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How much have you saved? In what time period? The problem's not the market, it's lack of brains and ability.

I saved a 70k deposit for my first home, on a graduate salary. It took three and a half years of very simple living. I was earning $29k a year at the start of the saving period, and managed to increase this to about $56k a year by the end of it. I shared a small townhouse miles from anywhere...

Agreed. Making a short term loss is simply a step along one path to future gains. Making a deliberate loss for the primary purpose of reducing or avoiding tax is illegal in Australia.

So what? Garbage. Houses don't stay negative geared - they become more and more positive over time. You buy an investment property to use it as a powerful investment asset, not just to flip it. You clearly don't understand how property can be used as an investment. (Some people even use...

No, it's not a legal technicality. It's reflective of the cost of holding an asset (depreciation) in order to gain both yield and long term capital gain. You're just sprouting uninformed rubbish. Besides, without negative gearing, who would provide housing to millions of Australians? Many...

They'll probably sell out, leaving yet more bargain deals for investors with half a clue to capitalise on.

Should we also remove the ability for businesses to deduct their expenses? Any idea what that would do to the economic landscape of this country. I've tried to engage with you to help you understand how property investment works, but when you come back with rubbish comments like today, I...

It really seems that this is the single thing that many people just don't understand.

Two things here. First, what do you think the Australian Government is doing, right now, to 'prop up the housing market'? There are some state stamp duty reductions, but not a lot else. FHOG is business as usual. Second, I think you are confusing the performance of the overall market...

So your older, experienced advisors are people who bought when thought property was cheap, and now think it's expensive. Hmmm. UPDATE: I'll reiterate: people here are not saying property doubles forever, or that property is not a bit expensive right now. We are saying that it has always...

Would you consider the property stagnation during the 1990s as the bubble of the late 1980's popping? I suspect we may have a definitional debade starting now.:)

I wonder how many of the experienced, older people who gave you advice have held large investment portfolios? What do their portfolios contain? It may be that you are getting better advice than anyone here. If so, how about sharing? We'd be very interested to review and discuss.

My PPOR is almost paid off - less than 2 years to go! Plenty of people talk of paying off their homes. These people tend not to be young, though (gross generalisation I know, but true based on my experiences). Damn right - holidays, cars, whitegoods, furniture, jewellery, weddings, etc...

You're putting words into my mouth - I didn't mention the GFC. My comment was that housing is not in a bubble, per se, because bubbles don't 'pop' slowly. To address your second paragraph, the RBA lowered rates in order to prop up the Australian economy during the GFC, house prices were a...

Trouble is, the crash isn't happening. One of the characteristics of bubbles is they pop fairly quickly, not over a period of years. It's been 4-5 months since July 2010, and the market generally hasn't crashed.

I agree. I've also responded to a fair bit of this stuff lately, so I'm not going to bother as much going forward.

This is very good advice. I agree 100%.

What are you crazy? Icy poles are made of water, something that is hugely plentiful in this country. We have this massive supply of water not even being used. With that level of supply, icy poles are clearly in a greedy, emotional, negative geared bubble, and will come crashing down. Tipping...

Buy a small unit first and live in it for a while, paying down the loan as quickly as you can. Or keep renting and save as much as you can. If you want someone to admit property is more expensive than it once was, then ok, sure it is. That doesn't mean it's about to plunge in price...

Be careful with your reasoning here. Just because the market average doesn't double every X years doesn't mean an individual property won't. Also, an individual property in a city will typically outperform the overall market anyway, because it becomes relatively better located over time...