly starting to strengthen against USD again - today it is back up to 0.66 again. For AUD to CNY, if the CNY is also strengthening, wouldn't this give a mainland-Chinese buyer (whether they be direct or tunnelling their money out via HK), motivation to buy again because they get more AU property for their buck (Yuan)?
     
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  9. MTR

    MTR Well-Known Member

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    AUD a roller coaster ride been this way for a few years, well before covid 19

    Its also a sign of our economy and how it was tracking prior. We were heading for softer economy prior to this event
     
  10. MTR

    MTR Well-Known Member

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    How do we do this??? We are stuffed at the moment, we dont have manufacturing and our labour costs too high
     
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  11. radson

    radson Well-Known Member

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    sales didnt go down. On the contrary, check out our terms of trade. What went down was all the labour required to build the infrastructure.
     
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  12. ATANG

    ATANG Well-Known Member

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    Its very easy to say but it's impossible to do. Where on earth can one find a replacement of 30% market share in education, tourism, mining, food, etc, when the combined of second, third, forth on the list still no where near.
     
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  13. tonyvooz

    tonyvooz Active Member

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  14. kaibo

    kaibo Well-Known Member

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  15. Ummm

    Ummm Well-Known Member

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    Simple.. instead of selling all our stuff to china, why don't we focus on India or somewhere else, doesn't matter, as long as at the end of the day we have sold everything off we will be rich. Remember we are the lucky country!
     
  16. Omnidragon

    Omnidragon Well-Known Member

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    Most countries that Chinese ordinary citizens and ordinary rich citizens want to invest in are probably American allies anyway, and the people get that. Even HK, their own city, is at times extremely anti-Chinese.

    So it probably shouldn’t make a huge difference. At the end of the day there’s so much money in China, you just need 500,000 of them flooding into Aust and you’re booming as they push up marginal prices. As long as the Chinese century continues, I’m confident over the medium term the region will do well.
     
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  17. tonyvooz

    tonyvooz Active Member

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    Easier said than done. There isn't many buyers interested in what we sell, or at the scale/price that China is willing to buy. We have to reinvest and refocus our economy. I can't think of another time better than now, but even so it's far from easy.
     
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  18. Ummm

    Ummm Well-Known Member

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    Nah mate, just flog it off on the cheap, take the cash and run, it's the Australian way. Doesn't matter that in the future we won't own any of our own country and will be serfs to provide for those that do own us...
     
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  19. Ummm

    Ummm Well-Known Member

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    Define 'do well'...just because you can sell your IP for more to a foreigner doesn't mean we will 'do well'...as is pretty evident if you have been paying attention, foreign interest/investment doesn't come without foreign influence/expectations, except we seem to have turned into a nation of FYIGM greed.
     
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  20. Omnidragon

    Omnidragon Well-Known Member

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    Do well economically. Most IPs are barely strategic assets, especially off the plan apartments. Foreigners can’t buy second hand detached houses which is what the vast majority of Australians want to live in.