I dont think arrogance hurts if youre obsessed with making wealth at the expense of others .Sure you can rip off everybody you meet in the belief that there all chumps .But what do you do hide in a cave with every disgruntled person wants youre blood counting the money with no friends, lover ,family because lets face it friends, lovers & family are the first people they rip off its practice for the greater community & after all these people trusted them so you can gouge them for more.
I also work from the big to little end of town & i can asure you i expect to have trouble getting paid off the water front mansion than the pensioner out west. which i think has more to do sometimes with people overextending themselves finanacally .Before the gfc i was doing a heap of work on a new houses out at kellyville ridge when i went back after it hit every second house was for sale .

petermac33 said...

if my old folks owned their property,well i would soon be very rich.

unfortunate for me they sold up years ago and used the proceeds to live a comfortable life.

which includes for my mum around 80 cigs per day.

i could have better spent the money i'm sure on gear and trips to .....s of the ...ht.

when the crash arrives soon, the middle class are going to realise that life is not fancy cars,big houses,designer labels or expensive champagne.

having a roof over your head,food and water may be harder than you think.

go back to sheep,i mean sleep.

You sure you're not a gen-y pm?

Unfortunately the current generation think their parents owe them money when they pass-on. All I got from my parents was a loving home, good morals, hard-working ethics, a good education (public schools), taught compassion for others & respect for my elders...sucks eh? Oh, my dad did go guarantor for my second car loan, which once paid did release a feeling of burden that I felt I had put on him.

The money & assets that they have now will hopefully be spent on enjoying their lives for their remaining time.

CMC - Don't worry about those others, they have their reasons for being bitter/arrogant...you can choose not to be! You might see the bad in people, but there are still a huge amount of people that have less than you do, but still choose to live selfless lives.

"How to become wealthy by being More Arrogant than you were" subtitled "the meek shall inherit bugger all" sounds like a best seller to me.

^ next time you get cut off in traffic by an angry Merc driver just ask him for financial advice.

You know something Doc, I am beginning to like you more every time you post lately. I cleaned toilets for a Summer in England with a guy who had more money than anyone I have ever met, I am talking 100's of millions. He stayed in a caravan, had a Labrador and drove a Hilux. We'd clean the cans and then go surf everyday, he loved it!

He always told me being a yuppy was an attitude not a bank balance.

theDoctor said...


the problem as I sometimes see it is...

everybody seems to want to live like they are trying to impress someone else,

when we were growin up my parents never ever bought me a branded piece of clothing; I can count the amount of times we ever went out for dinner from the time I remember being alive to the time I moved out of home on one hand.

me and my siblings went to private schools but the family drove a beat up old falcon that was beat up before we got it and I'm sure they still had when I left.

I played tennis at an elite national level and never owned anything other than volleys (I still wear 'em now). my mum still chides me about beating 'poosis

we weren't even close to poor, mum's a bank executive and the old man fleets cars to mines.

I guess its all about perspective.....

Is a t-shirt that costs 50 bucks and made in china any more of a t-shirt that is made in china and costs 10...?

the big mistake I think anyone can make is to confuse being rich and being wealthy with an amount of money in an account or plastic crap in the cupboard...

and my biggest pet peeve is when someone tries to tell me how much they or someone else are worth..... the answer should be, the same as everyone else-- (except maybe politicians and kiddy fiddlers and people who worship money they arn't worth the air they breath )

Aaargh. You got a roof over your head, food on your table, a woman you love in your bed and something you love doing in your spare time, how much better than that can it get??

if i was you Mark,i'd take the hit now,will reduce your stress.

every year you are paying the bank interest.if the block does not go up in price, effectively interest payments a donation to bank.

in 5 years buckleys chance of house or land going up.

house prices are falling a bit under 1 percent per month in U.S



friend of friend, a woman, took a 1.7million loan from bank.

bought a block in Mandurah area and built large house,1 year ago or so.

land and house cost 2 million total.

had $300k of her own money,that she bought land or part deposit of land with.

after building,had property valued at $3,000,000.

a 1,000,000 profit? no.

a year later she has had one offer on property, for 1,200,00 million!

she accepted the offer. bank refused to let her sell.

she could not afford the interest repayments and just heard tonight she declared bankrupty.

so she has lost life savings of $300k plus a year plus on interest repayments on loan, maybe another 100k

bank is hoping property will rise in future so they can recoup their 1.7million.

won't happen.

Alot of these arrogant rich people are jealous as hell of people like you.

If you've got a decent missus good family that's worth billions. I meet some of rich people and some are in a bad way. On uppers and downers, medicated with antidepressants. They are not all there.

I've also worked with sociopaths, don't care who they step on. Unfortunatley they are so charming you would never know it. If you go deeper though, you will find they're family have disowned them and they can never really hold relationships.

I know a young multi multi millionaire and he's happy driving in a **** car, wearing thongs. If you saw him in the street you would never know it. Rare I know...

Yes, property in WA sucks. It is massively over priced. Due to in part I think to low government land releases and the last boom sending property soaring, so everybody now thinks they will get 10% growth each year so they buy on that basis.

Fortuntely I did the opposite of Mark.

Bought a house with seaviews in an outer suburb in 2003 for $170k. Went away to work in the mining boom, paid off the mortgage. 10 years later came back to Perth. House is worth maybe $450k today, probably peaked at over $600k judging by what the surrounding houses were selling for.

Then I tried to sell and buy a big block in Perth. Prices blew me away. I basically refused to be part of it so I looked further afield. Found some OK places, includung a house that backed onto the beach in Geraldton, which was OK price for WA, but alot money. Then looked at east coast. You get 10 times better value for money (maybe not waterside in Sydney, but everywhere else). Yes wages are much less on the east coast compared to regional mining WA, opportunities are less, but lifestyle is 1000 times better.

I guess I was lucky. In at the right time and out at the right time, and happy where I am now not wanting to climb any higher.

I think PM_33's view is a bit distored to apply the boom and ridiculus waterside Manduarah prices 3 years ago across the board. I would agree with him that I doubt those prices will reach those numbers again for a long time. But to me that was an exceptional situation of very limited WA waterfront property being released to a cashed up, low interest market after 5 years of exceptional growth.

Can't see my 5 bedroom brick house with seaviews on 1,000 sqm in Perth northern subburbs dropping below $170k anytime soon, what with the road upgrades, the rail getting there next year and the surrounding bush being developed with schools, shopping centres, industrial estates and 300 sqm residential blocks.

wodgina6722 said...

Bought mine at 22 years old when I was at uni in 2001. I lived in poverty for the next few years. Serious poverty.

Now I own a place 200 steps from the beach. Pretty cool pretty cool.

ps I would not buy a house in Perth at the prices they are now. No way.

Well done. You let the mining boon come to you, rather than trying to go to it

Carantoc,

I'll give you what you paid for it so you have made no loss, and you can feel all benevolent and stuff

Deal?

petermac33 said...

if i owned a house i'd sell asap,rent and then wait till property prices collapse as they surely will.

But pweet, you said a month or so back that we should all sell what we have and invest in silver.
At that time silver was rocketing up and was nearly $50 an ounce.
Like all rockets, it's now on the downward plunge, about $35 an ounce.
At the time I asked if you took your own advice, but I got no reply.

Soooo, let's say that you did have a house and you sold it for $500,000 and bought lots of silver, you would now be the unhappy owner of $350,000 worth of silver, and your old house would still be worth $500,000.

So far, Australian property is the safest long term investment you can get and history shows it always has been.
Logic says it probably always will be because everybody will always have a use for a house.
You can't say the same for silver.
It's only worth what some other fool is willing to pay for it.
Once you run out of fools then the price flops.
By the look of the recent price drop we might have run out of fools.

You probably don't remember, but back in the early 80's silver did the same thing.
From trading at $5 an ounce for years it suddenly took off to nearly $50 and ounce, just as it is doing now.
Once the bubble popped, it slumped right back down again and LOTS of people lost LOTS of money.
If you want to wait another 30 years to get your money back then rush out and buy silver. Lots of it. You might be lucky and it might go up a bit more.
OR you might be unlucky and it will fall a lot more.
I think the latter is more likely.

That's not to say there wont be occasional dips in the property market but it's highly unlkely to do an all out belly flop like gold or silver ALWAYS does.

^^ Hey Pweedas, stick with the silver. As I understand it silver has allways been one fourteenth the price of gold. This situation comes about because silver is fourteen times more abundant than gold which is the benchmark for value.

The silver price was manipulated by two of the big global banks shorting it's price. A whistle blower at the bank exposed the scam and silver started to rocket.

The paper money guys hate precious metals because they expose the value of fiat money. I have so much trouble explaining to friends about gold. Gold does not fluctuat in value, ever. An ounce of gold cannot rust, won't lose weight. It just is. Allways been a fascination for it and it is valued by it's scarcity and the effort required to attain it.

Dollars however, they change all the time, and currently they are losing value pretty rapidly, all manner of dollars. The gold folk, they know this. So do the silver folk and it does not take a degree in maths to work out that if silver is to regain its 4000 year value it is going to go quite a lot higher.

I follow this guy with quite a lot of interest:

www.moneymorning.com.au/

I put my money where my mouth is...lets see what happens?

petermac33 said...

pweedas i dont own any silver as i used the 5k i had in silver to buy w/surf gear with a year back when price was about what i paid for it $18 per ounce.

Well that was a good decision. I can't argue with that.

General advice for investing;
Never buy anything that has already gone up heaps because the chance that it will turn around and go down increases with every percentage point that it goes up.
When highly paid advisers tell you that you should be buying XYZ because it has gone up 50% in the last 3 months, all it means is that they probably have a big investment in it themselves and they are looking to drive the price up a bit higher before they bail out and leave you holding some grossly overpriced commodity, shares, property, whatever.
The time to buy anything is when everyone has abandoned the market and is running away. Look closely to see what's good, (because sometimes they are running away for a reason) and then buy up big.
In my opinion, now is NOT the time to be buying gold or silver.
It might go up more but at this point, it is just as likely to go down.
Same with property at the moment.
I don't think it will flop but it's priced more towards the top of the range.
If interest rates take off the prices will drop significantly.