my hunch is this all started in the 90's when the government realised that the population was going to get top heavey and they were going to be forking out lots in pension money.
to avoid this problem step 1 was to force people to invest for their future by taking 9% of their wage off them and putting it into a investment port folio (super) which they cant touch till they retire. basically a 9% tax to go towards paying your pension when you retire.
To also try and make people more self funded retirees they then pushed investing into property, done with new tax insentives like CGT and Negtive gearing, to entice people to invest in housing so when they retire they have a rental income to suplement their pension.
when you throw in the credit bubble, banks pushing out as much cash as they can, it sort of explains why stocks and housing boomed throughout 2000 - 2007 with everyone investing all this money they never normally did.
1 in 7 people who file a tax return have at least 1 investment property, sounds like a bubble of rental supply to me that will pop when housing aforadability comes back and all the younger people in their 20's and early 30's race out to buy their first home.
as well as this crashing house prices, it will leave a lot of older people who thought they were financially well off for their twilight years broke, and in many cases in debt.
there will be blood on the floor with this one.. to me is so obviously clear.. and no prop investor can justify to me how this will not unfold. to them last decades activity is just the norm, and how it all works??
