LVR starts today. Industry skeptical.

[McDuck]

Your picture reminds me of String Theory.




Or Jackson Pollock.




Taking your idea seriously, yes, a plan for a free market economy would have to look like that picture of yours.
A lot of individuals all doing their own thing, each...

[McDuck]

Auctions.

If the government banned auctions.

That would immensely slow down the FOMO.

Why?

Because real events in your face, like being caught in a cluster of bidders - that sort of physical event - over imprints the panic in the human mind....

[McDuck]

You make an interesting point.

What exactly are you measuring, if your tape measure keeps stretching..?

I like it.


But, if you're honest with yourself, you'll see its more than just that.

A part of it, just a part, is similar to that guy in...

[McDuck]

So you're in agreement with KELVIN DAVIDSON (of Core Logic) and BRUCE PATTEN (of Loan Market Brokers)?...

[McDuck]

Should people also be allowed to go to school and the gym while waiting for the results of a covid test, if they don't feel ill?

[McDuck]

It was effect, rather than blame that KELVIN DAVIDSON (of Core Logic) and BRUCE PATTEN (of Loan Market Brokers), were talking about.

But from your FOMO angle then,

Are you saying that LVR's will have little or no effect on FOMO?



* and I'm going to...

[McDuck]

Hmmmm.

Donald Trump and his wife are parents, yet they wouldn't be what was meant by Ma & Pa investors.

If you get a married couple diving straight into a second property straight after purchasing their first home,
I'd say they were not what is meant by Ma &Pa...

[McDuck]

Egg.

The answer to your question is egg.

The egg came first, as proven by fossilized dinosaur eggs....

[McDuck]

The mistake is always in the question, as is the answer....

[McDuck]

1. Does a 40% LVR apply to newbies?
2. Wouldn't Ma and Pa investors have at least 30% equity in their own house?...

[McDuck]

Yup.

So much hype and so little result.

If they had never mentioned the whole project and suddenly pulled 12 houses out of the blue, then you have a surprise.

Under promise, over deliver, the first rule of satisfaction....

[McDuck]

What groups are those?...

[McDuck]

That doesn't quite make sense.

I wish...

Everyone could have had the brilliant Bio teacher that I had at school.

Nothing like watching a yoghurt population reach the limit of it's environment and cause a phase sift....

[McDuck]

Say I had a spare MILLION in CASH.

With a 20% deposit I can get 5 properties.

With a 30% deposit I can get only 3.

So that's going to slow me down 3/5ths.

But, how many investors have that much spare?

[McDuck]

Industry are skeptical the LVR will have much effect?


KELVIN DAVIDSON of Core Logic says the restrictions are unlikely to do much.

BRUCE PATTEN of Loan Market Brokers says the loan restriction won't make much difference.


Thoughts?...

[McDuck]

Yup.

That's an old invoicing trick.

Add 10% on to the invoice, and say that you offer a 10% discount for early payment.

So yes, it might work.
Depending on the type of person.

10% add on.
10% rebate each month if the last property inspection...

[McDuck]

Thanks.

One other interesting thing .
Customer complaints are a great source of ideas on how to improve your business.
If one customer is complaining about slow or complicated billing for example, suck up the feeling of insult, and see if you can get things more streamlined....

[McDuck]

That looks good.

There maybe more, but you seem to have the main ones.

So, for the first one, could you add a "class layer" to simplify it?

Say: Constraints on supply =

1. Land.
+
2. Permission.
+
3. connection to...

[McDuck]

Fortunately, the lack of courage from the Reserve Bank six, has been compensated for by a large amount of courage from all the Covid isolation, medical and support staff.

That's the real equation.
The Government know this....

[McDuck]

Have you also opened your voicemails from Screwtape?
I hear he's offering a nice retirement pan for all his patients.
Distraction my dear boy, distraction....