Recent content by Mofra

A source of cheap credit is a primary motivation for quite a number of people. NG is really just a by product of investment in any asset class that is completed via credit, and residential property offers the cheapest credit.

So you're effectively forecasting tens of thousands of opportunities to purchase positively geared properties? Sign me up!

Yep - everything (rental yields, gloabal warning, Wayne Carey etc.) is all Gen Y's fault. FWIW no politician will ever be bold enough to commit political suicide by bringing in policies that have a direct & large effect the capital return from residential property, so for the most part...

If your proposal is given the green light by the accountant, surely a Variation to trust deed to change the primary beneficiaries would suffice? Would the ATO allow losses to be transferred along with the beneficiary arrangement?

If that is true, it will make the purchase affordability worse by attracting banks & super funds (who traditionally avoided residential property) which will increase demand.

They are still the largest securitiser by volume in Australia. To be fair, I think most of your anger is a direct result of a lack of understanding of the lending & securitisation process in Australia. Why should any company have an obligation to make a loss on a transaction? If your argument...

Why should they make a loss on loans just because they have other successful arms of the business? Most banks already make a loss on over half of their loan book. We could go back to the 80s when 2% profit margins on loans was the norm, home loan customers subsidised deposit account holders...

... however they are making a loss on their mortgage operations which is why they are shutting it down & sacking 150+ staff.

Bingo. Most savvy investors see resi property as a vehicle for cheap credit, with that credit being used in higher yielding areas. The some aim of investing only in residential property isn't one shared by many high net worth individuals I have dealt with personally. Even the most strident...

The earnings may be higher, however the spending power of the savings is being eroded quicker in a high-inflkationary environment, and throw in tax rates and to just break-even in real terms is doing fairly well. You are correct, I doubt anyone who is without a mortgage would really be happy...

Kegger, Is it a corporate trustee arrangement? If not, trusts aren't registered onto the mortgage outside of Qld & the territories so there may not be too much point. If so & you choose to purchase under a corporate trustee later, you can still X-Coll as you will have to provide a...

You are correct; yet rational, balanced journalism doesn't sell papers ;) The rental crisis is not caused by landlords - it is caused by having too few landlords.

Of course the RBA wont solve the housing crisis - it's not their role. They are responsible for monetary policy and have one big fat stick to prod inflation around with - interest rates. They have a responsibility the the macro-economy, not to merely the residential property market in isolation.

Surely if there was ever a case of phoning in an article, this was it. He must be doing well if stating the bleeding obvious passes for advice these days.

I love Melborune weather, when living in Sydney, Canberra etc. I really missed it. It is hot in summer and cold in winter. Weather is meant to be like this. Only reptiles would be happy in perpetual sunshine, not to mention missing out on a variety of cuisine & wine styles by living in a...