rampage i would hardly say we have 80% public housing
the percentage matters a lot, ours is so small it has no effect on the market, so i reject that statement completely
a larger deposit isnt a panacea to curb house price growth on its own, other measures would be needed such as a 25% deposit for owner occupier and 50% for investment
"the investors that have substantial equity will still get the loan."
as far as (2) is concerned if your net debt position across all your loans was also factored in (plus your new debt) that could curb how much you could loan
"Many investors operate the rental properties as a "Business" and as with all "Businesses" any expenses are claimed as a cost of doing "Business". For example, If I had a "Business" which had an overdraft facility, all costs incurred while operating that facility are a tax deduction against any income."
Then change the rules! Why should housing be treated as a "business", we are one of few countries that has negative gearing on housing just for investors, if this was removed along with changing other rules we wouldn't have this housing bubble
Investment in export generating businesses should be favored by taxation more than any other form of investment, thats where real wealth be created for this country
when it comes to investing government rules have a large bearing on where people put their money
I found an article that explains the German property market and it turns out they went through a small bubble when east germany was unified with the country and there were generous tax rules to build and renovate. after awhile the rules were changed and a lot of rich people lost a lot of money and property has been on the nose ever since
