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Realistbear

B T L Is Also Having Crippling Effect In O Z As Debt Rises

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http://www.sundaytimes.news.com.au/common/...255E951,00.html

WA families are deeper in debt

By CORTLAN BENNETT

14may06

WEST Australians are saving less and putting more money into real estate – exposing themselves to rising oil prices and interest rates, experts warn.
WA families already spend more of their household income sevicing debt than those in other states.
But they're also twice as likely to put their savings into investment properties (20 per cent, as opposed to 11 per cent nationally), according to the latest ING/Melbourne Institute household savings and investment survey.
"Prudence would tell you to be careful in case you're getting in at the top of the market. It's a bit of a merry-go-round, with people thinking, `if I don't get in now, I'll be priced out'. I can understand that in some ways, but you're also taking on a higher risk doing it into a rising interest rate environment.
"
Interest rates are rising globally – even in China
. The general trend is rising global inflation. You've got high oil prices, too."

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There is one simple fact of life that people are going to wake up to one morning with a huge shock.

INTEREST RATES WILL BE GOING UP, AND NOT IN .25 JUMPS!!!.

The latest generation of FTB'ers and wage slaves have come to think that rates of 4% are normal, and would they think otherwise. They were wetting their beds, and dancing to the teletubbies when the last recession hit.

They just have no clue whatsoever what is around the corner. Money for the last 8years has been far too cheap, the concept of a new economy is merely a rouse setup to sucker the masses into borrowing heavily to pull the world out of a recession. However it is an experiment, and that experiment has failed miserably. The Governments of the world in the developed nations have hocked the family silver, and have put each and every citizen into debt without them even realising it. I would imagine it will take decades to pull the West out of this live for today mindset.

There is absolutely no forward planning whatsoever, by any of the Western Governments, its a live for today stuff tommorow philosophy and it is finally breaking up. PFI, is going to be the biggest timebomb, forget the so called pensions crisis. PFI's are now coming to fruition and are costing the taxpayers a bucket load of cash, and that will only increase over time.

The end of the world.?. NO.......... but very hard times ahead for everyone, even those that thought themselves prudent and imune, as the economies will collapse shortly into a free for all and the consumers will be left to pick up the tab.

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  • 301 Brexit, House prices and Summer 2020

    1. 1. Including the effects Brexit, where do you think average UK house prices will be relative to now in June 2020?


      • down 5% +
      • down 2.5%
      • Even
      • up 2.5%
      • up 5%



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