Meanwhile I have my home loan rate at 2.9% via a Japanese bank, yes there may be problems re currency rates but I am laughing atm! I have free reign to move at will, tell the rapist Aussie banks to explain their international funding costs? Haha cant meanwhile Aussies get totally raped.Loving it~!
Respectfuly, do you think that borrowing through a Japanese financial institute at a lower rate is going to benefit you when the real bubble bursts ?? Good luck to you on that score my friend.
Your loan structure you quote is likely a component from the current subprime mess. Yes I said current, not past. I tell it the way it is with no government or finance institution spin attached.
Japan has been an economic mess for at least a decade, propped up and kept afloat by all and sundry in an attempt to keep the Yen tangible, but you can't keep up the smoke and mirrors for ever, they are another tangled web ready to unravel.
The crunch will come when Iran convinces KSR to go off script and sign oil deals with major importers priced in yen/euro etc.
They better act quickly then, at this rate the Euro will gone within 2 years !
Foie Gras - Excellent post.
Australia has at least 3-4 of the most expensive house priced cities in the world. And with no disrespect, Mackay is one of those cities !! Now don't get me wrong, I love Mackay, it is a great place, but as an
example only, to have s#itbox fibro shacks valued at plus 600k is ludicrous. For these same houses to be valued higher than houses in Toronto, Sydney, New York and Germany is absolute evidence that Australia is riding a housing bubble that is going to burst leaving a horrendous mess in it's wake. WHen the US subprime imlpoded it took around 1 week for the top end financial institutes to collapse, but hey, no problem, Uncle Sam will print out some extra notes and slap the culprits on the wrist.
I would like to put a wager on the fact that when Australia's bubble bursts ( which will be linked to a catastrophic global collapse) it will take much less than 1 week for the top end to crumble.