Dont forget also that this building took out several smaller apartments displacing many people over 10 years ago. Such a waste of prime real estate.

Easy solution: increase land tax on foreign purchases.

@AleksPTA

9 ай бұрын

Or only permit expense claims against rental income against that one property

@nicolle_2944

9 ай бұрын

Just don't allow it at all

@Godlystriker

9 ай бұрын

Extra tax for vacancies

Hi Martin, gosh, I lost a bundle on the Gold Coast 2011-2012 when interest rate rises went 8 times up in 10 months. Apartments in Surfers Paradise and Broadbeach that were 800K before the rate rises quickly dropped to 400k due to over supply, lower bank valuations killed contracts. The rental on these new apartments mentioned will be way above what the local workers could afford, holiday rentals seasonal with body corporate charges and sales asking price will not stack up for investors. Banks have previously blacklisted apartments in the volatile Gold Coast market.

@peterk4501

9 ай бұрын

No one here's of these stories like you mention....in Australia real-estate is ALWAYS A WINNER, but reality is different as you know. No one talks of real-estate falling 50% as you did, a d I sense it's about to much worse this time around

@niceworkabc

9 ай бұрын

Banks have really tightened up on lending in the past 12 months too. My friends daughter was pre approved for 450k last year and that has been dropped to 300k this year (same job & more savings), and another 20 something I know is looking to buy on the coast, was pre approved for 550k last year, that's been dropped to 480k now. Same story re same job and more savings.

@AleksPTA

9 ай бұрын

The reduction in pre-approvals is not showing up due to the lower supply ATM. As supply increases, watch what happens to all property prices

@TheFfabinhoo

9 ай бұрын

That's a real story

150% correct..I live in Whitsundays and the complex i live in is HALF EMPTY with Apartments Empty and NEVER BEEN LIVED IN... So DFA is correct again..Overseas Owners must be Forced to Use or LOOSE IT ... Hamilton Island has Overseas buyers Lined up to purchase the Island after Owners Oatley's decided to sell.. Low AUD is making Property CHEAP compared to there own country.. Immigration on Steriods has also opened the flood gates under this Government..

@peterk4501

9 ай бұрын

It's not overseas investors, that's nonsense domestic political talk to take attention away from the fact that it's Aussies buying it all up on debt .

@paulanderson6545

9 ай бұрын

@@peterk4501 Mate my complex is Owned by Chinese Group who own Port Douglas Mirage and Whisper Bay Resort . i am a owner occupier which is only 20% of the complex , Half the aparts here are Empty and not even ready to use..

@peterk4501

9 ай бұрын

@@paulanderson6545 may be true as you say in those touristy parts, but by and large Sydney siders have that foreign investor line drummed into them for 60yr old orange brick shacks selling for $2mill. Whitsundays is a nice place to be !

@petersanders2815

9 ай бұрын

Immigration on steroids has been the policy of every government, Labor or LNP. It was only paused by the LNP due to Covid. Big business loves high immigration because of the increase in demand and it keeps wages low, and big business owns both parties, so high immigration it is. You need to vote elsewhere than the two majors if you want to stop immigration.

@paulanderson6545

9 ай бұрын

@@petersanders2815 Totallky agree , and as i used to be a LNP member but left when Turncoat was leader , i now vote for One Nation or UAP and live where expenses have halved since i bought too, (Body corp fees etc.) There is many bargain buys around if people decide to move and live in paradise too..

Typical Chinese/Asian investor attitude. Ethics has nothing to do with it. Australia, reap what you sew. Feel sorry for the uniformed citizens who think the regulators care about them. Newsflash: they don't.

Chinese ghost housing, with a distinctively Australian flavour.

If you're going to have a govt so stupid as to sell Australia to overseas speculators then don't complain if you get screwed. The problrm is the fed/state govts, not the investor seeking to maximise profit.

There's a NDIS house over the road sitting vacant since June at $620 per week.

@redsed1565

9 ай бұрын

sell it!

A Chinese development of villas in Sydney's Sth is near completion and I have been told by somebody in the know that not ONE single villas has yet been sold, How is this allowed to continue???????

@redsed1565

9 ай бұрын

corruption and greed!

It's called land banking, an Aussie past time since the 1890s, and even older than that. This is how an 80% collapse in prices comes to be, when these vacant places suddenly become "supply"... via forced selling. No one cares what the vendors wish to do, sell or hold, they will be forced to sell and no one will ask them once the huge debt levels they hold get called in.

@AUNZAnon

9 ай бұрын

Most people who land bank can afford to pay in cash without borrowing so your idea of them collapsing in debt is unfounded. They'll only sell if the govt introduces a vacancy tax.

Great presentation thank you

@WalkTheWorldDFA

9 ай бұрын

Very welcome

In my opinion the housing "boom" is one of the key driving forces behind us all becoming poorer. Housing policy intervention is sorely needed, vacant property taxes and land taxes for large amounts of residential land are required to make land banking and staged releases commercially unattractive and incentives have to be introduced (perhaps using the funds from the taxes) to make medium density affordable housing attractive. We know urban sprawl and suburbanization destroys cities and is bad for people and the environment so we should try to reverse it as much as possible.

@nicolle_2944

9 ай бұрын

We don't need land taxes. We just need to cut immigration and foreign ownership. The market would then self correct

@redsed1565

9 ай бұрын

spot on sista! close the borders for 50 years! @@nicolle_2944

@teatowel11

9 ай бұрын

Lets start by getting rid of negative gearing tax breaks for a start. Reduce imigration to historic norms. Look at tightening up foriegn ownership. Land taxes are scary because they will always go up and basically mean you never truley own your home (your costs can't be fixed and therefore you may be forced out in retirement if rates and taxes go up beyond your means)

@teatowel11

9 ай бұрын

Agree with you on higher density Australians have prefered stabd alone homes but so many now are part of households of 1-3 people, more apartments are necessary. I actually prefer and apartment to the new developments in suburbs with a tiny yard and neighbours you can reach out and touch.

@joek292

9 ай бұрын

Write to your MP, hassle them. Governments will not bring these policies to the table at an election or otherwise if you don’t.

Washing machine?

Ultimately holding property off the market could lead to a massive “ oversupply “ like China ended up with. Which no one saw coming. The best way to deal with this is to place a tax on the vacant property which stacks every single year it’s not rented out for at least 6 months of the year. And the stacking continues ramping up every year. This would help both state government’s with a nice sauce of income and help housing supply as well. Say 2.5% of the value of the property per year, second year 5% third 7.5%, forth 10% etc.

I love the RBA Steering Australia off a cliff by not acting on inflation only to come out a few months later and say we got it wrong... Zero accountability

@WalkTheWorldDFA

9 ай бұрын

Yes little accountability is the core issue...

Another interesting on is the Smith collective on the Gold Coast (commonwealth games accommodation). Apparently have a lot of vacancies throughout. Also thanks for the great content.

@WalkTheWorldDFA

9 ай бұрын

Thanks, appreciated.

Vacant property tax of 500%

And the fees for a vacant property in FIRB or ATO is?

Australia has always bèen FOR SALE and as a non product producer will continue to be.

I am very wary of Gvt intervention at the best of times. More taxation does not equate to more services, -Gvt's are the least efficient managers of money. Affordable housing is another woke myth that needs to be debunked. People have always had to sacrifice to buy housing - it's never been easy. People calling for more Gvt support are the same people who complain about their taxes and ask their tax agent to dodgy their tax return - I know this because I am tax agent. Never in 25 years has one single person asked me how to pay more tax. Taxation only raises revenue - it does not solve any problems be it housing, climate change, obesity or equity. More funds to the Gvt increases increases Gvt power and the likelihood of corruption.

a 1 % transaction tax , with no tax deuction's , tax advantage , or laws changed to help failed businessmen . will fix all of this . so many want extra taxs , when it is the way we are taxed , that caused all the debt

Lucky its only 2 towers, China usually build entire Cities and leave them vacant.

@tinaryan4023

9 ай бұрын

And architecturally, I think they are eyesores 🤮

@miguelgana5471

9 ай бұрын

we are in AUSTRALIA forget china@@tinaryan4023

@ActiveAussie2024

9 ай бұрын

They are very ugly towers. Look terrible close up and from a distance. I m often around that area.

So The Aussie Banksters Still Have Plenty Of Money to Loan Out ! The Party Continues !

It is a slippery slope dictating to property deveopers or owners, if you mandate requireets like having to put it ito supply That would reduce developments, I woud expect because the slternative is, they could just hold land instead of holding apartmet blocks Leave things without government interference is the better move People need to move to housing that they csn afford to buy or rent If that means they have to move from heavily populated areas, that is really nothing new I had to buy a country house, I can't leave there right now as there wasn't a job there for me.. them's the breaks.. Sometiesyou just got to rent where you can work till you can find s way to live in a houseyou can afford to buy People have to be flexible, realistic snd make the best moves they can is the way I see it No use wishing on a star

Hello Martin I moved to Gold Coast in July 😄

You only have to walk around any large development of an evening to see how many apartments are vacant showing no sign of life at all. My personal view is such places of residence should be compulsory purchased then made available as social housing or low cost housing to help those starting out on the property ownership ladder. It has to be better than building on prime farming land on the outskirts where there is no established infrastructure so you have to drive all over the place be it to schools,food retailers or other points of interest. We still have many layers of corruption to work through before this issue is sorted out.

@WalkTheWorldDFA

9 ай бұрын

I agree, there should be an approach to release vacant property for occupation. But that goes against the traditional "leave it to the market" neo-liberal approach...

Thanks Mr. Martin...I'm sure Billy Shorten knows exactly what your talking about...eh?

crisis indeed! Surfboard (Ao vivo)

More property to the market, a world war or civilisation ending event. Plague or eruption

I live in Essendon. Two 3bedroom houses I can see from my front window were sold by auction to the same old Chinese couple at 1.8 million a pop 6 months ago about a month apart. Both are now security shuttered and unoccupied with the lawns and gardens maintained by the couple themselves every couple of weeks. I am pretty sure these will be for family members in the future but it is not just apartments that are bought and put to sleep.

@WalkTheWorldDFA

9 ай бұрын

Yes, it is widespread.

I don't think Governments should be able to force developers to make thier properties available at all... If the Government actually wants to alleviate the shortfall of available properties, they themselves should develop and make properties available & also turn the Immigration Tap Down ! More Government intervention will only discourage future investors into the future. It is unfair to intervene in the private sector to remedy the failings of Bad Government Policies in my humble opinion.