the Australian public is completely oblivious to where their cheap credit and easy has come from
that doesnt mean it wont affect the price of real estate
the japanese have a direct investment in residential real estate here
if our central bank heads toward a ZIRP (and its on its way now with just 5% unemployment) then how will that foreign credit make a reasonable return?
what do you think will happen to that credit when there is no return for it here?
the "market" is irrelevant, the money to buy into it at current prices wont be there
you seem to think this market is some sort of magical anomaly, that a set of magical reasons make it different than everywhere else, the bulls put forward reasons for this magic, but when comparisons are made with other countries like Japan, they all seem rather illogical
what do you believe Passive? that money materialises out of nothing, that its always there for every australian RE purchasers to source?
well it isnt.
My last RE purchase i did on a no doc loan, from Firstmac and I wasnt employed at the time
I called up my broker and asked him if the same dodgy loans exist today
