[CAN] Spire Living | 107m | 37lvls | Residential

[Omicron]

That advert reeks of desperation....

my thoughts exactly, and unfortunately.

In fairness, most car dealers/retailers/developers/suppliers are doing similar things. Desperate times call for desperate measures.

Mind you, good spelling and grammar aren't generally business expenses that need to be cut in times of hardship, so I'm not sure why they have gone missing in this instance....

[Pikey]

I didn't realise there was also a global grammar crisis too...

[muzzamo]

The other thing is that it reflects the stupidity of those taking up the home owners grant. Most people don't have the basic understanding that getting 5% off of 500,000 of debt that they can't afford as we enter a recession/depression is not such a good thing.

Most people don't know how to save so they actually think its a lot of money and don't understand what the interest is on a loan like that, they just think by going from "0k wealth to 25k wealth" they are getting ahead, but instead they are getting waaaaay, waaay behind by taking on a debt of up to 10x their income, possibly destroying their life the longer they try to hold onto it.

[UrbanSG]

Yeah you would have to be crazy to by a house now just for the home owners grant.

It is widely thought that this grant is creating a rush of demand and inflating house prices. Once the grant has gone there is a big risk house prices will fall substanitally despite a 'housing shortage'.

Then people will be stuck making payments well above what the house is worth with the risk of loosing their jobs or getting reduced hours during a recession just so they could get that grant. Some people are just asking for trouble, after all this is what caused this mess in the first place in the USA. People who couldn't afford debt getting into too much of it.

[muzzamo]

Yeah you would have to be crazy to by a house now just for the home owners grant.

It is widely thought that this grant is creating a rush of demand and inflating house prices. Once the grant has gone there is a big risk house prices will fall substanitally despite a 'housing shortage'.

Then people will be stuck making payments well above what the house is worth with the risk of loosing their jobs or getting reduced hours during a recession just so they could get that grant. Some people are just asking for trouble, after all this is what caused this mess in the first place in the USA. People who couldn't afford debt getting into too much of it.

I'm a believer in this too but instead it applies to at least the last 5 years, and possibly to a smaller extent the last 30 years.

Certainly anyone who bought their first home in the last 3 years, and possibly 5 years, will be significantly underwater.

[Brando]

Yeah you would have to be crazy to by a house now just for the home owners grant.

It is widely thought that this grant is creating a rush of demand and inflating house prices. Once the grant has gone there is a big risk house prices will fall substanitally despite a 'housing shortage'.

Then people will be stuck making payments well above what the house is worth with the risk of loosing their jobs or getting reduced hours during a recession just so they could get that grant. Some people are just asking for trouble, after all this is what caused this mess in the first place in the USA. People who couldn't afford debt getting into too much of it.

I'm a believer in this too but instead it applies to at least the last 5 years, and possibly to a smaller extent the last 30 years.

Certainly anyone who bought their first home in the last 3 years, and possibly 5 years, will be significantly underwater.

I really don't agree, we are much better off here in Adelaide for a number of reasons. It's like anything, you have to do your research and know what and where you are buying, what projects are due in the council your buying. Schools, PT, shops - proximity to property. We have not had anywhere near the exposure to what the US went through with the credit meltdown.

Rather than hijack this thread, i have posted an article from the Australian. It's a good read with positive outlooks for SA and the housing market. Read here http://www.sensational-adelaide.com/for ... 096#p61096

[joshzxzx]

Yeah you would have to be crazy to by a house now just for the home owners grant.

It is widely thought that this grant is creating a rush of demand and inflating house prices. Once the grant has gone there is a big risk house prices will fall substanitally despite a 'housing shortage'.

Then people will be stuck making payments well above what the house is worth with the risk of loosing their jobs or getting reduced hours during a recession just so they could get that grant. Some people are just asking for trouble, after all this is what caused this mess in the first place in the USA. People who couldn't afford debt getting into too much of it.

I'm a believer in this too but instead it applies to at least the last 5 years, and possibly to a smaller extent the last 30 years.

Certainly anyone who bought their first home in the last 3 years, and possibly 5 years, will be significantly underwater.

I really don't agree, we are much better off here in Adelaide for a number of reasons. It's like anything, you have to do your research and know what and where you are buying, what projects are due in the council your buying. Schools, PT, shops - proximity to property. We have not had anywhere near the exposure to what the US went through with the credit meltdown.

Rather than hijack this thread, i have posted an article from the Australian. It's a good read with positive outlooks for SA and the housing market. Read here http://www.sensational-adelaide.com/for ... 096#p61096

Awesome read.. Lets hope things turn out for the best in the near future... We have been lagging for sooooo bloody long. Would be great to see us up the top as one of Australia's fastest growing cities

[ozisnowman]

Dont think things here are as bad as the US? Why does the government put us into debt to fund the home owners grant
just so they can stop the housing market going into freefall? Australians not borrowing so much as there American
Counterparts? Wrong, this is clearly not the case as can be seen by the Governments and Big Banks response to
effectively giving people a 12 month delay on loan repayments (albeit with some penalties attached) also
to stop the housing market going into a freefall...

We can expect unemployment to rise.
We can expect borrowing money to become more difficult.
We can expect the home owners grant to cease at some stage.
We can expect interest rates to rise.

So you honestly dont think it will get bad?

[skyliner]

That article is stunning - soooo good to read info like this. I submitted an article of a similar vein on the economics thread also.

ADELAIDE - TOWARDS A GREATER CITY SKYLINE

[Brando]

Dont think things here are as bad as the US? Why does the government put us into debt to fund the home owners grant
just so they can stop the housing market going into freefall? Australians not borrowing so much as there American
Counterparts? Wrong, this is clearly not the case as can be seen by the Governments and Big Banks response to
effectively giving people a 12 month delay on loan repayments (albeit with some penalties attached) also
to stop the housing market going into a freefall...

We can expect unemployment to rise.
We can expect borrowing money to become more difficult.
We can expect the home owners grant to cease at some stage.
We can expect interest rates to rise.

So you honestly dont think it will get bad?

Did i say it wasn't going to get bad? Of course i didn't.

Our economy it not as vulnerable to the US as it once was. We will not see the rate of foreclosure in Aust as is the case in the US. Lending criteria, while more relaxed than now, certainly was much more stringent than the US around the sub prime collapse. NINJA (no income no job no assets) loans also played a major part in the collapse of the market. Interest rates are widely tipped to fall even further by years end and remain that way for some time. As inflation, employment, house prices all balance then we will see steady increases, but not see the same interest rates of 7% + for quite some time.

It's all a vicious mix in the US, high unemployment, over supply of the housing market, high vacancy rates, corporate greed and recklessness, coming off years of strong gains on the stock market etc etc... To a degree some of these trends have occured in Aust, but the main factors in our market is the strong banking sector, low vacany rate among rentals, higher rental yields, strong outlook in terms of the growing China and Indian economies.

Giving home owners a 12 month grace in crisis is a brilliant move. That is not a sign of weakness, it's empathy at it's best, with outcomes that benefit the banks and owner occupier. By taking away people homes, you are only adding fuel to the fire. Giving home owners a chance to get back on their feet can only be seen as a good thing for the economy and housing market.

There is no doubt we are in tough times, but will we see the same as the US housing market? No way, corrections are already occuring all over the country, but we are seeing modest drops in the house prices here in Adelaide. We still have the cheapest house prices in the mainland, enormous amounts of growth in all aspects inc, population, jobs, economic and skilled workers.

Warren Buffett built his wealth on basic and meticulous methods. It's when people don't understand that econmies become blurred..

"Chains of habit are too light to be felt until they are too heavy to be broken."

[UrbanSG]

This development has been listed in the latest edition of the National Building News to begin construction on the 15/08/09 with a cost of $40 million. The National Building News has listed start dates for projects previously that have not occurred when the paper has listed them to start, so I doubt this will be any different.

I will be very surprised if this one ever goes ahead, considering it won't be that long and we'll be nearing a decade of waiting.

[Radelaide]

This development has been listed in the latest edition of the National Building News to begin construction on the 15/08/09 with a cost of $40 million. The National Building News has listed start dates for projects previously that have not occurred when the paper has listed them to start, so I doubt this will be any different.

I will be very surprised if this one ever goes ahead, considering it won't be that long and we'll be nearing a decade of waiting.

a developer would be unwise to provide a media outlet with an exact start date. was never done with the developer i worked for. preference to "commencing august 09".

[Ben]

"Denny Crane" are you able to provide an update on this project and reasons for it's constant deferral. This project has been around longer then this site itself and is still no closer to commencing.

[Ben]

A 6 month extension of time was granted on the 4th May 2009.

[joshzxzx]

Bugger!
This development if it ever get off the ground will be ready for the market recovery..

Just hurry the hell up...