Will rental properties face to tenants cannot afford rental if more PP lose jobs?

[MelodyShi]

Hi, Whether is it just my paranoid or can this be true: with the Covid-19 goes on, will more and more people lose jobs or get less payment, consequently more tenants will not be able to afford to pay rental (government won;t be able to give subsidy in long term, I presume)? Thanks.

[jimO]

yes..........

[Frezzinghot]

Thanks why we need to get back to work next week.

[erinak]

The irony is I put my wee property up for rental after renovations, installation upgrade, new carpet, repaint just waiting for the right tenants on the very day of the lockdown period!!

So ..... a vacant two-bedroom flat all good to go! But No..... No Go!

Still have to pay the rates and the mortgage though. They NEVER have lockdown.

[Perry]

As a consequence of the lock-down, I wonder how many PT forumites may be reflecting carefully on their investment strategies?

[Frezzinghot]

To prevent otherwise healthy people from earning a livelihood is criminal IMHO. The government should be made to pay for such losses as they are quick to take your income through ever increasing taxes, Simon Bridges stand up and be a man and go to bat for us, you poked your head out last week of your hole but you now need to speak for us and go start demanding answers as to why we healthy people are shut out of our jobs.

#endthelockdown

[Perry]

The government should be made to pay for such losses . . .

You do realise that the gummint can't pay anyone for anything until it takes the money for that payment from someone else - taxpayers?

[Frezzinghot]

You do realise that the gummint can't pay anyone for anything until it takes the money for that payment from someone else - taxpayers?

Yes I do, I meant to say while no one is working they should pay for all loses. I know it needs to be paid back in increased taxes

[Davo36]

You do realise that the gummint can't pay anyone for anything until it takes the money for that payment from someone else - taxpayers?

I used to think this. But then I read about MMT.

Essentially, what seems to now be possible, is that a government can just print as much money as it wants, going further and further into debt and it doesn't matter. Inflation never goes up. Witness the money printing by Japan, US, China, EU over the last 10 years.

[Perry]

What Would It Look Like?

I see the point of your observation, David. (Is that what the mindless media call "kicking the can down the road?") But the debt either has to be repudiated or paid back. If paid back - paid back by taxpayers.

Anyone remember Brazil and it's repudiation of international debt?

Today, I wondered aloud, what if all debt (on the same day, everywhere, globally) was written off as part of recovering from the covid-cash-crisis?

[Davo36]

Well paid back to who? The reserve bank of the country who just brought it into existence with a few keystrokes? Why should they be paid back? Just ignore it, it seems we can.

A debt jubilee, yep, could well be a good idea.

[Perry]

Right. Inflation exploding - here we come.

Cash savings - almost wiped out.

Hard assets going up in numbers (But not value).

It's only the degree that's unknown, presently.

Doubtless soothsayer Shammy will give us the good oil.

[Wayne]

Right. Inflation exploding - here we come.

Cash savings - almost wiped out.

Hard assets going up in numbers (But not value).

It's only the degree that's unknown, presently.

Doubtless soothsayer Shammy will give us the good oil.

Hasn't happened yet (inflation since GFC) so will be interesting if it will happen this time.
People keep saying that it will explode and it doesn't

[Wayne]

To prevent otherwise healthy people from earning a livelihood is criminal IMHO. The government should be made to pay for such losses as they are quick to take your income through ever increasing taxes, Simon Bridges stand up and be a man and go to bat for us, you poked your head out last week of your hole but you now need to speak for us and go start demanding answers as to why we healthy people are shut out of our jobs.

#endthelockdown

Hopefully the 'otherwise healthy' will stay healthy with this virus that is much more contagious than the flu and at least 10 times more deadly.
Healthy people are shut out of jobs to keep them (and others) healthy.

[Perry]

Right. Inflation exploding - here we come.

Hasn't happened yet (inflation since GFC) so will be interesting if it will happen this time.
People keep saying that it will explode and it doesn't

Is the GFC a fair comparison with what's going on, now? I suspect not.

Be interesting to review the notion in 12 and 24 month's time.