Comments on: #85 – Residential Property Investment

By: genX

genX — Thu, 31 May 2012 09:27:16 +0000

LOL. It was empirical financial risk models that failed was it? I think you should stay away from engineering, with smarts like yours you could be dangerous in that profession.

By: DP

DP — Mon, 06 Dec 2010 03:54:01 +0000

By referring to “empty money”, I assume that you are alluding to the possibility of an asset bubble, where the asset grows (unsustainabily) beyond the long-term rate of the economy while the debt is fixed and the owner(s) don’t cash in their chips while the going is good. (In fact, If they did cash in then that “empty money” is real money, even if it’s not necessarily a “productive” use of capital. The term is somewhat prejorative. For example, too much railroad infrastructure in the late nineteenth century can and was an unproductive use of capital: lots of speculators were in the game.)

So I get your point, but this applies to all asset classes, e.g. property, shares, tulips for the historical buffs… I think the psychology of the bogan classes has been richly mined in terms wanting something for nothing.

By: rilla

rilla — Sun, 05 Dec 2010 15:23:57 +0000

OMG such delusion

By: rilla

rilla — Sun, 05 Dec 2010 15:08:37 +0000

eh? sorry – do you actually work in creative arts? please tell me how my job (requiring extensive western cultural knowlegde) can be outsourced to someone in india or asia? (I am a film/VG music composer and writer). In fact I’ve had offers from Bollywood studios. Bizarre logic, or are you a “Graphic Designer” (not a creative job).

By: Oliver of Olivers Hill

Oliver of Olivers Hill — Wed, 29 Sep 2010 13:34:59 +0000

I believe “Cogans” is the correct term- Cashed up bogans. Some Cogan facts:

Opinions: None of their own;
Current residence: Many found in Brighton, Toorak, Prahran (raised elsewhere);
Higher Education: Latrobe;
Perspective: Limited at best – within previous 5 years, or next 5 years;
Cars/drive: BMW X-5, Porsche Cayenne, Audi etc (anything Euro);
Interests: Buy 1property, subdivide it & call themselves developers;
Terms used: Time share, Negatively Geared, G.F.C. (what?!), alfresco etc;
Terms misunderstood: Oxymoron, irony, investment, (all the terms above).

Some Laws for Cogans:

- A Cogan can become a millionaire, yet cannot spell or enunciate words;

- Cogans will struggle to converse in English correctly, yet they hope to make up for this by learning a few words in a foreign language (i.e., menus);

- A Cogan will profess their knowledge of all things “relevant”, and mock those that don’t agree (with what they have heard, or the social norm);

- The Cogan only has one way to do everything, and don’t see other peoples successful and different investment approaches as being relevant;

- Cogans will reply and reply until they are red with anger to win an anonymous internet argument (copying wikipedia articles frantically).

Money can’t buy class, and it never will with this Bogan offshoot.

By: Sten

Sten — Mon, 22 Mar 2010 15:52:38 +0000

wait til the housing industry implodes, taking the big 4 banks with it. Commonwealth owns Colonial First State, which has Mortgage Backed Securities that were sold off to all the old dears, and the funds have been frozen for 2 years now. Replace ‘frozen’ with ‘insolvent’, and you have a company trading with full government(RBA) knowledge and backing that can’t pay its bond holders what it promised.

This is in addition to the $30 trillion or so in off sheet finance the banks have.
scary.

By: Sam

Sam — Mon, 15 Mar 2010 20:18:34 +0000

You must have been waiting a while DP, it just seems to keep going the wrong way doesn’t it mate? It must suck having your cash parked OS earning 0.1% per annum and depreciating daily against the AUD.

Keep waiting pal. The value of paper money approaches zero as time approaches infinity. Just rememeber that the entire global financial system relies on this fact.

By: DP

DP — Mon, 15 Mar 2010 09:42:57 +0000

No, as a matter of fact. Waiting for the AUD to drop in value and then I can buy more assets. Preferably yours at a discount.

By: Sam

Sam — Sun, 14 Mar 2010 19:22:12 +0000

Happy with the foreign investment policy as it is DP?

By: DP

DP — Fri, 12 Mar 2010 07:51:14 +0000

Whoa, hold on there hoss – “plenty of Chinese drug money”. Are you bogan? Have they crowded you out of the market? Where the hell were you when TBL ran Border Security as a topic?