Guest RichB Posted September 11, 2011 Share Posted September 11, 2011 Read this in the West Australian and I believe this is going to happen..Great news in that real estate prices will be driven down, not so great news in that unemployment could soar as seems to be happening now around Australia in certain sectors.. Australia seems to be being held afloat by China, so what happens if their economy dives...?..will be interesting to see..The bubble is about to burst big time.. Australia's love affair with property is about to turn sour as an "economic tsunami" looks set to hit world markets, American economic forecaster Harry Dent says. Mr Dent, who arrived in Australia on Sunday, predicts the world will experience a second, deeper downturn, which will arrive between the beginning and the middle of next year. Starting in Europe, the downturn will spread to the US, China and eventually Australia, he said. "Australia is probably the best place in the world to survive this, but we do think Australia will not escape as well as it did from the last crisis (in 2008)," Mr Dent told AAP. At the centre of the coming debt crisis is real estate, the forecaster says. "People in places like Sydney or Tokyo or Miami say, `Hey, real estate can never go down here, we're a great place, everyone wants to move here, there's not much land for development', and what I say is that is exactly the kind of place that bubbles," Mr Dent said. "Outside Hong Kong and Shanghai, Australia is the most expensive real estate market in the world compared to income." Mr Dent said Australia's house prices would return to late 1990s or early 2000 levels. Driving all these changes is simple demographics, specifically the peak of the baby boomers' spending, Mr Dent said. "We predicted this (current) downturn in the US 20 years ago," he said. "We said that in 2007 the peak number of baby boomers will reach their peak spending. They would have bought all their homes and then they will start saving for retirement ... and that you are going to see this downturn." The drop-off in spending will affect everyone, even mighty China, Mr Dent said. To survive the incoming "economic tsunami", Mr Dent said investors should sell their excess real estate and buy up assets in US dollars. "Gold and silver are going to crash, they're a bubble," he said. "Once we write down all these crazy debts, we are going to destroy a lot of dollars that were created in the boom and that makes the (US) dollar a lot more valuable." Mr Dent is in Australia to promote his book, The Great Crash Ahead - How to Prosper in the Debt Crisis of 2010-2012, and will be speaking at the Secure the Future conference in Sydney and Brisbane in October. Quote Link to comment Share on other sites More sharing options...
Peach Posted September 11, 2011 Share Posted September 11, 2011 I presume both your goodself and Harry Dent are hoping to buy some Aussie property soon? :wubclub: Quote Link to comment Share on other sites More sharing options...
fish.01 Posted September 11, 2011 Share Posted September 11, 2011 Check out his free set of steak knives website. Looks exactly like those "come to my conference and I'll tell you how to be rich" types: http://securethefuture.com.au/ I think the economic downturn will hit people who put money in this guys pocket. Quote Link to comment Share on other sites More sharing options...
Harpodom Posted September 11, 2011 Share Posted September 11, 2011 Read this in the West Australian and I believe this is going to happen..Great news in that real estate prices will be driven down, not so great news in that unemployment could soar as seems to be happening now around Australia in certain sectors..Australia seems to be being held afloat by China, so what happens if their economy dives...?..will be interesting to see..The bubble is about to burst big time.. Australia's love affair with property is about to turn sour as an "economic tsunami" looks set to hit world markets, American economic forecaster Harry Dent says. Mr Dent, who arrived in Australia on Sunday, predicts the world will experience a second, deeper downturn, which will arrive between the beginning and the middle of next year. Starting in Europe, the downturn will spread to the US, China and eventually Australia, he said. "Australia is probably the best place in the world to survive this, but we do think Australia will not escape as well as it did from the last crisis (in 2008)," Mr Dent told AAP. At the centre of the coming debt crisis is real estate, the forecaster says. "People in places like Sydney or Tokyo or Miami say, `Hey, real estate can never go down here, we're a great place, everyone wants to move here, there's not much land for development', and what I say is that is exactly the kind of place that bubbles," Mr Dent said. "Outside Hong Kong and Shanghai, Australia is the most expensive real estate market in the world compared to income." Mr Dent said Australia's house prices would return to late 1990s or early 2000 levels. Driving all these changes is simple demographics, specifically the peak of the baby boomers' spending, Mr Dent said. "We predicted this (current) downturn in the US 20 years ago," he said. "We said that in 2007 the peak number of baby boomers will reach their peak spending. They would have bought all their homes and then they will start saving for retirement ... and that you are going to see this downturn." The drop-off in spending will affect everyone, even mighty China, Mr Dent said. To survive the incoming "economic tsunami", Mr Dent said investors should sell their excess real estate and buy up assets in US dollars. "Gold and silver are going to crash, they're a bubble," he said. "Once we write down all these crazy debts, we are going to destroy a lot of dollars that were created in the boom and that makes the (US) dollar a lot more valuable." Mr Dent is in Australia to promote his book, The Great Crash Ahead - How to Prosper in the Debt Crisis of 2010-2012, and will be speaking at the Secure the Future conference in Sydney and Brisbane in October. no need to sound so pleased about it..:cute: Quote Link to comment Share on other sites More sharing options...
fleabo Posted September 12, 2011 Share Posted September 12, 2011 Have you ordered the book? Read this in the West Australian and I believe this is going to happen..Great news in that real estate prices will be driven down, not so great news in that unemployment could soar as seems to be happening now around Australia in certain sectors..Australia seems to be being held afloat by China, so what happens if their economy dives...?..will be interesting to see..The bubble is about to burst big time.. Australia's love affair with property is about to turn sour as an "economic tsunami" looks set to hit world markets, American economic forecaster Harry Dent says. Mr Dent, who arrived in Australia on Sunday, predicts the world will experience a second, deeper downturn, which will arrive between the beginning and the middle of next year. Starting in Europe, the downturn will spread to the US, China and eventually Australia, he said. "Australia is probably the best place in the world to survive this, but we do think Australia will not escape as well as it did from the last crisis (in 2008)," Mr Dent told AAP. At the centre of the coming debt crisis is real estate, the forecaster says. "People in places like Sydney or Tokyo or Miami say, `Hey, real estate can never go down here, we're a great place, everyone wants to move here, there's not much land for development', and what I say is that is exactly the kind of place that bubbles," Mr Dent said. "Outside Hong Kong and Shanghai, Australia is the most expensive real estate market in the world compared to income." Mr Dent said Australia's house prices would return to late 1990s or early 2000 levels. Driving all these changes is simple demographics, specifically the peak of the baby boomers' spending, Mr Dent said. "We predicted this (current) downturn in the US 20 years ago," he said. "We said that in 2007 the peak number of baby boomers will reach their peak spending. They would have bought all their homes and then they will start saving for retirement ... and that you are going to see this downturn." The drop-off in spending will affect everyone, even mighty China, Mr Dent said. To survive the incoming "economic tsunami", Mr Dent said investors should sell their excess real estate and buy up assets in US dollars. "Gold and silver are going to crash, they're a bubble," he said. "Once we write down all these crazy debts, we are going to destroy a lot of dollars that were created in the boom and that makes the (US) dollar a lot more valuable." Mr Dent is in Australia to promote his book, The Great Crash Ahead - How to Prosper in the Debt Crisis of 2010-2012, and will be speaking at the Secure the Future conference in Sydney and Brisbane in October. Quote Link to comment Share on other sites More sharing options...
olly Posted September 12, 2011 Share Posted September 12, 2011 no need to sound so pleased about it..:cute: No need for you to worry Dom, we all know that Geelong is invicible, what with the beachfront and good fish and chips, you'll have no worries:tongue: Quote Link to comment Share on other sites More sharing options...
Harpodom Posted September 12, 2011 Share Posted September 12, 2011 No need for you to worry Dom, we all know that Geelong is invicible, what with the beachfront and good fish and chips, you'll have no worries:tongue: being the proud owner of a house in Geelong, I sincerely hope so Olly:embarrassed: Quote Link to comment Share on other sites More sharing options...
olly Posted September 12, 2011 Share Posted September 12, 2011 Who knows what the future holds for any of us Dom - but I do remember a time when houses were for raising families in, they grew in price and you would make a little bit of money from the house and go to another one for whatever reason, but now they are commodities to be traded for 'opportunity', 'investment' blah blah. It seems that no one cares if rentals skyrocket, prices go ballistic and no one can afford to buy the bloody things in the first place, let alone raise a couple of kids and pay all the overpriced utilities (which used to be owned by governments if you remember!). If it all goes bellyup then so be it, nothing we can do about it, and this ridiculous greed which has swallowed up some people will always come back to bite them. I'm not against private enterprise or working hard to earn money to get something better etc, but there's a limit to it. We're seeing that now aren't we. Enough said Dom, now would you like a cup of tea, it's 3.30pm and I'm putting the kettle on.....milk and sugar mate? Scones? With cream and jam? Quote Link to comment Share on other sites More sharing options...
Harpodom Posted September 12, 2011 Share Posted September 12, 2011 Er, thanks but I think I'll pass Olly...... :suffles away nervously: :tongue: Quote Link to comment Share on other sites More sharing options...
Petals Posted September 12, 2011 Share Posted September 12, 2011 I read this too and then when I came to the end of the article it was from a guy who is coming out to lecture or has written a book about it and I thought oh yeah another one who thinks he has a crystal ball. Who knows if they knew we the problems would have been avoided, we just have to hope that we can steer the ship through the reef carefully and that not too many people fall overboard. Quote Link to comment Share on other sites More sharing options...
halshaw Posted September 12, 2011 Share Posted September 12, 2011 Er....... I think someone will sell a lot of copies of his book, meanwhile the rest of us will carry on pretty much as usual. Outside of a re-alignment in property prices I don't see anything more dramatic to be coming down the track. Pity that would love to see the dollar dive and the pound soar!! Meanwhile back in reality- ville think I'll also put the kettle on. Quote Link to comment Share on other sites More sharing options...
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