Well the 87 Stock Market Crash, though now only showing as a minor correction was a great leveler at the time. Brought down all the high flyers of that era, Bond, Connell, Holmes A Court, Elliot, Dempster just to name a few of the big ones. The ironical thing was that only a few months before the October 87 crash there was a big investment forum in Perth attended by all these and a plethora of younger wannabes and the message was, "This is only the beginning", get in before SPs went even higher. It was the era of deregulation, the Banks were awash with money and the local Branch Manager could approve a Million+ loan in a day, Bond had won the Americas Cup and was invincible, interest rates were around 15% but there was Blue Sky with no tomorrow. No one saw it coming, the few that did were only lucky, the talk was these big investors were too big to let fall so everything was guaranteed. I see the inner Melbourne property market in the same light, I though do not see interest rates rising, if they did Armageddon would be like a walk in the park, but when investors are buying 300m2 of land with a NCV shack on it for well over the Million things are well out of kilter, anyway just my thoughts.
