ABCDiamond

That's because they hold on to YOUR deed of ownership, the paperwork that proves the owner of the house is the name on the deed, until the loan is paid off.

coolshadows

So the only proof that you OWN the house, someone else has??

asprilla

Ok, here's a question.

Some people here think that there is a "housing bubble" that will soon "burst". How exactly will we know that this event is occurring ? how do we quantify it?

Is it a 30% decline in 12 months? A 3% decline over 2 years?


A long time ago, the South Sea bubble burst. That was a proper bubble, a lot of people lost a lot of money.

coolshadows

if there is a bubble, doesn't mean it will burst.

ABCDiamond

No. A rates notice is also classed as proof of ownership.

ABCDiamond

This one did....

pomtastic

The problem with spotting a bubble is that you don't know you're in one until after the event, then it becomes obvious.

I'm going for a slow deflating of the bubble (which I believe we're in, rightly or wrongly) rather than a 'burst'. A slow deflating bubble will be less catastrophic for the Australian economy and will not be noticed. But there again, if people start geting scared with small house price falls and word is out that property isn't such a good investment after all then the speed of property falls will increase as fear hits the market. It's difficult to tell how human nature will react.

coolshadows

Doesn't that prove you OWN the LAND?

asprilla

Nope. Have a look into the definitions of Land, Real Estate and Real Property.

Vash the Stampede

It's the best proof that you own the property, but it's not the only proof available. You can also use any legal documents involved in the purchase, such as correspondence from a solicitor or settlement agent.

DownUnderPaddy

Bullsbrook ?? I had to look that one up - never heard of it !
A population of approx 3,900 people.
In a population sample size that small, small changes will cause huge trend deviations. So that graph would not be unusual on that basis surely ?

ABCDiamond

You should have seen the boom the month before

ABCDiamond

and the FULL picture

coolshadows

the way you doctor the look of statistics, are you sure you don't work for Rismark?

coolshadows

I've seen the house price charts for 2003 - present (with a continual, but moderate increase above inflation, wages etc...), but was wondering how prices had changed before that...

Sourced from ABS:


I'd have to agree that it appears to be a bubble that has shown signs of a gradual deflation. But I'm no expert.