Beoz

Is it this question above? You are suggesting that exists. It doesn't. How's the defaults looking? Very small. That should answer your question.

the troubadour

No that is the reality. Sydney house prices are way beyond, most everyone, if nothing to trade. Defaults not looking good, WA fearing rather poorly. Even house close to me is in possession of lenders. A fairly slight rise in the interest rate, will induce considerable added hardship. We are frankly in a mess of own doing. Well government's and financial institutions anyway. But then have answered this question before.

Beoz

There has already been a slight interest rate rise by the banks. Still no increase in defaults except maybe in Perth.

the troubadour

Banks won't be able to do RBA's work for them further down the path. Interest rates will rise. (not too distant future) The call will then be that the punters had plenty of warning with regards to changing circumstances. Sink or swim, left to own devices. Only the banks if teetering will get a socialist bail out of course.
WE are in a mess.

Beoz

Banks won't want to be carrying the can of repossessions and the RBA will only lift if there's a wage / inflation increase.

You can keep wishing for a crash but there's a lot of things not in your favour.

the troubadour

Banks dug own hole through greed and 'easy' apparent options. (no great prowess of the mind required tying up punters, through brokers and dodgy dealings, in times of cheap money and run away reality)
As you have been informed on several occasions, RBA will be forced to raise interest rates on overseas borrowings, these rates are in American dollars, the trend there is upwards.
But detail never a strong point in your arguments. Repeating something enough times, I know common Liberal policy, but hardly makes it true.
I'm living in reality and things are definitely not looking great. Doesn't bother you surely, being able to bunker down in your suburban house, indifferent to the ebbs and flow of economic mayhem, as noted your not in a 'project', with wealth creation as the goal, but a place to commit and rise above the casino housing game. Although personally from your persona expressed on line, I'd go more with a chancer, very much attempting to spin a buck, but highly impressionable at the same time.

Beoz

The RBA doesn't really care for interest rates on overseas borrowings, in American dollars. The banks do. From there see previous post. It should sort you out.

Don't forget, somewhere somehow the Chinese are getting citizenship buying property ....... ho ho ho.

the troubadour

Most certainly do as borrowing made in USA dollars. Are you under 'some influence', illicit or otherwise , attempting to find some form of salvation, that will allow you to get through another fretful approaching week?

Or just another example of an inbuilt inability to get head around detail? Or both?

Beoz

Many economists think the next RBA movement is down. Banks probably up. Happy with that detail? Irrelevant for me. My rate is locked in. Sorry to burst your bubble.

Anyhow nothing wrong with renting old chum. For many reasons I am a big fan of it. For starters, you get to live in an area you would not otherwise be able to afford. For most people that's a nice thing to have, but smashes your ego no end.

the troubadour

Well inflated ego's should probably find other avenues to play their 'keeping up appearances' routine. Not to mention worshippers on the altar of church called housing.
Economists? Really last one to take note of in such circumstances. 08 crash being a prime reminder of denial and ignorance of such a tea leaf reading profession.

The objective for some years has been to cloud the waters with industry laden faux analysis, applying internal pressure to prevent any turn over of the apple cart , by ensuring government patronage in maintaining adverse policy that would change status quo, media sources too over influenced, some might say corrupted, owing to reliance on income media from real estate and assorted industry ensuring over complacency .

Renting is not the chosen option for most, but the necessary one, especially in Australia's gross over inflated priced cities . Especially considering Australia's weak tenancy rights and all too many low standard of land lord. Obviously the address rented, cannot always be area of purchase residence but this has always been the case. But rental certainly the better option at this cycle in time, in the Australian market.
Funny spoke with a real estate agent yesterday, Sunday, cutting the grass of the house that has been a 'forced sale'. Previous owners got into over capitalising in a falling market, the agent operating on behalf of the bank, told me as normal WA methods of sale have not secured desired results, the house will be auctioned for what ever can be obtained.(few years back) When I said, not worth more in present market than when first purchased pre close to $200,000 (at a guess) conversion, he did not deny.

Lower interest rates will of course add further fire to an already well ignited situation. Likely result would be to drive the dollar down far too low for RBA to be interested with repercussions that would follow.

Foreigners would of course find Australia's assets cheap . could well become a nation of foreign based land owners and a captive local market of renters. Hardly an ideal setting to say the least.

manekeniko

757 ACRES? I doubt 100% the house itself is of any interest to home buyers. A piece of land this size is an investment property, and would be ideal for a r.e. developer — condos, an apartment tower, a resort, etc. If I were the owner I'd target developers exclusively, and not mention the house at all.

the troubadour

I suspect that is already factored in. Price clearly indicates that it is land, not primary residence that is the principle feature. But over priced remains just that.. over priced. The market seems to have dictated that fact. With a little help from declining economic conditions in a falling market and some value sought on purchase rather than paying out wildly inflated prices as if monopoly money.

manekeniko

They would have to unload it in the market they have, not the one they're wishing for. If it hangs on the market too long the listing will get stale and they'll be stuck with it. Imagine the heartbreak of paying property taxes on a property like this for years. The carrying costs could actually break them.

Late last year I sold my house well over asking and consider myself very lucky. The market where I sold has slowed down and could really collapse if there's a recession.

the troubadour

It could and would, but it won't necessary ever take a recession to destroy the over inflated aspirations of many. Congrats on doing well for yourself in the casino thing referred in places as a housing market.

There are plenty of 'chancers' on the market at present. Just testing the waters, with regards to whether they can really obtain, all too often inflated real estate claims of worth, usually the win listing. I get countless flyers the post, inviting me to an obligation free appraisal. (often stating high prices in my street, due to high demand and few opportunities)

All in line with sales propaganda and competitive listings.

Beoz

He messed up his acres and metres. Its not a development site. Might be lucky to put a duplex on there but that's about it. Given there are no other duplexes in the street it would be a hard fight with council.