now for some predictions for 2010.... unemployment will rise,interest rates will fall, take off the last 3 rate rises, and a sobering reality will engulf the western world...the W shaped recession, will begin its 2nd stage...
no rose coloured glasses to be found
investors wil need to be even more cautious, and the older ones, those over 40, will move into property.. with interest rates back down where they belong, the upgraders will move back into the market.....
a new FHB scheme similar to the one that has just ended will arrive in the May budget....but this time there will be an even larger grant for new houses....maybe 20-30,000 to encourage the building of new homes.... and, to give the building trades jobs....
the stimulous package used last year to starve off a recession, was like giving heroin to an addict, it did very little for the economy....it was great for Chinese imports... most taxpayers realise that money has to be repaid in taxes, so to hand out an even bigger stimulous this year, will be the straw that broke the camels back...
lets leave the very extreme views out of this debate....
it will not be armegeddon, but a sobering effect...and it will make the younger ones, look reality in the eye...for once...
