Buy a house or invest in Shares and pay rent.(how did that work out for the die hard stock market investors)
Pay rent and put your cash in the bank only to pay the government tax on your savings and then watch it lose value as inflation continues.
Regarding post earlier about a first home buyer(couple) who ended up with a mortgage of around $1.4 million. Really? That was the only property availble to purchase? Pretty sure that is a long way above the average home. Maybe buy something with neutral or positive rental income and wait a few years to build some equity before you bury yourself with a million dollars of debt.(rebutle to price crash theory - then don't buy anything but especially not a $1m first home)
Over committing oneself is not an Australian problem, that's a stupidity problem.
One more thing - lots of post about 3-4 year problems with property. Tip; Do not invest in property if you want to be out in 3-4 years.
Disclaimer; I have both investment property, shares and at the moment I also have cash. When shares are getting smashed by global jitters - interest rates are down and investment propery is cheaper. Works vica versa too.
Sensationalist claims don't make you money, have a balanced portfolio and take the good with the bad. Or....have fear and wait for the perfect risk free investing environment, please PM me when this environment appears, I'll be in like flynn!!
And smile we ARE lucky here despite the moaning about how toight we have it.
