Not all that long ago I was discussing property with my father and the liklihood of a reduction/crash. I was arguing at the time it wouldnt happen and was actually looking to buty more, his response 'why wont it?'
I argued blah blah blah (typical bull retoric) and his simple and logical response was 'is there any rational or fundamental reason behind the excessive increases we have seen in property over the last decade?'
Me 'no not really, to be honest a lot of it is fuelled by speculation and emotion and a belief that property always goes up cobined with a increased appetite for debt with reducing interest rates'
Him 'So tell me, whats stopping those exact same factors driving it back down?'
Me...'ummmm nothing I guess'
It was a light bulb moment, I then became bearish and sold a couple of properties.
