Monthly Archives: June 2019

Here comes the Avalanche, Tsunami, Running of the Bulls, Muslide – all at once.

G’day from The Hague on a lovely, sunny day.

Of course it comes as no surprise to me to read of a now 40% reduction in housing loan applications. What makes me laugh is the Analyst’s reasons. It’s really simple. Capital flows to where it’s a happy, warm, snug and secure place, and investors are not interested in putting money where, for instance in April alone, places like Darwin had a 1.2% fall on median house price, and the “Mega Market Darling”, Sydney had  only a 1 month drop of 0.7%. Annualise “that” dear readers!

The Reserve Bank has nowhere to move, Labor, even though it lost, as usual spooked investors with its nonsense, and people are now just scared of these rapidly increasing rates of depreciation.

I’ve warned of this unsustainable growth for years. I’ve warned friends to “get out”. Some have listened, some, sadly, have not.

It’s only going to get worse. I now have access to USD$10,000,000.00 to buy Australian Real Estate when I think it’s time to get back in. It’s definitely not now, and I believe my formula of the CPI line, less 10%, will be place where I once again become interested.


%d bloggers like this: