Mums and dads defaulting....I was speaking to my Psychiatrist today who is also a property investor but of course on a much larger scale than us. I was telling him about how many "for lease" signs I saw up around the Newcastle NSW University . He was telling me that most of these are Mum and Dad investors and as soon as unemployment goes up like it is doing now they will all start to default on payments when thry cant get tenants. They get into this novelty of property investing just because its fashionable . They get excited get one property get another etc then one loses their job they cant get tenants etc and rush to sell. Its like its becoming fashionable to buy an IP for younger couples who many are still paying off their PPOR butthink they have to carch up with the joneses I actually saw these young couples usually from Sydney double income no kids , at many of the saturday open days i attended some as far as Country Maitland area where i overheard quite loudly a young couple shout to the real estate agent they will pay 300k for the old fibro maitland house that was advertised at about 250k , they made sure everyone heard them, the young wiman of the couple and i overheard them say they were from Sydney ... She shouted " i think this house is worth more than 250k we'll offer 300" ! Unemployment is rising and even my Pyschiatrist says he is starting to see patients from this effect and he is a upmarket Psychiatrist .He just doesnt deal with lower class crazy people but more upmarket type due to his $375 hour fee. His advice to me is wait another 12 months he sees many homes defaulting and selling up.