House price decline from peak... so far

Ooooo, Cashless Society - creepy. But does this mean our almost $1m mortgages wont be so scary?

 

How does this work with our cash sitting in offsets?

 

Let's see
New RBA rate = -.5%. Banks never pass on the full drop, so new mortgage rate is 0.5%. Each month I suddenly have about $2000 to spend in the broader economy. NICE.

Times this by 1.2 million IP owners and the economy is buzzing. Times it by all the mortgage holders, (no idea how many) Extra Nice.

We can all have our homes paid down in record time, or be cruising to Hawaii every year en masse. Bring it on, I say.

Really, I have NFI

 

You'll need it.. Hawaii is a very expensive place to holiday ...

 

I am not, I want best practice all the time, I can buy and sell and do well even if good times roll on forever.

Just because it is a property forum does not mean I want wild peaks and deep troughs.

If they did not cut any further once it was clear it was not doing as expected, that would have been better, same if APRA were not asleep and brought in policies and changes slower and earlier , we would not see this prob we now have.

As said, cut to zero, leave no ammo, have no growth and you have nowhere to go....we are Japan minus the ability to make much, a fantastic place to be, the banana republic old mate used to talk about...

Too much short term thinking.

 

Our Pesos will not buy much in Hawaii....nor will you be able to carry enough in 4 jean pockets to pay for the fuel or fares if we keep down this path,,,,,

I know your kidding, but we are moving from walking the plank onto a tightrope if we just keep going....well that is what I see.

If we stop a lot of mining etc as well due to env etc, bingo....

 

A comprehensive summary of dwelling values

 

Property investors have always been the powerful swing factor... until they return to market not much will happen

 

Sydney and Melbourne seem cheap now.

 

By median price to median income Sydney would still be the 3rd most expensive city in the world (behind Hong Kong and Singapore) while Melbourne would've dropped from 4th down to about 6th. Cheaper and cheap are very different things.

 

Why aren’t any investors back in the market then??

 

What's your story if you don't mind sharing? Have you done any property investing this year? I think I've sold 4 this year, bought 6 in 3 different countries, made great profits and I haven't been anywhere near a graph.

 

So all those graphs trend up unless I'm reading them upside down.

 

https://www.aussie.com.au/content/dam/aussie/documents/home-loans/aussie_25_years_report.pdf