By: jaymarcel
18/08/2009
3:45 pm Yahoo! Profile:
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Hi rodney, interesting post & a good point. As you know my views are not in line with this thinking though. I see a mortgage as a good way of saving, or should I say not spending on stuff that is not needed, as we all know the more you earn the more you spend & this also transposes to the more you have in the bank the easier it is to buy excess stuff you don't need, as in fast food / smokes/alcohol (for me its magazines, for the girlfriend its shoes & handbags). Now if you have a mortgage this tends to tie up that easy to spend cash which is usually wasted, getting plastered rather than just having a couple of beers or eating out everyday of the week rather than once a week or buying every magazine instead of your favorite.
And in 20 years max you have a free place to live that if your lucky has also gone up in value. Now this is when you can waste as much money as you like or even work less hours, start this at 20 & at the age of 40 your in total control & remember that your mortgage repayments also go down over time so each year will get easier & free up more cash. |
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By: rodneysaviour2
18/08/2009
2:21 pm Yahoo! Profile:
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The Government`s Financial Carrot
Some, (including myself) shall indeed benefit greatly from the continued rise in interests rates. However, many others shall suffer greatly as a result.
The sad fact is that the efforts made by government to keep money flowing through the economy in the short term shall in fact result in less money circulating in the long run.
Most obvious is that those on relatively low incomes who would otherwise have avoided entering into long term and significant debt, (read take out a mortgage) were greatly encouraged to do so by the offer of a financial incentive presented in the most attractive means possible by the government.
As has been posted here previously by steve_b_wilson and others, though this incentive was "marketed" as one that would benefit the individual it was in fact one that was wholly designed to benefit the country at the expense of the individual.
However. Though it could be said that this "GET YOURSELF INTO DEBT" incentive has indeed prevented an immediate and catastrophic collapse in the property market and has also therefore, (to some extent) staved off the perils which would be associated with such collapse in the long term it has done much to ensure that many members of the populace shall be fighting to support their own lifestyle much harder than they would have otherwise have had to.
Simply put. As the cost of loans,(mortgages) rise significantly in the next 12 months or so, those who "grabbed the financial carrot offered by the government" shall find that more of what they earn will have to be committed to paying off what they now earn. Many shall be forced to sell at a loss..The property market shall crash.. Retail shall suffer and unemployment shall rise.
Without doubt I believe that we shall all start to see the truth in steve_b_wilson`s cry -
AUSTRALIA - ECONOMIC DISASTER LOOM! |
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By: rodneysaviour2
18/08/2009
2:20 pm Yahoo! Profile:
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The Government`s Financial Carrot
Some, (including myself) shall indeed benefit greatly from the continued rise in interests rates. However, many others shall suffer greatly as a result.
The sad fact is that the efforts made by government to keep money flowing through the economy in the short term shall in fact result in less money circulating in the long run.
Most obvious is that those on relatively low incomes who would otherwise have avoided entering into long term and significant debt, (read take out a mortgage) were greatly encouraged to do so by the offer of a financial incentive presented in the most attractive means possible by the government.
As has been posted here previously by steve_b_wilson and others, though this incentive was "marketed" as one that would benefit the individual it was in fact one that was wholly designed to benefit the country at the expense of the individual.
However. Though it could be said that this "GET YOURSELF INTO DEBT" incentive has indeed prevented an immediate and catastrophic collapse in the property market and has also therefore, (to some extent) staved off the perils which would be associated with such collapse in the long term it has done much to ensure that many members of the populace shall be fighting to support their own lifestyle much harder than they would have otherwise have had to.
Simply put. As the cost of loans,(mortgages) rise significantly in the next 12 months or so, those who "grabbed the financial carrot offered by the government" shall find that more of what they earn will have to be committed to paying off what they now earn. Many shall be forced to sell at a loss..The property market shall crash.. Retail shall suffer and unemployment shall rise.
Without doubt I believe that we shall all start to see the truth in steve_b_wilson`s cry -
AUSTRALIA - ECONOMIC DISASTER LOOM! |
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By: no.vice
14/08/2009
11:24 pm |
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By: jaymarcel
13/08/2009
7:06 am Yahoo! Profile:
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The recovery is here, get ready for sharp rises in interest rates in 12 months & beyond.
If you haven't invested by Christmas you have probably left it too late to get the big gains. |
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By: economicdisasterlooms
13/08/2009
5:10 am |
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By: jaymarcel
3/08/2009
9:58 am Yahoo! Profile:
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Looks like the recovery is here & we didn't even hit recession territory.
Let the good times continue to roll. |
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By: economicdisasterlooms
1/08/2009
6:52 pm |
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By: jaymarcel
16/07/2009
6:42 am |
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By: jaymarcle
15/07/2009
10:20 pm |
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By: jaymarcel
13/07/2009
7:30 am Yahoo! Profile:
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| Steve I'm now starting to see why you got your IDs banned, you must of lost everything in this collapse to be so desparate to keep repeating this rubbish on every forum with your many IDs. |
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By: steveb_wilson1
12/07/2009
11:43 pm Yahoo! Profile:
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Oh for goodness sake HECKLER, (A.K.A. wealthforlife@rocketmail. com & numerous other FAKE ID`s)..
As you know only too well..
The worst has yet to come!
You see, though we may have at first escaped the worst effects of the financial storm which more severly ravaged many other countries the efforts made by our government to soften the blow of the economic disaster have layed the foundation for a long and drawn out painful economic crisis.
The "Golden Days" of prosperity for us here are well and truly over!
Increases in the number of people unemployed along with the already rising interest rates charged by banks for loans shall contribute to what I and others have been encouraging others to realise before it is too late for them to secure their financial futures...
AUSTRALIA - ECONOMIC DISASTER LOOMS
Only those who have the means to take action that shall result in their being able to secure their personal finances and so their future financial security shall avoid the worst of the recession. |
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By: wealthforlife@rocketmail.com
11/07/2009
12:03 am Yahoo! Profile:
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What a load of bunkum someones been posting all over these message boards under about 10 different IDS.
They tell people to save save save etc.
That is the craziest thing I have ever read on these boards.
You all need your heads examined.
The worst thing to do when the economy is in a downturn is to stop spending.When people stop buying products,businesses go broke,people lose jobs and the whole system collapses.
You are a bunch of self serving idiots with hidden agendas,one of which is to see Australia fall apart at the seems. |
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By: steveb_wilson1
10/07/2009
8:47 pm Yahoo! Profile:
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Hi everyone!
Do not be confused or upset...
But when you are told that "all is well with the economy & now is a time to buy property"...
Laugh and say to yoruself..
Man! I aint going to believe that ... No sir! Not for one milisecond!!
For who in their right mind would seek to BUY property while all the people who make money in the industry, (property investors) are SELLING as fast as they can find a buyer...
And discounting heavily in many cases to get that sale as well!!
Think hard on this now if you are contemplating a purchase of aproperty. For it may be your last chance to avoid years of debt and the resulting hardship for yourself and your family. |
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By: haveanicedinner
9/07/2009
1:30 am |
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By: rickdanny@ymail.com
8/07/2009
6:42 pm |
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By: theygotbannedhaha
8/07/2009
3:31 pm |
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By: jaymarcel
8/07/2009
7:48 am Yahoo! Profile:
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Good morning all,
While I've been away I see more people advising not to buy property, well my advice is dont buy shares! If we look at history & who the panicers are at the moment we notice the sharemarket players are scared of spending due to their big losses over the past year.
Where as the people in property are just buying more property (this is what is happening in Brisbane anyway). Property investors are seeing that following a fall of 5% - 10% in the property market over the last 6 months now is a great time to buy more property & lock in a long fixed rate & watch the supply/demand is do the rest. Property prices will rise & rent will rise, what financial position would you like to be in 2015, still renting at higher costs or living in your own home with 5 years paid off your mortgage.
As many have said on here the recovery will all be about Asia & we all know how this affects Oz, more $$$ |
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By: ricky.rollings
7/07/2009
7:52 am |
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By: pattheobserver
30/06/2009
4:14 am Yahoo! Profile:
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| I think the politions are greedy by giving themselves a rise in pay, our workers do not get the previlege of receiving a pay rise when they need it. |
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By: vincenthavelundstephens
29/06/2009
11:33 pm Yahoo! Profile:
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mentawaisurf
I am surprised at the suggestion that our banks are over leveraged, I suggest Professor Hewson has his own agenda. He has never recovered from his Political debacle, boy that bloke sure carries a grudge a long way.
I agree our big four banks have an advantaged position and dont really compete in the market place. Like it or not the banks are the reverse lacky for the Govt; to hide behind and blame for every indescretion, thats the nature of Politics.
I dont agree that the loan books are being filled with debt that cannot be serviced, but I do agree that the Govt is betting on these new borrowers and have led them into a high leveraged debt trap. The Govt has gambled on the versatility of our youngsters to work like hell and get through what ever happens.
The commercail money exposure is leveraged down to 60,65% tops 70%; and this market has to recover first for our economy to really rebound. A percentage of the stimulous money should have been spent to ensure these businesses are well funded, and contributers to the consolidated income. Infrastructure makes the Govt; look good, but I wander in the unusual circumstances we have at present, whether the mix is wrong.
I take umbrage with the good professor and note that economists rarely get their projection right.
Having said that, yes our banks are a bunch of parasitic imbeciles sheltering under Govt stupidity. Vince |
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By: mentawaisurf
29/06/2009
12:22 pm Yahoo! Profile:
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Australian banks are among the world's most highly leveraged - only 50% of funding comes from deposits. And the government bowed to their pressure when the GFC hit with a 100% deposit guarantee, the backing of the government's AAA rating in bank borrowings, Rudd Bank to eliminate their commercial property exposure, access to cheap money from the Future Fund, and a drop in interest rates of 4.25 percentage points. And what did the big four do in response? Rip market share from smaller players, increase business lending rates and, now, mortgage rates.
From an article 'Exploitation by our privileged banks' by john hewson in The Australian Financial Review.
Such actions by our banks only benefits a few key executives, who are already overpaid, and shareholders. When our banks start writing-down the next wave of bad loans, triggered by the weight of record levels of highly over-leveraged LVR loans written to FHB over the last year, they will again lobby the government to bail them out - all in the national interest of course. But for how long can they get away with playing this game? At some point the tap of taxpayer support will be truned off and the banks, and especially their shareholders, will be held accountable for their irresponsible and incentive fueled lending. That turning point may not be too far off on the horizon. |
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By: jaymarcel
29/06/2009
7:09 am |
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By: steveb_wilson
27/06/2009
10:13 pm |
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By: vincenthavelundstephens
25/06/2009
9:53 am Yahoo! Profile:
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Hi All, I notice derogatory comments here about Kiwi's this stirred my memories of the 1980s. NZ Prime Minister of the time (Piggy Muldoon) while being hassled by the Aussie media when he was on a visit commentted as follows. Every Kiwi that comes to this country improves the mental and physical situation of both our countries populations.
I wonder if he also meant that every Aussie that settles in NZ the reverse happens.
There are more Aussies in KIwi pro rata to poulation size than the reverse.
I note that since the dole in NZ is lower than Aussie there is probably a better class of Aussie going to NZ than the reverse. You Aussies should work all that out if you are smart enough.
There is a glut of wealthy Yanks and and Poms settling in the Sth Island of NZ, and a previous long serving premier of NSW (Carr)bought a large holding there while he was still in office.
Having said that I have been here for forty years and have a direct family here of 21 wonder where we stand?
Oh Firefly, I dont research who owns what name, its not my problem its theirs, Cheers Mate, Vince |
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