Society/Culture Australian Property Prices to Crash?

[HirdsTheWord]

Again, bagging yourself out for playing along with the rules. If you are so against it, dont claim the loan interest as a deduction or any deductions for that matter.

Again, I didn't say people should me making ZERO deductions. Though if that's what what is required to stem the increase I am happy to do it. will you join me?

I'm not sure I have the capital interests to make the market change on my own, kinda why I said it needs to be driven by the government so all investors take the hit.

 

[FRUMPY]

Again, I didn't say people should me making ZERO deductions. Though if that's what what is required to stem the increase I am happy to do it. will you join me?

I'm not sure I have the capital interests to make the market change on my own, kinda why I said it needs to be driven by the government so all investors take the hit.

I dont own an investment property - but its interesting you call people selfish for thinking of themselves and yet you claim all deductions to make your properties, presumably, negatively geared - which would appear to be the selfishness you speak of

 

[HirdsTheWord]

I dont own an investment property - but its interesting you call people selfish for thinking of themselves and yet you claim all deductions to make your properties, presumably, negatively geared - which would appear to be the selfishness you speak of

your clearing missing the point.

I have never said once in this thread that people should go now and drop all their investor tax deductions. All I have said is that the government & the RBA should be imposing further tax restrictions on investors like me. It would be a nice world if the government never let the Housing Market turn into a money making scheme, but that ship has sailed obviously.

I have openly said I am happy to lose or decrease the investment tax benefits you have outlined in order to stem the housing price increases. others are clearly not. The mere fact that the ABS are forecasting that Investor Loans will Out Number First Home Buyer loans shows the inequality in the system.

And again you are wrong. People are not Selfish for Investing as the laws and policies allow them, they are selfish for unwillingness to think about what people who are already in the market can do to help others buy in the future, IE we take a hit to make sure we don't create a market that is over heated for others. As you can see the mere suggestion in here of losing investment tax benefits has people riled up.

Considering the term Selfish means lack of consideration for others, it would seem a very good word for most in this thread. Not a single person has provided a better solution than me to help the issue, they just attack and call me a virtue signaler for what? Because i'm willing to lose tax benefits to help others have a chance at affording their first home? * me dead.

Oh well, * it, ill just join in with everyone else.

First home buyers can either just get help from mum & dad or live hours away from their work & family. What a society we live in.

 

[CatFan79]

First home buyers can either just get help from mum & dad or live hours away from their work & family. What a society we live in.

27,000 people left Melbourne in the last year, maybe they're on to something...

 

[HirdsTheWord]

27,000 people left Melbourne in the last year, maybe they're on to something...

You mean escaping COVID?

Have Australians fallen out of love with Sydney and Melbourne?

Figures show Australians are moving out of the large cities in search of a better quality of life.

www.bbc.com

 

[Taylor]

It sounds like there's a market for "first homes" that have one and a half bedrooms, one bathroom and combined laundry kitchens in about 30m2. Far cheaper, obviously, not all that nice but it's a step on the ladder.

 

[undefined]

27,000 people left Melbourne in the last year, maybe they're on to something...

Yep, 90% of whom moved to the same region in Queensland.

 

[CatFan79]

You mean escaping COVID?

They're not coming back.

It sounds like there's a market for "first homes" that have one and a half bedrooms, one bathroom and combined laundry kitchens in about 30m2. Far cheaper, obviously, not all that nice but it's a step on the ladder.

Sorry.. First home buyers cannot be expected to buy anything but a 3+ bed home within 50kms of the CBD... 'We' need to make that happen.

Yep, 90% of whom moved to the same region in Queensland.

Sure mate.

 

[undefined]

Sure mate.

Not even kidding. It's fcked.

https://www.domain.com.au/news/suns...remote-workers-swap-traffic-for-sand-1049707/

 

[owen87]

within 50kms of the CBD

Gisborne is a pretty nice spot these days

 

[CatFan79]

Not even kidding. It's fcked.

https://www.domain.com.au/news/suns...remote-workers-swap-traffic-for-sand-1049707/

Yeah interesting isn't it.. Locals will get priced out but that's just what happens when an area becomes popular. People have to adjust.

As much as the Melbourne Mayor and other peanuts are trying to deny it, the days of 9-5/5 days in the office and having to travel to CBDs to 'shop' are done. This is a good thing.

No doubt commercial property owners are lobbying the mayor and state govt to 'push' people back into the office but it's not working...

 

[Chief]

It sounds like there's a market for "first homes" that have one and a half bedrooms, one bathroom and combined laundry kitchens in about 30m2. Far cheaper, obviously, not all that nice but it's a step on the ladder.

Are those unit blocks in Sydney still empty?

 

[Taylor]

Are those unit blocks in Sydney still empty?

The ones with the engineering irregularities?

 

[Chief]

The ones with the engineering irregularities?

Melbs in 2015:

Almost 20pc of Melbourne's investor-owned homes empty

Nearly one-fifth of all residential properties owned by investors in Melbourne lie vacant, held by landlords who do not occupy them or put them onto the rental market.

www.afr.com

Melbs in 2020:

Melbourne empty homes up 13pc in two years

The latest water-usage data by Prosper Australia shows more vacant properties, but this could just reflect the development cycle.

www.afr.com

Vacant property tax "built to fail" with self-reporting never checked.

69,000 "ghost homes" in Melbourne:

Melbourne's 69,000 'ghost homes' add to housing affordability woes

Landlords are leaving thousands of residential properties empty across metro Melbourne as property prices defied predictions of double-digit falls and notched gains in November.

www.theage.com.au

Many owners, like Matt Doran, who has since put his three bedroom Blackburn home on the market, are simply unaware of the state's vacant residential land tax, introduced in 2018, for which they are now required to "self-report".

"We pay land tax on our second property, but I've never been made aware of it [the vacancy tax]," Mr Doran said.

"Who would even know about this, especially because it's a voluntary system," he said.

 

[Kwality]

I never said people needed to make cash donations to others.

I simply said id be happy to lose my investment tax advantages if it means that first home buyers, or others who are owner occupiers had a better chance of buying a house. I can easily just invest elsewhere as I would be less inclined to remain investing in property. I am not a selfish arsehole like most of the others in this thread who already own property.

I am very fortunate in life. I have worked hard and reaped the benefits.

Younger people who work just as hard as me are being f’ed over, simply because they weren't born at the same time as me.

I can see the forest for the trees, you seemingly just see it for the $, cause you don't give a sh*t about anyone else.

These tax advantages you have, are they a form of saving, say 50 cents in the dollar, or are you on the positive side of what was a negative geared investment.

Not everyone has a secure job with their super cranking up week by week. Our current Super system is anything but equitable, and those making sacrifices to build wealth outside Super are not the super rich many seek to paint them as.

 

[Taylor]

Melbs in 2015:

Almost 20pc of Melbourne's investor-owned homes empty

Nearly one-fifth of all residential properties owned by investors in Melbourne lie vacant, held by landlords who do not occupy them or put them onto the rental market.

www.afr.com

Melbs in 2020:

Melbourne empty homes up 13pc in two years

The latest water-usage data by Prosper Australia shows more vacant properties, but this could just reflect the development cycle.

www.afr.com

Vacant property tax "built to fail" with self-reporting never checked.

69,000 "ghost homes" in Melbourne:

Melbourne's 69,000 'ghost homes' add to housing affordability woes

Landlords are leaving thousands of residential properties empty across metro Melbourne as property prices defied predictions of double-digit falls and notched gains in November.

www.theage.com.au

Have you looked into Chinese investment motivations before? They have entire cities that are built and left vacant not as a means of simply inflating GDP but so that families can compete for the love interests of families that had a daughter.

So I think we are seeing a fair bit of that here too. Purchases for the purpose of a resume. Not intended as rental or otherwise occupied property.

 

[Royal Flush]

27,000 people left Melbourne in the last year, maybe they're on to something...

They're all coming to QLD.
Housing market is madness.
I just sold last week.

On Pixel 4 using BigFooty.com mobile app

 

[HirdyLannister]

Gisborne is a pretty nice spot these days

How am I ment to get my deconstructed smashed avo in Richmond from Gisborne?

 

[owen87]

How am I ment to get my deconstructed smashed avo in Richmond from Gisborne?

Uber Eats it. Obviously.

 

[CatFan79]

Have you looked into Chinese investment motivations before?

All those vacant properties are Chinese owned.

We could implement a 'racist' policy of not allowing overseas investors to inflate our property market in this way...

But I'd feel for the cognitive dissonance cases on the left side of politics if we did such a thing.

 

[CatFan79]

How am I ment to get my deconstructed smashed avo in Richmond from Gisborne?

Surely you could find a used syringe somewhere to kick down 'Main st' Gisborne. You'd feel right at home.

 

[Taylor]

All those vacant properties are Chinese owned.

We could implement a 'racist' policy of not allowing overseas investors to inflate our property market in this way...

But I'd feel for the cognitive dissonance cases on the left side of politics if we did such a thing.

I've suggest here that we should be making better use of that demand.

The Chinese want to own property, it doesn't have to do anything for them. They will pay a lot of money to own luxury apartments, those apartments can fund the construction of more modest homes below them in the tower block knowing that the parking under will be very open.

We should be to welcoming Chinese money to fund our building industry with the caveat that these homes aren't allowed to be rented to locals. Which is what they do already, so it doesn't impact the market at all except to bring new homes into creation and if these are all modest/small first homes then it fixes that end of the market without drawing down 10% of the market value of everyone else - which is worth way way more than the cost of building those homes.

 

[CatFan79]

I've suggest here that we should be making better use of that demand.

The Chinese want to own property, it doesn't have to do anything for them. They will pay a lot of money to own luxury apartments, those apartments can fund the construction of more modest homes below them in the tower block knowing that the parking under will be very open.

We should be to welcoming Chinese money to fund our building industry with the caveat that these homes aren't allowed to be rented to locals. Which is what they do already, so it doesn't impact the market at all except to bring new homes into creation and if these are all modest/small first homes then it fixes that end of the market without drawing down 10% of the market value of everyone else - which is worth way way more than the cost of building those homes.

Too much work, just get rid of negative gearing.. That'll solve the problem.

 

[Deliverance]

It sounds like there's a market for "first homes" that have one and a half bedrooms, one bathroom and combined laundry kitchens in about 30m2. Far cheaper, obviously, not all that nice but it's a step on the ladder.

The only issue with this is the costs involved in relocating, that don't come with tax benefits that investors get.
At some stage, when they have kids, the need a bigger home, not a mcmansion. Then there's stamp duty, agents fees, etc.

 

[Deliverance]

Have you looked into Chinese investment motivations before? They have entire cities that are built and left vacant not as a means of simply inflating GDP but so that families can compete for the love interests of families that had a daughter.

So I think we are seeing a fair bit of that here too. Purchases for the purpose of a resume. Not intended as rental or otherwise occupied property.

Yep, people in my area buy homes, not to rent or live in, but as status symbols to show their friends back in China.