Australia construction sector slumps...in video!

[LargoWinch]

This one is for you Outback Oracle!

Make us proud would you?

[The Outback Oracle]

Re: Australia construction sector slumps...in video!

I wonder what else we might expect from the HIA?

We are sooooooooooo over-invested in housing! Re the shortage i'm not really competent but a couple of things are relaevant.
In the surveys about 10% of houses are unoccupied for one reason and another. When the market starts to slide these come on the market fairly quickly.
Houses are generally about twice as large as they used to be, for half to one third the number of people in them, than in the past.

Understand housing here is the only item that is not subject to Capital Gains tax. Investment properties are but the family house is not. So there is massive incentive to over-invest in your own house. Hence we have massive mortgage debts...I think, much higher on average than the US. (I am open to correction on that)

[LargoWinch]

Re: Australia construction sector slumps...in video!

Understand housing here is the only item that is not subject to Capital Gains tax. Investment properties are but the family house is not. So there is massive incentive to over-invest in your own house. Hence we have massive mortgage debts...I think, much higher on average than the US. (I am open to correction on that)

Exact same situation in Canada. Unlimited capital gains for your main house...

Go sheeple...get some more debt and we'll give you a free credit card.