Now that property bubble has been acknowledged, I find it amusing that there could be losses of between 5% -15% according to the talking heads on tv.
How about there will be losses of 60% to 80% when prices return to their historic fundamentals of price-earnings ratios, rents to income ratios and banks not lending more than 3X average salary. And let’s not forget that the annual salary is around $52k as per ATO figures (the sum of 12 million group certificates divided by 12 million) and not of the ‘adjusted to fantasy’ ABS figures of almost $80k.

Now that property bubble has been acknowledged, I find it amusing that there could be losses of between 5% -15% according to the talking heads on tv.

How about there will be losses of 60% to 80% when prices return to their historic fundamentals of price-earnings ratios, rents to income ratios and banks not lending more than 3X average salary. And let’s not forget that the annual salary is around $52k as per ATO figures (the sum of 12 million group certificates divided by 12 million) and not of the ‘adjusted to fantasy’ ABS figures of almost $80k.