are you serious mr howard

  1. 871 Posts.
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    Well I'm glad that my wages have increased by 99% in the last 5 years in line with the housing price rise, according to our PM.
    I think he needs to take a refresher course in high school maths.

    from SMH -
    Mr Howard said the housing market was "very strong" and people were getting "a little overexcited", but he dismissed fears of an unsustainable property bubble.

    "Some of the talk about a doomsday scenario and the bubble bursting has been exaggerated, because when you look at the earnings figures of people and the price of housing, particularly in the big cities ... sure, the price of housing has gone up but so has people's earning capacity," he told Melbourne radio station 3AW.

    But with home lending growing at around 20 per cent a year, he urged lenders to be careful with borrowers who may take on too much of a repayment burden.

    "I do caution all financial institutions against taking any margin risks as far as lending is concerned," he said. "This is not a time to be erring on the side of leniency with people who are clearly going to have an incapacity to repay loans if the interest rate tide turns a little bit against them."
 
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