SA Footy

Who you going to vote for...?

$900 Rudd..?

No Way for me.

Mr Rudd, What are you doing to our FUTURE

I will Never vote Labour AGAIN

Whoops moderators,

sorry, should be in politics thread...

And 6 years to get out of this debt...cant say "I told you so".....I was waiting for this!!!

whoever was in power whilst the markets all plummeted was always gonna cop it...

I'm stoked Howard is gone- plus my home repayments are the lowest they have been, so its not all bad...

southee wrote:And 6 years to get out of this debt...cant say "I told you so".....I was waiting for this!!!

Yes, this Labour government is going to preside over huge public debt. However, the previous liberal government presided over a huge increase in private debt, (and if anything implement policies to encourage it, eg large easing of capital gains requirements on property investment) under the supposition that it was supposedly creating "wealth". The increases in our personal private debt versus GDP per capita (hope I got that right) have risen astronomically and also outstrip the US and UK.

to early to tell. I also think that whoever was in power during the GEC was going to cop it and it is going to take time to see if swannie and ruddys measures work or blow up in their face. imo better that they try to do something now then sit on thier hands and just wait for problems to happen. At the very least they are going to be accountable to all voters for thier actions.

Paul Keating would not have run up so much debt so fast in these circumstances.
As much as I wasn't fond of him for his arrogance, he was right in that.

We are now seeing the traditional Labor pattern:
1. Given an excuse to break committments given before the last election, throw money around.
2. When the bill comes in apply "fiscal policy" that drives inflation, then stagnation as interest rates rise.
["Make the rich pay!" is very good for stifling business while keeping the public behind you.]
3. When that has happened assert the previous governments policies made it inevitable and unavoidable.

There is money to be made though - buy property while the market is low, ride the inflation, sell before the rising interest rates get you, a la 1984-87.

Psyber wrote:There is money to be made though - buy property while the market is low, ride the inflation, sell before the rising interest rates get you, a la 1984-87.

Interesting to note that the Australian property market has dropped more markedly in its first year after starting to fall from its' peak than the US market did. Bet you won't read that in the Advertiser.

FlyingHigh wrote:

Psyber wrote:There is money to be made though - buy property while the market is low, ride the inflation, sell before the rising interest rates get you, a la 1984-87.

Interesting to note that the Australian property market has dropped more markedly in its first year after starting to fall from its' peak than the US market did. Bet you won't read that in the Advertiser.

Yes. Though there are places in the US where it has dropped more dramatically than others, and as I have been watching the UK property market I have noticed some dramatic drops there over the last 18 months. The phenomenum you describe may arise because their markets had already dropped before the crisis became apparent and our market was still rising.

I suffered only a 2.5% drop on expectation 6 months earlier on selling my Melbourne property early this year, but I was lucky - most offers were more like 7.5% down.
In SA I bought just over 12% lower than the price the agent had told the vendor to expect 2 months before I came along.

My Adelaide experience is that the market here is more volatile than in Melbourne - when prices rise everybody get ambitious and starts looking for Melbourne and Sydney prices and then the market falls over for a while. There have been 2 or 3 occasions in Adelaide when property I have bought has, for 2 or 3 years, looked like I would struggle to get my money back, but I've usually been in a position to wait for the next local boom period. One was a property bought in the late 1970s which in 1982 would have lost me money to sell, but I got back double what I'd paid in mid 1984.

Dog_ger wrote:Who you going to vote for...?

$900 Rudd..?

No Way for me.

Mr Rudd, What are you doing to our FUTURE

I will Never vote Labour AGAIN

5 credit cards was it????

Figures that were released by the ABS yesterday confirm that the Government's second stimulus package has again worked with a record 19.3 billion dollars in spending in March. Then the ABS released the new employment figures today and unemployment is DOWN from 5.7% to 5.4% for the month of April when economists had predicted a rise to 5.9%. It's the first fall in unemployment figures since August last year. In April full-time employment rose by more than 49,000 with part-time jobs falling by 21,800. With total employment up by 27,300 when economists had predicted employment to fall by 25,000.

In other words, nothing to see here folks!

Psyber wrote:

FlyingHigh wrote:

Psyber wrote:There is money to be made though - buy property while the market is low, ride the inflation, sell before the rising interest rates get you, a la 1984-87.

Interesting to note that the Australian property market has dropped more markedly in its first year after starting to fall from its' peak than the US market did. Bet you won't read that in the Advertiser.

Yes. Though there are places in the US where it has dropped more dramatically than others, and as I have been watching the UK property market I have noticed some dramatic drops there over the last 18 months. The phenomenum you describe may arise because their markets had already dropped before the crisis became apparent and our market was still rising.

.

Sorry Pysber, should have included in my post "from their respective peaks".

FlyingHigh wrote:

Psyber wrote:

FlyingHigh wrote:

Psyber wrote:There is money to be made though - buy property while the market is low, ride the inflation, sell before the rising interest rates get you, a la 1984-87.

Interesting to note that the Australian property market has dropped more markedly in its first year after starting to fall from its' peak than the US market did. Bet you won't read that in the Advertiser.

Yes. Though there are places in the US where it has dropped more dramatically than others, and as I have been watching the UK property market I have noticed some dramatic drops there over the last 18 months. The phenomenum you describe may arise because their markets had already dropped before the crisis became apparent and our market was still rising..

Sorry Pysber, should have included in my post "from their respective peaks".

I don't know about various countries official drops, but I suspect all the estate agents are fudging trying to keep it looking good and reported figures everywhere look better than they really are.
I had been watching the UK Market closely from late 2007 until my wife's death in October 2008 because we were planning to buy in the UK and stay some time on my "Right of Abode".
I couldn't find anything I'd be prepared to live in south of Nottingham for under GBP300K then, but recently I've found several similar suitable houses in Kent for around GBP169K. That is a big drop.

Condolences Pysber.

I like following this web-site http://www.bubblepedia.net.au. One of the main contributors on there has followed the fall from the peaks. (BTW, I read, but don't contribute to, that site).

FlyingHigh wrote:Condolences Pysber.

Thanks. It has been a difficult time - my sister became ill in 2003, and my wife's health was damaged by recurring pneumonia due to an antibiotic resistant bug in 2004.
My sister died in April 2007, my mother in December 2007, and my wife in October 2008. However, I am getting on top of it now..

FlyingHigh wrote:I like following this web-site http://www.bubblepedia.net.au. One of the main contributors on there has followed the fall from the peaks. (BTW, I read, but don't contribute to, that site).

An interesting perspective, but I think it is as much shaped by bias as the real estate web sites are in the other direction.
My sister did make herself a millionaire in real estate in SA, and [very wisely] left it to me, as she had no children.
I have also made profit myself over the years at rates greater than inflation.
In the end population growth drives demand, and inner city housing has to rise by more than CPI because of that.
However, it is possible to make losses if you get the timing wrong, and I did drop $25K on a house in 1997 - I got my capaital back but lost on fees and interest costs.

FlyingHigh wrote:I like following this web-site http://www.bubblepedia.net.au. One of the main contributors on there has followed the fall from the peaks. (BTW, I read, but don't contribute to, that site).

An interesting perspective, but I think it is as much shaped by bias as the real estate web sites are in the other direction.
My sister did make herself a millionaire in real estate in SA, and [very wisely] left it to me, as she had no children.
I have also made profit myself over the years at rates greater than inflation.
In the end population growth drives demand, and inner city housing has to rise by more than CPI because of that.
However, it is possible to make losses if you get the timing wrong, and I did drop $25K on a house in 1997 - I got my capaital back but lost on fees and interest costs.[/quote]

I agree that the comments on the headlines have been become a bit sarcastic, facetious, self-righteous or whatever over the last few months which has probably spoilt the site, but there is also a lot of work done to show the true perspective of what is going on with housing that the mainstream media wouldn't dare printing.

FlyingHigh wrote:..I agree that the comments on the headlines have been become a bit sarcastic, facetious, self-righteous or whatever over the last few months which has probably spoilt the site, but there is also a lot of work done to show the true perspective of what is going on with housing that the mainstream media wouldn't dare printing.

Among the media conglomerates, the newspapers get a lot of revenue from Real Estate advertising, and the agents are keen to prop up prices [and commissions] so they wouldn't like the newspapers saying the opposite, nor their associated other media.

On the other hand, the prophets of doom expected the big collapse on late 1987 and early 1988 to be worse and last longer than it did - it was going to be the next great depression.
I must admit I was fooled, and waited a bit too long to climb on board for the rally that time.
Three months ago I thought this one was going to be big, but now I think it is going to bounce back within this year.
It all looks very like the 1980s again. [I don't think the stimulus packages have had anything but short-term effect.]

For every issue there are those who exaggerate it in their preferred directions for their own reasons, be it commercial gain or simple prejudice.