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@thestarside The effect of FHBs in the housing market has little to no impact on rents. When an FHB buys a house the supply of rentals is exactly matched by the decrease in demand. This produces no net effect on the relative levels of supply and demand. The report that you linked restates my...

@fadi215 I suspect that you didn’t read what I wrote. Rising outgoings indirectly put upward pressure on rents because those rising outgoings have the effect of reducing the supply of rentals remaining in the market. That reduced supply - with no matching change in demand - is what creates the...

@thestarside Rents are indirectly set by rising outgoings. When it isn’t profitable for a residential rental to operate it generally gets converted to some other purpose such as redevelopment or short-stay accommodation. The resulting reduction in supply places upwards pressure on the rents for...

@resjudicata The median house price for a property in an Australian capital city climbed above $1 million AUD earlier this year.

@rostislav89 The bank really doesn’t care as long as you are making the mortgage payments on time.

@kayvin Don’t spend too much time working through the details of your plan because it is impossible to plan your life ten years into the future. My read of your situation is that you feel trapped in your current career path and want to pivot. You’ve probably heard about the current demand for...

@jason123 Our Government’s ability to sell its sovereign debt at affordable rates is dependent upon maintaining our current economic and monetary settings in perpetuity. We can’t afford to pay the risk premium that would result from the credit downgrade that would inevitably occur if major...

@jason123 I was replying to your question about whether we will maintain the norms of the last thirty years - which you described as “historically abnormal”. The economic norms of the last thirty years will eventually make the previous norms appear “historically abnormal” because we will...

@jason123 Why would you look back beyond the last thirty years though? The RBNZ Act was established in the 1980s to implement the mandate of price stability - and we aren’t ever going back to the preceding age of finance ministers instructing the Reserve Bank to set interest rates and foreign...

@billbennet Depends on the industry. In some of the heavy trades a mullet adds credibility.

@believer4892 I know very little about the mechanics of equities but I have always wondered whether the bigger retail brokerages use their knowledge of their customers’s stop loss positions to trade against them e.g. by trading down the market price, triggering the stop loss, and liquidating...

@susier Thank you for taking the time to write this. It will be very helpful for a lot of people here.

@jamoneyy Be aware that AA can’t insure unit titles. Which is annoying. So I’m insured through an Aon broker. They have sold me two policies through Aon, and one through Vero. Annual cost is around $10,200 per year for the three policies (covering six dwellings).

@lesnock I would recommend that you use your savings to pay down the mortgage. The savings that you will make by avoiding future interest payments are mathematically equivalent to investment returns because any money that is not spent on finance costs is money you have earned by making the...