So those that buy property are more knowledgeable in the factors that influence property prices?
Your delusional
I resemble that remark!
From my experience, yes - those that buy/have bought property usually have more knowledge than those that don't - not in what influences prices, but how to make money from property no matter what the stage of the cycle it is. When I bought my first property in 1985 I thought I had a bit of a clue then. Guess what; I didn't.
Price is only one aspect of making money out of property, and anyone can study what the influencing factors are on price. That's just the thing; many of them only ever do the study; many of them never act.
The really hard-core D&G'ers are not in property usually, and assume that everyone who is in property is a speculator/specufestor (great word), only interested in cap growth, Ponzi schemes, highly neg geared, preying on the less fortunate and so on.
It's a blanket mindset, inaccurate, displays a victim mentality and seems to me to that they are resentful of those who have done ok.
Why? What's the problem? There are far worse people in society than someone who makes a dollar out of a property deal or two. It's not my fault they can't afford a house, or haven't got the kahunas to buy one.
I reckon that in reality, they don't know how to make money out of buying one in a climate such as we are in now, and it pisses them off. It's just not fair.
If someone says to me "the market will drop by 50% over the next 12 months, you're all specufestors, it's all a Ponzi scheme etc, and will lose everything" - but they have never been in the property market, then I find it very difficult to accept their point of view, and I would say they are bitter and angry about something.
They may be right about the market, but I'd say probably not.
If a bloke with 25 properties says it, then I'll be listening with 5 ears.
So, then I naturally say to the no experience D&G'er; "Well, what brings you to that conclusion?, as I've been doing it for many a year and I've never seen it happen myself, I've managed to make money, ra ra ra." At this stage I'm trying to elighten them and offer help - through past experiences; not empty theory.
So then the response from them might be "Well, all the factors are in place for a massive drop - houses are way overpriced in relation to wages and the rest of the world, affordability is shot to hell, you're all over-leveraged, I'll buy your property off you for half-price next year, ha!" and so on.
So then I say "Well, there are many opportunities out there, people always live in houses, not all markets will drop - you just need to look for the ones that are showing good signs of growth in the future, there are numerous ways you can still invest and make money" and so on. At this stage I'm still offering to help, but both feet are facing the door.
If they then say; "Oh, so could you tell me how can you do that?" then I'm happy to keep on conversing, and the exchange is fun, I face back towards them. Smiles all round. We can talk about the terrible market, and how to capitalise from it - the whole point of this forum in my opinion.
But if they instead continue to say; "no, from what I've studied it will all go to hell", then I know they are not listening, not open-minded and not really displaying the desire to learn; just to be inflammatory.
Discussions end here, and the newbie becomes a tiresome boor, and we hope they go away soon.
But they stick around, talking doom and gloom with no contribution other than to be contrary.
What the hell are they here for?
I would rather they leave us alone to continue our discussions on how to make money. We already know that the market may go south - no news there. The trick is to make sure you can still survive the drop if there is one, but these D&G'ers can't offer any info in that department in most cases.