The first to be forced to sell are the more recent inexperienced, greedy, gullible, FOMO “investors,” those who succumbed to the lure of riches from property by borrowing the max, leveraging themselves to the hilt——with full support of the smiling banks. Sound money management? ... “don’t want to know about it”
The irony is that these recent “investors” will only lose their deposit and a bit more, say 10%-ish, while those who have been prudent with their investment strategy will hang on until the bitter end which will be a loss of 30% to their property portfolio. That’s really funny, well not funny, ironic, but I’ve already said that
A loss of 30% is a big hit to a property portfolio of 2-$3mil.
So while you were cheering on all these newbies and the free money was splashing about little did you realise it would be these inexperienced, greedy, gullible, FOMO “investors” that would bring the house of cards down ... to add insult to injury they’re going to lose a lot less than those more prudent investors who will hang on for grim death.
