Serious US inflation 7.5%. Hyperinflation coming liao.

[hbk75]

The whole world also buay tahan to absorb inflation for USA liao. When USD going to up lorry?

https://www.theguardian.com/business/2022/feb/10/us-inflation-reached-highest-level-40-years-january

 

[Leongsam]

Sounds good let it rip.

 

[cocobobo]

As a multimillionaire time to put my money back into savings accounts

 

[Leongsam]

As a multimillionaire time to put my money back into savings accounts

I have always found that property is an excellent hedge against inflation.

 

[hbk75]

I have always found that property is an excellent hedge against inflation.

that is because people's expectation of interest rates for loans is low forever. many will be in for a shock later this year.

 

[cocobobo]

that is because people's expectation of interest rates for loans is low forever. many will be in for a shock later this year.

Our parents saw 13% home loan rates in the 80s. Maybe this generation will too.

 

[hbk75]

Our parents saw 13% home loan rates in the 80s. Maybe this generation will too.

that was back in the 80's. last time where got ppl dare to loan money?

only those civil servants dare to loan from govt buy private housing.

 

[syed putra]

I have always found that property is an excellent hedge against inflation.

Wot happened to gold? And crypto?

 

[Qantas]

Wot happened to gold? And crypto?

Better not buy gold. It has never risen much and one day it will become useless. Buy bitcoin is the best. It is very rare and you will be a multibillionaire when the financial system collapses.

 

[Leongsam]

Wot happened to gold? And crypto?

Gold has its ups and downs but my experience with property is that it doubles in value every 10 years at least.

 

[syed putra]

Our parents saw 13% home loan rates in the 80s. Maybe this generation will too.

I don't think so.

 

[syed putra]

The current inflation is due to policies.
Remove those policies and it will disappear.
Remove Paris greenhouse accord and oil companies can continue drilling with impunity again. Reason why current energy prices are high is due to lack of investment.
Remove restrictions on older trucks in California due to tighter emmission regulation and those containers can start moving from the ports and ships can start moving instead of remaining stuck in ports waiting to unload.

 

[hbk75]

The current inflation is due to policies.
Remove those policies and it will disappear.
Remove Paris greenhouse accord and oil companies can continue drilling with impunity again. Reason why current energy prices are high is due to lack of investment.
Remove restrictions on older trucks in California due to tighter emmission regulation and those containers can start moving from the ports and ships can start moving instead of remaining stuck in ports waiting to unload.

u dun print 40% of the money supply within a year and expects no inflation. when covid starts and they started giving out free money to ppl in usa. many economists warned of inflation liao. high energy prices? oil was $100 years ago and no inflation. why now $87 so much inflation liao.

u cannot just suka suka anyhow print money.

 

[syed putra]

u dun print 40% of the money supply within a year and expects no inflation. when covid starts and they started giving out free money to ppl in usa. many economists warned of inflation liao. high energy prices? oil was $100 years ago and no inflation. why now $87 so much inflation liao.

u cannot just suka suka anyhow print money.

I was told they have stopped printing. In any case, there will be lots of litigation and foreclosures. Malls and offices are empty. Businesses have unpaid mortgages.
It will be interesting to see how all these ends up.
who will buy up these assets when its put up for auction?
Lucky there is plenty of money in the system or the entire thing may collspse.

 

[tanwahtiu]

Gold has its ups and downs but my experience with property is that it doubles in value every 10 years at least.

Property bought at $500k drop 50% is $250k.

Bought at $500k double every 10 years which is $1M in 10 years. Drop 50% is back to $500k.

Which one more painful?

 

[hbk75]

I was told they have stopped printing. In any case, there will be lots of litigation and foreclosures. Malls and offices are empty. Businesses have unpaid mortgages.
It will be interesting to see how all these ends up.
who will buy up these assets when its put up for auction?
Lucky there is plenty of money in the system or the entire thing may collspse.

they are still printing money now. sinkies must be mad to snatch up condos at high prices during a pandemic. it is the result of 12 years fed intervention whenever the market falls. they do not allow recessions to happen and now becomes a super recession liao.

u never see fed release now?

FED going to do emergency rate hikes now.

 

[Leongsam]

Property bought at $500k drop 50% is $250k.

Bought at $500k double every 10 years which is $1M in 10 years. Drop 50% is back to $500k.

Which one more painful?

Property always regains whatever value it lost and then some. Never experienced a 50% drop it's usually 10% to 15% at most.

 

[Boliao]

Our parents saw 13% home loan rates in the 80s. Maybe this generation will too.

Not 13% but 3-4% very likely. Interest rate in late 2000 was around there.

 

[Boliao]

Property always regains whatever value it lost and then some. Never experienced a 50% drop it's usually 10% to 15% at most.

That's when property price are increasing on a steady and not an accelerated pace. HDB 5 years ago was about $700k, it's now over $1m. Even if it loses 30%, it will still be high when you factor in inflation.

Then again, everyone is expecting Singapore property prices to continue rising. I'm not sure how that is good for Singapore; all I see a huge bubble getting bigger.
https://www.cnbc.com/2022/02/07/sin...nts-to-rise-in-2022-but-at-a-slower-pace.html

 

[tanwahtiu]

Property always regains whatever value it lost and then some. Never experienced a 50% drop it's usually 10% to 15% at most.

Property double in those days the rate is 7%. So it doubles every 10 years to give you inflation.

With 1% interest rate for loan in last 20 years were to help baby boomers own another property for passive income.

After 2016 end of life for dirt cheap loan, program ends..

Expect 90% lost is possible..... lowest rate 1% how to give you double property price... taking back what you owed the banks..