Finally, someone telling it as it is.... - Page 3

GASWAGON · 25-08-2014, 06:22 PM

Investment money from rich Chinese is'nt helping the rising prices problem either. The numbers are now 1 in 7 Chinese are VERY interested in spending there money outside of China and mainly investing in U.S and OZ property.

It has also been said that alot of this investment money has been made corruptly in China.

Wot can we do if the government are allowing this type of investment money into the country all the while forcing the locals out of the market???

**tut0r** · 26-08-2014, 11:29 PM

Its true, its hard for us to live in the present, we will always say 'back in my day' hell I'm 26 and say back when I was a kid blah blah blah we were outside more. When I started school mobile phones weren't really around, car phones yes but the first phone I remember my parents having was a analog brick that made one call before the battery died.

We have to learn to adapt to our surroundings as we are growing exponentially faster technologically, hell soon we'll probably never have to leave our houses and turn into a world like the movie 'Surrogates'.

**buggerlugs** · 27-08-2014, 08:58 AM

Wow, nearly 2 pages of comments, all grown up one's to, all constructive, no mods needed, no fights. Wow, just wow.........................

**tut0r** · 27-08-2014, 02:03 PM

Quote:

Originally Posted by buggerlugs

Wow, nearly 2 pages of comments, all grown up one's to, all constructive, no mods needed, no fights. Wow, just wow.........................

Back in my day, there was no such thing as Ford Forum fights, it was fisty cuffs...Bulley Bulley..

ILLaViTaR · 27-08-2014, 01:17 PM

I'm also a firm believer of capping wealth. Let's just say a general 5 million for arguments sake (as that for example wouldn't be near enough for the mining industry..)

It's ridiculous to assume these companies will lose enough motivation to have a sook and pack up.. they really think welfare is better than sitting in the leather studded armchair of a 5 million dollar industry? They're saying they would rather be derogated and dragged into centrelink appointments every week??

I say call their bluff. And it's bad for capitalism, it's good for industries to grow but not to grow too big, it then becomes a problem. They get ridiculously big and hold too much power to independently alter the cost of living for all of society.

It could be done, a 3-5 billion mining cap would force that fat mole to invest in completely different industries where she'll be forced to compete in BOTH, meaning we'd have more mining competitors and more competitors in her new industry and so on. It would be better for everyone and she's still making an incredible amount of money.. Problem is she doesn't want to do it all again she wants to gain power so she can regulate her own industry to her own benefit at the expense of literally millions of others. This level of power results in that authority INHIBITING competition and ultimately using that level of power to rort society. We've been rorted by the oil companies ever since the iraq war. now it's Coles/Woolworths turn and we pay more to Gina for our power bills than any other nation in the world (of course we do..am I proving my point?) These multi billion dollar companies are not good lol if anything evil.. if there were more industries earning less as opposed to less industries earning more (which is what we currently have) then prices would be fair and there'd be more productivity from being forced to genuinely compete/bend over backwards to prove why your product is the best. Cap them and it's better for everyone.

**Giant Cranium** · 27-08-2014, 01:50 PM

^ sounds like communism.

ILLaViTaR · 27-08-2014, 02:10 PM

I thought it sounded like capitalism but without all the corporatism

adumb · 27-08-2014, 02:50 PM

Mrs and I purchased land at 22, built our first house by 23. Admittedly we got the 20K FHBG, which in our case meant we could build a bit quicker than without it. I have worked full time for the past 8 years (straight out of school) and the Mrs the last 4 (after uni). We built in a cheaper suburb, which meant cheaper land and in the long run a smaller mortgage. I am fortunate that I have almost doubled my wage since we first moved in but we weren't struggling then, just lived within our means. When we met with the bank we could have borrowed almost double what we needed (somewhere around 700k!!!!) we were smart enough to say no thanks but I hate to think how many said yes please! Now days I would say that hardest part (No FHBG) is having the willpower to save really hard for a few years, thats the hard bit, mortgage payments (providing you buy within your means) aren't an issue. Got a mate I work with could easily make payments on a 400k+ loan, its just the saving he is struggling with

HULK_I6T · 27-08-2014, 03:23 PM

If people are renting now, how are they going to be able to give their child much to help get into the property market?

prices of houses are just going to get away

BENT_8 · 27-08-2014, 04:48 PM

Quote:

Originally Posted by HULK_I6T

If people are renting now, how are they going to be able to give their child much to help get into the property market?

prices of houses are just going to get away

If house prices weren't so artificially inflated to benefit a few, the next generation wouldn't be looking for help to get into the market.

If all the people currently renting went out and bought a house now, what do you think would happen to the price of housing, my guess would be an increase due to demand.

What would happen to all those negative geared investment properties without tenants?

ford man xf · 27-08-2014, 11:02 PM

Quote:

Originally Posted by BENT_8

If house prices weren't so artificially inflated to benefit a few, the next generation wouldn't be looking for help to get into the market.

Can you explain how prices are artificially inflated? There are plenty of people either earning decent cash or have stored wealth to buy, so naturally this particular market is going to be high cost due to inflationary pressure.
Often people will say that it's because of supply and demand, yet I can go and buy a new home as we speak, there are thousands of blocks of land for sale at the moment ripe and ready to build on.

BENT_8 · 28-08-2014, 11:33 AM

Quote:

Originally Posted by ford man xf

Can you explain how prices are artificially inflated? There are plenty of people either earning decent cash or have stored wealth to buy, so naturally this particular market is going to be high cost due to inflationary pressure.
Often people will say that it's because of supply and demand, yet I can go and buy a new home as we speak, there are thousands of blocks of land for sale at the moment ripe and ready to build on.

If you think a cashed up Chinese investor buying up Australian property and then letting it sit idle is not artificially inflating the market then I am lost for words.
Or a dozen people bidding on a property they plan to use as a tax break.

C'mon, do is sound ethically right to borrow money to fund a purchase which you know will lose money so you can use that loss for financial gain.
Then consider it is one of the fundamental needs of human existence your playing with.
If every investor who planned to negative gear was banned from purchasing property for 6 months what do you think would happen to the market.
Ideally the value of homes would come down as the extra demand would dry up, but I would take a stab and say most owners would wait 6 months until the frenzy returned...why?

And don't tell me if it weren't for investors then renters would have no where to go, if negative gearing was removed from all but 1 investment property the excess baggage would be unloaded, the market flooded as they would become a liability and the market would adjust accordingly.

Not as many people would be reliant on landlords as they could afford their own home.

The only people who would deny this have a vested interest be it investment or the current value of their ppor.

zilo · 28-08-2014, 03:10 PM

Quote:

Originally Posted by BENT_8

If you think a cashed up Chinese investor buying up Australian property and then letting it sit idle is not artificially inflating the market then I am lost for words.
Or a dozen people bidding on a property they plan to use as a tax break.

C'mon, do is sound ethically right to borrow money to fund a purchase which you know will lose money so you can use that loss for financial gain.
Then consider it is one of the fundamental needs of human existence your playing with.
If every investor who planned to negative gear was banned from purchasing property for 6 months what do you think would happen to the market.
Ideally the value of homes would come down as the extra demand would dry up, but I would take a stab and say most owners would wait 6 months until the frenzy returned...why?

And don't tell me if it weren't for investors then renters would have no where to go, if negative gearing was removed from all but 1 investment property the excess baggage would be unloaded, the market flooded as they would become a liability and the market would adjust accordingly.

Not as many people would be reliant on landlords as they could afford their own home.

The only people who would deny this have a vested interest be it investment or the current value of their ppor.

mate...abolishing negative gearing is not the answer.

Negative gearing exists because the tax office has it's hand out for the profits when you sell..by capital gains tax.

It's only fair that if the tax office wants a slice of the pie at the end it has to chip in along the way with the risks.

Can't have it both ways else why would anyone bother investing in anything?

Imagine having ZERO rental properties available.

think of it this way also....negative gearing means that the tenant is NOT paying the rent required to service the loan for the house he is occupying.

That's why it's NEGATIVE geared.

Would tenants prefer to pay the full amount??

ford man xf · 28-08-2014, 10:42 PM

Quote:

Originally Posted by BENT_8

If you think a cashed up Chinese investor buying up Australian property and then letting it sit idle is not artificially inflating the market then I am lost for words.
Or a dozen people bidding on a property they plan to use as a tax break.

C'mon, do is sound ethically right to borrow money to fund a purchase which you know will lose money so you can use that loss for financial gain.
Then consider it is one of the fundamental needs of human existence your playing with.
If every investor who planned to negative gear was banned from purchasing property for 6 months what do you think would happen to the market.
Ideally the value of homes would come down as the extra demand would dry up, but I would take a stab and say most owners would wait 6 months until the frenzy returned...why?

And don't tell me if it weren't for investors then renters would have no where to go, if negative gearing was removed from all but 1 investment property the excess baggage would be unloaded, the market flooded as they would become a liability and the market would adjust accordingly.

Not as many people would be reliant on landlords as they could afford their own home.

The only people who would deny this have a vested interest be it investment or the current value of their ppor.

You do realize that if all the investors properties were not allowed and renters could now buy property it just means there are more buyers in the market which would make property prices rise anyway?

**tut0r** · 27-08-2014, 05:58 PM

Quote:

Originally Posted by HULK_I6T

If people are renting now, how are they going to be able to give their child much to help get into the property market?

prices of houses are just going to get away

Should a parent give a child money to buy a house? Or should they do it all on their own? My friends now have saved all their money on their own backs without parents giving them money, I think a parent letting their child stay at home rent free is giving enough IMO.

BHDOGS · 27-08-2014, 04:47 PM

First step liberals need to grow some balls second step get rid of negative gearing third step limit ownership of homes to 5 fourth step add house value into pensioners assest equations so there forced to sell and move into something cheaper to free up money so they dont leach of the system. after that take a look and try something new.

**Giant Cranium** · 27-08-2014, 07:10 PM

if its for disability fair enough you deserve all you can get but I'm not a mind reader and neither is all the other forum users. but in that thread you said that the dole was going to service the mortgage.

also i worked for all i have and I'm only 27. my wife pays over 50k a year tax with no deductions. i will never ever stop pushing myself to earn and own what ever i want. really don't want to be paying tax so that you can service your mortgage.

and if they can deduct there whole pay good on them but the ato would be after them.

also don't have many toys anymore, i have a set of golf clubs and a few guns, sold my xr8 a few years back as i needed to set myself up with a deposit.

Dash_XR · 27-08-2014, 07:15 PM

Plenty of cheap homes around everyone just wants their first home to be in the inner suburbs. The only reason I have a "TO DO" list in my sig is I was saving for a deposit, you can't have everything straight away.

Nova 8 · 27-08-2014, 07:37 PM

Quote:

Originally Posted by Dash_XR

Plenty of cheap homes around everyone just wants their first home to be in the inner suburbs. The only reason I have a "TO DO" list in my sig is I was saving for a deposit, you can't have everything straight away.

Spot on, buy a first house that isn't the house you plan to retire in. Just cause you plan on having 3 kids doesn't mean you need a 4 bedroom now. Buy affordable and build equity then upgrade later when you can do so with more ease and comfort.

nstg8a · 27-08-2014, 08:57 PM

Quote:

Originally Posted by Nova 8

Spot on, buy a first house that isn't the house you plan to retire in. Just cause you plan on having 3 kids doesn't mean you need a 4 bedroom now. Buy affordable and build equity then upgrade later when you can do so with more ease and comfort.

We're building a three bedroom, and when it came to the bank valuation they valued it nearly 50k under build cost purely because it doesn't have the fourth bedroom. It damn near would have been better to go back to the drawing board and make it a four bedroom house.

Instead we had to come up with a further 30k deposit to avoid the lmi.

Ironically we have a small storeroom on the plans and I suggested we send it back and say that was a typo and it's actually a fourth bedroom, but the broker said they will see straight through that lol

Nova 8 · 27-08-2014, 09:07 PM

Quote:

Originally Posted by nstg8a

We're building a three bedroom, and when it came to the bank valuation they valued it nearly 50k under build cost purely because it doesn't have the fourth bedroom. It damn near would have been better to go back to the drawing board and make it a four bedroom house.

Instead we had to come up with a further 30k deposit to avoid the lmi.

Ironically we have a small storeroom on the plans and I suggested we send it back and say that was a typo and it's actually a fourth bedroom, but the broker said they will see straight through that lol

Sucky situation and if you were comfortably able to get the extra to get a 4 bedroom it's obviously the choice to make, however if spending the extra money is enough to possibly break bank then it better just to get in your house and enjoy. My point is it's better to take the next step on the ladder rather then stretching and falling down.

Nova 8 · 27-08-2014, 07:33 PM

Thumbs down would be awesome....

Dash_XR · 27-08-2014, 07:55 PM

It's easier just to say it's impossible.

Doesn't CBA own Aussie Home Loans now anyway? Anything John Symonds says now doesn't have the weight behind it like it use to. Probably just sowing the seeds for CBA to reem their clients even more.

**nuthin' fancy** · 28-08-2014, 08:07 AM

Quote:

Originally Posted by Dash_XR

Anything John Symonds says now doesn't have the weight behind it like it use to.

Yes he does, he's fatter these days.

Anyone seen his 'tasteful' $70m house in Wolselely St, Pt Piper?

"Aussie John" pretends to be the battlers' friend but sold out to CBA at the earliest opportunity.

Franco Cozzo · 27-08-2014, 08:27 PM

Its all relative too, is it worth the $400K+ you need to live in Melbourne's outer suburbs on a tiny 500m2 property, with a "2 car garage" you couldn't fit a Falcon in length ways, being crammed in with heaps of neighbours, so close you can probably hear them having a domestic?

$350K gets you into Sunbury, and Goonawarra at that which is the dodgy end.

I live in the Macedon Ranges with my rents, I was born in Sunbury, lived in Goonawarra for the first few years of my life, then when I was 3 we moved out here into Macedon Ranges.

We're in a housing estate but the properties are all around 1500m2, so there is space between everyone, there is acerage/farm all around our estate too.

Air is clean and most people are friendly.

Land costs are higher now compared to when my parents bought here nearly 20 years ago now, $26K back in 1994, now its $250K for the same size in a new estate going up.

What does $250K get you land wise around Melbourne?

It was about 50 minute drive into work to Melbourne's northern suburbs but I was cruising at 100km/h just about all the way, my sister lives in East Brunswick and it can take her anywhere from 50 minutes to 1 hour 30 mins to drive 7 KILOMETERS to work in peak hour, one time she walked to work quicker than she could drive.

7km to the next town takes me like 5 minutes lol.

$400K gets you something nice out here guys and the drive into Melbourne is easy, public transport is pretty decent on VLine, the trains are in good condition and they still have inspectors.

Gisborne and Woodend are a bit over-priced though for what they are, anything on the Calder freeway side is exy.

If you go further out towards Bendigo or on the other sides of Bendigo land is still cheap, and its not far from Bendigo which is the areas I'm looking at for a property when the time comes.

Iggle Piggle · 27-08-2014, 09:11 PM

Out around the Beth they have worked out how to use that 4th bedroom to not only pay for itself but pretty much pay for every other room too.

Choice is do you green thumb

or break bad

**tut0r** · 27-08-2014, 09:17 PM

My dream is to build, my biggest dream is to build in the inner suburbs of Melbourne, can't see myself having 1.5 million to do so in Preston area, but the rougher side of town is cheaper, not to bad considering it used to be a nice part! Maybe in 5 years they'll be forced further out again.

Iggle Piggle · 27-08-2014, 10:38 PM

Probably don't, but I also think you don't understand that you and your family benefit from more than just the half of your old man's tax that pays your pension.

ILLaViTaR · 27-08-2014, 10:49 PM

Quote:

Originally Posted by Iggle Piggle

Probably don't, but I also think you don't understand that you and your family benefit from more than just the half of your old man's tax that pays your pension.

What about finance then?

Let's say he's just started paying 15% smsf instead of 47% into his own family retirement a lot less than 25k/the half! It's almost like me claiming 2 pensions but that's not as bad for some reason. That's a bigger rort than the 30% flat rate for small businesses (17% exemption) but the payg earnier finally get's one little rort for himself so he's not complaining. Instead of 25k out of 50k going to society only around 18k does at 15%.

And you've stretched the truth quite a lot. What you're suggesting would imply is my dads laundering his tax dollars directly into my bank account :S

ILLaViTaR · 27-08-2014, 10:43 PM

Talking about free welfare we could all buy in olivers hill 100k under-market such as this guy did http://house.ksou.cn/p.php?q=Frankst...a=vic&id=47142

Sub divide 12-30k from the equity renovating/painting the initial residence, unit on the back (120k) from the increased equity of the now 2 blocks. 450k later each worth 350k+. 700k+ in equity without a cent/deposit upfront. Come out one year later with mortgage repaid and 300k in hand. Obviously centrelink wouldn't accept you on that income but who would be silly not to trade up to the ultimate welfare that is investment?