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Terry Ryder: Did Australia pass a prohibition law on property investment but forget to tell anyone?

Discussion in 'Property Market Economics' started by Chilliblue, 16th Aug, 2015.

  1. Chilliblue

    Chilliblue Well-Known Member

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    From: It’s become hip to be anti-property: Terry Ryder

    Somewhere in recent history, buying property has mutated from a normal part of Australian life into something with the odour of dealing in illicit drugs on murky street corners.

    Mums and dads trying to provide for their kids’ education are accused of smashing the dreams of first-home buyers.

    Those seeking to fund their retirement without burdening the state are labeled speculators.

    People on average incomes who own one investment property – i.e. the majority of property investors - are portrayed as greedy bastards ripping off the tax system.

    ...
     
    Last edited by a moderator: 17th Aug, 2015
  2. Inov8ive

    Inov8ive Well-Known Member

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    Not the biggest fan of My Ryder but he actually nailed that!
     
  3. Bayview

    Bayview Well-Known Member

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    They see it as a tool for winning votes.

    Because most folks are of average wage or below, very few assets or savings, and generally hate the rich and their Bosses, it is fair to say the average person looks at PI's with a decent degree of the above mindset.

    So, it is quite likely that to support these folks will win votes.

    Joe Hockey told the truth about how to afford a house (get a good job that pays well); and he got slaughtered for it.

    Tough love doesn't work very well....even when it is the truth, and is needed to be said; the Penguins don't want to hear it.

    If they were truly serious about making housing affordable, they would remove/reduce stamp duty and GST on construction and any housing purchase/sale transactions.
     
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  4. See Change

    See Change Timing Lord Premium Member

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    Chilliblue

    A complete copy of an article is breach of copyright . I'd edit it back to maybe one key paragraph and then the link to the article so if people want to read the full article , they have to go to Terry's web site .

    Cliff
     
  5. Bullion Baron

    Bullion Baron Well-Known Member

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    "Foreign buyers of Australian property treated as criminals by the buffoon otherwise known as the Federal Treasurer."

    There has been a crack down on those breaking existing laws, so they are targeting criminals. Why wouldn't they uphold existing laws?

    "Is real estate investment okay or not?"

    Of course it is, when the level of investor activity is inline with what Australians consider will result in a reasonable balance of home ownership. I'd suggest a target of around 70% (home ownership rate) which is what we've since the 1960s until recently. With investor lending upwards of 40-50% (in some markets), clearly it's an imbalance that is worth addressing.
     
    Last edited: 16th Aug, 2015
  6. Chilliblue

    Chilliblue Well-Known Member

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    All good @sea Change. Had already emailed Alison advising of post.
     
    Last edited: 16th Aug, 2015
  7. Leo2413

    Leo2413 Well-Known Member Premium Member

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    As much as they try to keep us down - they will never succeed. Superior mindset will always trump through any and all challenges.
     
  8. willair

    willair Well-Known Member Premium Member

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    Quote..
    Unfortunately, the politicians who run the country or parts of it don’t see investors as valued citizens undertaking worthy activities. They treat them as bunnies ripe for exploitation..

    Sometimes you have to keep reminding yourself of the obvious,put on the sidelines all the money the Employment ,government local and state ,insurance,banks, real estate agents ba's, tradespeople,mortgage brokers,35%plus short term money lenders,local councils,and the money that pours into those businesses from property investment alone each week,"IF" that was to hit the wall this Country would be stuffed within six months,or mostly everyone will blame the author for not writing the story the way they want..imho..

    OR maybe Shorten will jump on this as Labor will jump on anything that most don't understand till it's too late,then wacko..
     
  9. nkibel

    nkibel Member

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    The problem is the premise is not correct. The Australian property market is driven by Owner occupiers not investors. So if an owner is living in one street and wants to buy a house in another it is only the difference in price between the two. An investor is unlikely to spend 1.5 million on an investment.
    Most investors who will find themselves in trouble will be those that have purchased an off the plan apartment in one of the major cities. They will only know that they have a problem when they have to settle
     
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  10. datto

    datto Well-Known Member

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    Ryder forgot to mention that Bogans trying to make a squid from property are being forced back onto the streets to deal in other forms of property,

    This government is hell bent on stopping ordinary people from getting rich. Making easy money is for some exclusive club it seems.
     
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  11. Leo2413

    Leo2413 Well-Known Member Premium Member

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    Finally! Someone talking sense!

    When auctions go nuts and there is bidding-galore. Most of those people are not investors. They are families wanting to get a piece of nice real estate. And its THAT frenzy that drives prices.
     
  12. Bullion Baron

    Bullion Baron Well-Known Member

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    It is driven by both.

    Anyone who denies investors impact the market and chase prices is being dishonest with the forum or with themselves.

    [​IMG]

    You're living in denial if you think investors don't pay silly prices for real estate. Just look at this example from the auctions on the weekend:

    http://news.domain.com.au/domain/re...above-reserve-at-auction-20150815-gizs52.html

    That's a 3% gross yield.

    There are examples like this sold every weekend (and day) in Sydney (and Melbourne). Even if investors aren't as well represented (as owner occupiers) at the >$1.5m level, they are still bidding up prices at lower levels.

    It's funny watching investors on a property forum try and rewrite the laws of economics as if their demand doesn't make a difference :D:rolleyes:
     
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  13. Leo2413

    Leo2413 Well-Known Member Premium Member

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    BB I am sure investors do to some extent cause prices to rise - and so what? Its a free market. People can do as they wish. Many prefer to have dinners out 4 times are a week and expensive cars and holidays every year. Others prefer to be more disciplined and invest their income for a brighter future.

    That's the beauty of our free market.
     
    Last edited: 16th Aug, 2015
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  14. Bullion Baron

    Bullion Baron Well-Known Member

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  15. Francesco

    Francesco Well-Known Member

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    I slate the extent of misinterpretation of the advantages of property investments mainly to sensational journalism. A healthy indulgence in self-interest of selling 'news' leads to unbalanced reporting of news. This is compounded by academics and economists pushing their own agendas. When a sector of the masses adopts one of the views, politicians jump onto the bandwagons to represent them.

    Through misinformation, property investors have been demonised disproportionately and under appreciated.
     
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  16. Leo2413

    Leo2413 Well-Known Member Premium Member

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  17. Bullion Baron

    Bullion Baron Well-Known Member

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    That's cool. Good on them.

    Now it's time for the rules to change a little (to balance things out) and you've got the whining entitled bleaters like Ryder having a cry over it.
     
  18. Bayview

    Bayview Well-Known Member

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    It's not the Gubb which is the main player, Datto.

    All the noise is from the FHB's and much of the media - which always favour the little bloke/battler against the big greedy everyone else, and I'd wager that a large portion of the media are not investors either.

    I mean; most of the Banking sector aren't investors, most of the R/e's aren't investors - and these are folks who are right at the coal front of the R/e game, so it'd be a pretty easy guess that the media are very unrepresented in the investor group, hence hate us rich folk, and therefore love to report on it all.
     
  19. Bayview

    Bayview Well-Known Member

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    You are talking about a period of record low interest rates and a bit of a boom in a few places.

    Your window of observation is too short to be able to say that investors are the problem.

    As I've said a few times now; wait until the boom ends, the rates rise (don't hold your breath too long) and when no one is buying, the word "investor" won't be mentioned for months
     
  20. datto

    datto Well-Known Member

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    I don't know BV, but someone out there hates property investors and my paranoia is peaking.

    So FHB and journo's are snitching to the govt that investors are making life hard for them? Heck, I've never complained about a journo's BS story.

    And I have never confronted a potential FHB on a poker machine and told 'em to get home and start saving. So what's their prob - sour grapes?

    The way I see it, it may not be a perfect system but it's like dog sheet, the more the govt plays with it, the worse it stinks.
     
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