Of course it's not a good time to buy.
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Disagree whole heartedly fungus the best time to buy was yesterday.
yes when you look back and when the thread was first started 2008 and Crude was calling first home buyers screwed ...Quote:
Originally Posted by Bjauck
the NZ House price to income multiple was around 5. .... US research believes 3 and below is an good healthy affordable property market
At present we are around - 9 !!!... this is a BUBBLE of epic proportions .. being held up by FOMO + record low rates + HIGH rents + Media & RE Agents pumping the narrative +ongoing higher costs reg to build
Every month we have another major business failing...paper mills , NZ refinery .. we are gutting whats left of our secondary industries .. from a toxic business environment of higher energy running costs + reg costs ..... and to think Cindy was talking up downstream business growth ,,,
We have a Comrade Govt that doesn't have a clue around Business + running a country outside pandering to slogans ticking up billions to keep the lights on
, an opposition thats weak ...throw in Covid lockdowns and Tourism $$$ our Govts have relied on for many years to keep NZ looking rosy
Interest rates at 7-8% and multiple at 5 or Interest rates at 2% and multiple at 9, what's the difference? Low interest rates are here to stay. I doubt we will see 4% over next decade. It's been around 2% in Europe for almost 10 years now.
From today's flipboard
https://www.stuff.co.nz/business/mon...-from-november
Yes, dead right and many Nations GOVT -Central banks know this but you can only laden so much debt on the consumer before he can't consume anywhere as much>>> even at record low rates we already see Central banks must buy the same debt thats created as no one wants it the Monetary system is broken and being patched over but every increasing loans here in NZ to buy every increasing debt notes BONDs ...
If I lent my capital I would want a good return.... if it returned nothing then what value does that capital have ?? you better off spending it all and ticking up to the eyeballs and use all these cheap capital >>>> which is what we are doing at record levels