agree, PPP articles are self-serving rubbish. often you'll have their resource and small caps pushing stocks while their trader guy and conservative guy are predicting a crash. a big joke.
the big thing in that article is the mention of people needing to feel richer to continue paying off that big mortgage. i'm seeing this in my extended group of friends. they have stopped being smug and are seeing the reality before them. the last 5 years have been a waste. their houses are worth the same if they are lucky, generally worth less and gains have been the exception. they haven't risen 7% each year and none of these guys are 2 years away from doubling their money! they have started asking questions. "but they said it would..."
they are pouring 10's of k's of their after tax money into their investments and only now thinking far enough ahead to ask the question: what if the capital gains aren't massive at the end of this? what happens then? what actually IS my exit plan?
suddenly, the prospect of throwing away half of your disposable income year on year isn't so appealling. they have mostly come back to reality and are throwing in the investment towel and are now literally at the stage of figuring out how to scale down and/or get out. debt is no longer good. debt is now bad.
i'm sure my extended circle of friends and aquaintances aren't the only ones. this is greed phase done, uncertainty/denial/stalling phase well in motion and fear phase not yet.
and remember, these guys are an indication of the masses of average joe investors out there that aren't as seasoned as the HC bulls who will no doubt ride it out. PI's on here might not be worried, but i can guarentee you the average punters are! and theres more than enough of them to move the market! the average joe property speculator has never even heard of hotcopper.
