lets say bulls are right, and lets say we get a 30% rise in property now from this 1% cut in the next year or three, thats a 1:9 ratio.
that means somone on $60K P.A now takes out a $500K mortgage.
thats $48K a year he has to pump into his mortgage, when he only net's $48K P.A
how does that work?
would buyers be so stupid as to borrow more now with this discount? 1 rate rise and they will be crushed..
