Yesterday a person the gym told me that their plumber boss bought a $1.8m house for his son who just graduated year 12.
I thought his boss might be balling, maybe he has a successful business. Nope, the guy has 2 apprentices under him. That's it.
What the fuck is wrong with people? How the fuck are they going to pay for this shit?
Worst case scenario: the bubble bursts, which fucks our 4 major banks, so the Gov is forced to bail em out. So these stupid cunts are rewarded for insanely risky and stupid behaviour. I will fucking rage.
Brody Howard
how the fuck does a plumber afford or even have the credit for a $2M house?
what the fuck
Charles Bailey
house market fucked in Australia too? It's fucked over here as well mate!
Tyler Long
Its fucked everywhere. We are going to see another 2008 level crash again.
Sebastian Ortiz
it got fucked when people started seeing housing as an investment instead of a place to live. You got cunt's living with their parents who own an investment property. I think it's a big reason why people aren't getting married and having kids
Jaxson Thompson
>Aussie house market is fucked Only if you're in Sydney, Melbourne or Brisbane. House prices are actually decreasing here in Perth.
But then again, Perth is a shithole with no jobs and WA is in recession, so housing isn't really affordable for locals either.
Easton Ramirez
Bloody hell, there's an housing crisis going on and governments have the audacity to give Mehmet they keys to a new house?
Daniel Thompson
It's not that hot. Trying to offload a rental in a rural area for $400k and no cunt looking at it. So just using it to get a shit tonne of tax back a year.
Gavin Lee
He owned a property.
That property most likely increased from anywhere from $500k-$1M in the last 5 years.
He used that increase in equity to as a down payment onto the new property. He now leases the property out and the rent more or less covers the payment.
If not then negative gearing.
Holy fuck you are stupid cunt.
Landon Bailey
Leverage. He already "owns" a house and two apartments. So this is 4th property.
Almost certainly none of them are paid off though.
Elijah Morgan
Well australias housing prices were essentially unaffected by the 08 crisis.
>this.
I am 26yr old aussie who lives with his parents (when im not at work back in aus) and i rent out my house so i can just piss away my money while living overseas. I have spent 5 months here in europe at the moment and have no plans to settle down and move into my house, well not that i could, it is locked into a defense force housing contract
Eli Jones
it isn't just cities mate, I grew up in a town of 5,000 and the cheapest place you can buy there is $300,000 and it would be a piece of shit
Chase Diaz
get yourself a trade lad
Jason Foster
From the perspective of the plumber it's not too bad I guess.
>market crash is about to happen in the foreseeable future >get property you could have never afforded on your own >bank on the chaos of the collapse meaning that you can just keep it >even if you can't you managed to live in it for a couple of years and they still won't get their money for that back
Robert Moore
...
James Gray
I am normally heavily against regulations, but for the property market we really do need some stricter ones. The fucking speculation shit needs to end.
Lucas Powell
10/10 door right there mate. Not so sure about the rest.
John Bennett
Bankers still work on the assumption house prices always rise. That means it doesnt matter if billy Bongsmoke defaults in 5 years because you make money on the foreclosure and auction.
Its shit. My old hometown has property overvalued by at least 20% because banks will refuse to allow people to sell at "less than market value". I had to sell my old house because of a bad business debt, bank valued at $450,000 I had a offer of $380,000 which they refused (initially). I insisted on the sale and in the year since prices have slowly dropped to below that level, but sales are still fuck all.
TL:DR: Banks are manipulating a huge bubble, they have too much bad property debt and wont allow prices to fall.
Parker Lewis
who makes fun of aussie posters? You bully any of my kids and you're getting it mate!
Joseph Garcia
Can you take my dick out of your mouth already? I didn't pull my pants down
Cameron Hernandez
If this is happening all around the world, how the fuck are there this many deaf pollies?
Dominic Phillips
Yeah that's not how it works mate.
Anthony Lee
A crash is actually coming in Sydney and Melbourne, I love the aggressive marketing from the banks and state government here in Melbourne. >"There's never been a better time to move to our new designer suburb if you're a happy young couple, we'll give you a loan for a $500k new house (variable interest rate), you only have to pay a $2000 deposit and each earn 30k/year. What could go wrong?" At least some in the federal government are being somewhat honest about the situation and are advising people to go rural and just let the cities implode.
Easton Diaz
This is what gets you 1.8 million in a reasonable part of the country here
Adrian Russell
In Oz the regulations add $100,000s to house prices.
Cunts fucked.
Dylan Campbell
they don't want to do anything about it because they are all invested in the housing market
Lincoln Baker
We're all in for one fucked ride when the housing bubble pops, the tech bubble pops. People are already pissed off, and things are too hot in the ME right now.
Juan Harris
I remember reading that taxes and government costs add around $300,000 to each new house in aus.
Levi Bell
the elephant in the room is all the money coming in from China buying off-the-plan units and pushing the local market values up while no additional infrastructure is built for the incoming Chinese residents. If their boss is true blue then it's ok - I'd rather him have it than those house buying tourists from China that fly over in a group, typically led by ABCs.
Thomas Hernandez
so whats the smart play for someone who doesnt give a shit about real estate and doesnt plan to buy even after a crash
Robert Wood
This is the fucked thing. If you're in the 20-30 range, there probably isn't going to be a pension for you (or you'll be long dead before you can receive one).
So, with this in mind, it's probably a good idea to not pay rent in your old age (which might be ~50% of expenses).
At this rate, these 20-30 y/os aren't going to have homes, and there won't be pension. Things are going to be fucked.
Owen Brooks
Gotta love the cunts who buy property at German universities, where it's already hard as fuck to find an apartment that is actually affordable, without even building anything on it. Just so that their overpriced luxury apartments get more people dishing out money on them. Even better when the public transit system is fucked, car traffic is asinine and dumbass liberal lard students spend half the semester protesting on the fucking train tracks that are the only way to reach the university from outside.
Isaac Murphy
parents bought a house in 2000 for 90k, paid it off in 4 years.
today it's worth 600k. avg house here is worth 475k. here is 50km out of melbourne. 30km from melb houses are over 1 million.
dads salary in the same 17 year period went from 50k to 80k.
tiptoppest of keks to anyone buying a house in this climate, i am perma renting until it crashes.
b-b-but user ur paying 15k a year in rent you would only be paying 12k if you had a 500k mortgage, you're wasting 3k a year!
nah im good fuck off cunt, enjoy your half million dollar loan on a 3 bdr piece of shit with no yard or room for pets.
Alexander Rogers
he is just lying to you.. If I tell you I fucked 6 girls last night would you believe me ?
don't be so gullible
Nicholas Jenkins
yeah my plan is to run a business for a decade or so then bail o/s
Jackson Brown
On real estate sites, when I scroll over new areas of vacant land most of the plans are in mandarin.
It's tragic seeing more and more neighbours' houses demolished then a bunch of Chinamen appearing among the rubble building 3 units on the land and cramming 5 Indian families into those units. Decades worth community culture and history transformed into a Yuan printer in the span of a year.
Isaac Martinez
my parents are total cunts 1st house my mums parents gave them $5000 in 1979 house was $23,000 sold it for $88,000 in 1991 and bought another house for $96,000 and sold it last year for $500,000 and they wont lend me $10,000 for a deposit when I already have $30,000 but the bank won't loan me anything because I don't earn enough
Jonathan Peterson
This one will make 2008 look like a picnic
Andrew Kelly
My understanding is that all you Aussies are rich because of the resource boom. You all worked a couple years in Cooter Pedo for a couple years for $1,500/hr. and are now semi-retired, "flipping" real estate to the Chinese.
Am I wrong?
I got a lot of this from Tim "Sharky" Ward's online posts, if that makes any difference.
Ryan Hall
Years ago i brought a house for my sister, $90,000 for a duplex pair. Remote town, i had the dough an they were up shit creek. Mining boom starts, house now worth $400,000, I sell it to her for the original 90. Place gets up to being worth about $900,000 (Karratha) then the shit hits the fan and prices plummet. My sister declares bankruptcy with the house worth about $120,000, the rest of the equity was previously spent on private boarding school for her kids, Bali holidays and shit.
>She blames me....
Thomas Richardson
i hate these kinds of houses because they dont have more rooms than other houses, just higher ceilings and more floor space. If i want a high priced house it better have a study, drawing room, hunting room, etc.
Charles Garcia
This is not an out of the ordinary scenario in Aussie property market at the current time.
>If I tell you I fucked 6 girls last night would you believe me?
Only if you said you were related to them all Malta. Go catch your fenek
Matthew Ramirez
Only half the people working the mines would have been Aussie. The Jew bosses would have flown in half the workforce to do the job for $5 an hour.
Levi Anderson
invest in shares with strong fundamentals. e.g. woolies, coles, and anything to do with food directly such as bega cheese, dominos pizza etc.. People need to eat, and even in a down-turn people will still buy fast food. Stay away from all the cowboys trying to enter the chinese market though - they are underestimating the "free market" over there. if you build up your holdings using DRPs, you will also increase your distributions and will be able to use it to pay rent. this is a long-term play.
if you think the crash will happen, enter into short positions on banks like Westpac and NAB who took out huge loans from the fed. CBA have enough assets to ride it out (e.g. bonds that they can default on). ANZ are somewhat cushioned due to their international holdings. if a crash happens your shorts will pay off.
other than that, hold some physical gold in case the shit really hits the fan. if bank accounts start getting frozen or the aussie dollar is devalued overnight (these things have happened in other countries over the last 10 years), you'll be glad you had some insurance against the currency.
Caleb Hernandez
I'm from Perth feel bad for Melbournians. Our housing prices crashed due to the death of the mining boom when everyone evac'd the fuck out of Perth economy it's starting to get a bit better. However its pretty boring.
Ethan Roberts
Equity
Parker Moore
What about those of us who don't have so much money to play with?
Josiah Thomas
The big reason why the "chinamen" are here is because of prices in there housing market costs even more over there. We need better regulation for foreign and local investors otherwise it will blow up like Ireland
Isaiah Gonzalez
if you're keen on owning a house you gotta pay it off in 15 years max, because that's about when this bubble pops and you don't want credit exposure or the risk of being foreclosed.
basically working a 2nd job is your only chance if you don't own a small business.
is she retarded? why didn't she sell it anywhere from 400-900k?
reminds me of that price is right game where the yodel guy keeps climbing up the mountain and you always have that one retard that doesn't say stop and he get to the top and falls off.
Austin Jenkins
The bank is (and your parents) actually acting in your best interest.
You'd have to be stupid to borrow for a house at this time on a low solo income and a small deposit, especially when you are having to leech off your parents who would also want their money back.
I'm assuming your master plan is to live comfortably for the next 30 years with less than $1000 in the bank as savings. Good luck. I considered moving the Tasmania so I visited there earlier this year to give the place a scout for jobs and looked at some rentals.
I want to say that 3 quarters of the people I spoke to were from Perth and just moved recently. It was ridiculous, lots of retirees and some young dole bludger/part-time worker types.
Luke Morales
everyone here is related to each other.. got a colleague who got married to a girl who has the same surname as he has.. they never did any DNA testing and now they have a child with down syndrome lol..
Nicholas Roberts
>Woolworths >Strong fundamentals
Kek. Woolies is bleeding money and losing customers to its competitors. Why do you think they had to close Masters and Dick Smith? Big W will be next to fall.
Asher Reyes
Oh god feels bad man
Hudson Rogers
350k will get you that in nice areas of Ohio.
Gavin Price
An Aussie on here once said you were living under Chinese economic subterfuge? Was he right?
Mason Hill
Probably a lot of New Zealanders
Andrew Clark
I make $80,000 a year I should be able to buy a fucking house on an income like that. I don't know if the fact I've never taken out a loan before or had a credit card
Brody Miller
Canada's house market is also fucked. In Southern Ontario and BC, the house prices have gone up up to 25% in one year. Before it was 3%. People are buying and selling like crazy. If it crashes. we are absolutely fucked.
Jayden Diaz
desu I've been tempted to buy some land 3 hours out of melbourne and build a house there
I dunno what I'd do there but it'd be nice.
Adam Hall
According to the Shiller ratio, we're approaching 1929 (Great Depression) levels of fucked.
Parker Martin
Anyone want to buy some tulips?
Wyatt Lee
Traitors the lot them deserve to be on that godforsaken island.
Luis Turner
sounds like the banks know something you don't, which industry are you in?
a lot are going to get completely BTFO by neural networks replacing internal sales and data entry type/office jobs, finance is going to suffer also, advisers, planners, accountants, institutional investors. this will happen sooner rather than later, maybe they figure you won't have a job in 25 years and your skills are automatable.
Gabriel Allen
I'm assuming you're single. The banks are more interested in dual-incomes.
Michael Green
Fucking lol. My wife is half Maltese, that side of her family tree looks quite dubious in certain parts. Nice looking country though I'm looking forward to going there some time.
Daniel Lopez
I was following their rise and fall. I knew that getting into Masters was a bad idea. I couldn't believe they were even toying with the idea to buy into the Good Guys too. They have learnt their lesson and sold off the worst assets. Now they are back to basics which is how it should be and thus its a good time to buy. They are back to pre-GFC levels, which they survived btw due to their low exposure on consumer directional products back then.
Competition is healthy and having learnt from their mistakes, it is likely that they will be able to compete well again as soon as they've balanced this accounts. It has only been recently since they closed Masters after all.
They sold Dick Smith ages ago and did so at a good time.
Matthew Torres
That's exactly how I feel. What the fuck kind of money do you need to be making to afford a house?
Double income (both on almost exactly average wages), no kids, no loans, minimal expenses. How the fuck are the bottom 50% doing?
Dominic Brooks
The banks are deliberately not holding enough capital to survive a crash, their reasoning : "A crash is unlikely so we don't need to".
Guarantee they'll be asking for bailout though.
Nicholas Bailey
>consumer directional I meant consumer discretional items
Jaxson Mitchell
What about GST?
Colton Taylor
Next year, 2019 or 2020 at the latest the Australian housing bubble will burst, it will also cause a global financial crisis, that's how much debt and fuckery is involved in the housing market here.
Nicholas Lopez
Nah, their reasoning is the government won't let them go under, i.e. "too big to fail". And they were vindicated by what happened in the US.
Gabriel Smith
Coworker bougth a house 2 1/2 years ago. Today he wouldn't have been able to afford the house just behind him which is even smaller.
Jaxson Allen
Housing market in sweden is similar and also likely to burst in the upcoming years
Carter Clark
fuck australia. LEAFS are the place to be.
Pricing in vancouver is fucking awesome right now, can get a 4 bedroom in the city for under 500K. Least the Leafs did one thing right with the foreign ownership tax.
Lincoln Bell
>How the fuck are the bottom 50% doing? I assume most of us are trying to apply for a sharehouse with 3 or more people in the dirtiest suburbs and being outbid by Ahmed and Aisha.
Jason Ward
It's not that high, but close.
Christopher Johnson
Pretty much, the ASX 200/300 still hasn't reached the same level it was in 2009 (Exclusive of dividends).
Australia has the biggest property investing culture in the world, just look at shows like The Block.
There is simply no reason as to why our properties should be more expensive than London and NYC, let alone a place like Dallas, Miami, Paris etc.
Benjamin Nguyen
A lot of white collars are in denial about losing their jobs thinking it'll only be the blue collars getting hit by automation.
Joshua Gutierrez
i can drive up the road and get a prefab for 40k. rofl euros.
Mason Gray
20 plus dollars an hour, pull 40 hours a week plus another 10 to 20 for overtime, which is time and a half. Then save for a few months. Not hard.
Anthony Martin
B.C. Only so far.
They've gotta step up their game in Ontario. Every start up conversation is about housing.
Noah Perry
Proxy off Canada.
Luis Robinson
Fug
Eli Perez
Woods Point.
Asher Hernandez
Been to Tassie quite a few times, lovely place, I'm seriously considering moving to Launceston, can get a fairly nice house for $250,000, only problem would be finding a job.
Aaron Martinez
nah mate, i'm in sydney. Its fucked here dude. Canada seriously have it better than us and our dollar is on par.
Caleb Brown
To short the risky banks, open a CFD account and you'll be able to use leverage. It's much cheaper than shorting using other methods. Ensure that you setup automated stop losses so that your position is killed before it costs more than what you can afford - however, push it far enough to avoid flash crashes.
As for holding shares, you'll have to rely on DRPs to build up your holdings in order to keep your trading costs down. You can buy shares every time your savings reach $512. It's not ideal, but it's the best that can be done if you don't have much money to play with. That's why the DRPs are important in this cases since you'll get shares bought in automatically from your dividend payments.
As for bullion, buying silver is useful for those starting out since the lower premiums are easy to reach due to the lower price of silver per ounce. In a low income situation, avoiding coins is best in order to reduce premiums. e.g. ~$30 for 1oz of silver. Once you have 80oz (~2.5kg) you can swap it for gold (you'd get at least 1oz gold without using all your silver).
Parker Martin
What's a dumbarse with no skills, only work casual and $60k in the bank supposed to do before recession?
Jack Campbell
>i'm in sydney I'm sorry.
Colton Bailey
Mrs and I are on about 160k combined, no kids yet, 3 year old cars mostly paid out and 45k in the bank.
Still get knocked back for 500k house in brisvegas...
Owen Ortiz
LISTEN TO BOB KATTER
HE KNOWS WHY PRICES ARE HIGH IN THE LEAST DENSELY POPULATED NATION ON EARTH!
WHY DOES IT COST $500,000 TO BUY 500SQM OF DIRT IN OUTER SYDNEY?
LAND USE RESTRICTIONS!
PIC RELATED!
Joshua Moore
Hookers, coke and rope.
Nolan Rodriguez
Currently renting, it's probably the safest place for me to be considering my wage is fuck all.
Only thing I need to worry about is if my landlord decides to sell out
Jose Baker
Hmm... i wonder what happened the last time we had a boom then a great depression?
Jace Myers
>American architecture
Eli Nguyen
I don't like drugs, barely drink, I don't want to die, but honestly part of does think taking my money to Thailand and wasting my life fucking cheap whores would be something to do while Aus is fucked.
Bob Katter is a legend, I've been putting KAP and Shooter and Fishers as my top 2 for 10 years now, but too many dumb cunts just put 1 for libs or labor and that's it.
William Long
I know old school friends in Sydney who are buying little two bedroom apartments, borrowing another 1/2 mill on the 1. something they've already borrowed, just to do up the bathroom, etc, with the plan of paying just the interest for a decade or so before selling for a squidillion and getting the Fuck away from Sydney.
I think their plans are fucked and it's all going to come crashing down.
Dominic Young
Lol $20 an hour. Try atleast 50. Electricians charge like $100 an hour.
Christopher Lewis
HAHA m8, i do believe you, but the circumstances in Australia are much worse off!!! Our population is smaller and so is our economy, making it much harder to rescue ourselves if the bubble bursts, compared to Britain which has Indian and other commonwealth support.
I mean, I am from a tiny rural town in NSW, Aus no more than 100k people here... the properties here are overpriced too... 4 bedroom house- 1.2 million. If the bubble was to burst all of Aus would be fucked, unlike Britain which doesn't have as many rural towns.