Share falls can lead to property being seen as safe investment

In the last days , my son sent me a link to the comment from bank of Scotland advising people to sell everything and buy bonds .

First comment . for the last 15 years I've been investing in property there has been a constant stream of doom and gloom articles from all sorts of sources predicting ...... doom and gloom . Vast majority have turned out to be wrong ,, so I tend to tune out to their advice . I'll read them and see if they ring true for me and occasionally will tweak our plans .

Second comment . Short of the GFC which impacted everything , every other downturn I've seen , seems to be followed by an improvement in sentiment for property . Shares are seen as risky , you have to put your money somewhere ( not many people actually buy gold ) so property comes up .

Rather than seeing the current share market falls ( which have been recurring since the GFC ) , I look at is as another positive for property . ASX 4000 roll on ( OK that's flippant ..... )

Cliff

 

Not so flippant. The asx dropped to 3100 during the GFC.

 

i would see people buying into gold again ASX 4000 for sure..

 

It's only starting to go into a bear market now,and at one stage the middle of last night the dow was down over 600 points,and as the equities markets are in the time range from the 2008 CFC mack one, then 4000 ASX and lower is on the cards,but just look back what happened last time the equities market were hit for several months,then what happened to property prices..

 

The alternative view is don't panic.....and buy whatever you can afford to buy when the stock market crashes.

 

Man.......times like these come around so rarely. You can panic with the herd and lose with the herd.

Or be brave when others fear. Just know your limits and never over commit.

 

I am enjoying the falling markets and am dollar cost averaging in.

 

Anyone on put options?

 

Google is your friend ....

Cliff

 

From memory, either RBS or another big bank said the same in 2007.

 

Share market is a bit flat at the moment and will be for some time. There are some companies where their share values have been overpriced vs what they are returning. My portfolio is split into two, shares they I have for an income reason vs shares that I trade.

Will the market fall further? I think so and looking forward to this correction.

 

I think we have seen 9% fall in share market, 20% makes it a bear market??

 

Asx very close to officially being a bear market.

"Australia, along with other countries, is now officially close to bear market territory – defined as a 20 per cent drop on 2015 highs."

ASX turmoil to continue as bear market looms | smh.com.au

 

thanks, been reading with interest the thread on shares, very interesting.
I will just back and watch.

MTR