Owen Raskovich

And obviously you as a home buyer or home owner or person who lives in a house, you don't want to have someone to come in and take your home from you.

So this is kind of scary, right?

It's not just a financial consequence, it's also a lifestyle consequence.

But I guess the good thing here is, and if I could provide some comfort, what I would say is that the chances of that happening are quite slim and it's probably going to affect people mostly who have overstretched themselves.

And this is the thing that we've been warning about for a long time, not just myself, but other people in the industry, is that no matter how good something seems, like an investment of shares or property, something can always go wrong.

And this is something that has gone wrong, but the difference between shares and property is that property can be really hard to sell.

So even if you do see this coming, there's still a lot of costs involved to sell a property, and it also takes some time.

That said...

If you've been listening to our podcast long enough, which I'm sure you have, we always emphasize that when you buy an asset, so you're an investor, you're not a trader, you're not someone who's trying to flip things, you're not one of these speculators, you're actually just someone who buys a house to live in it, or you make an investment in the share market for the long term.

The good news is, if you've got your finances in order, which we've always emphasized, you

then this is actually probably more of an opportunity for you.

And you know what?

You probably don't need to sell your house, even if it is negative equity.

Because if you can maintain the loan repayments, the bank's not going to take it off you.

So we've got some pretty scary forecasts at the top of the show.

And I'm sorry for that.

If Kate was here, I'm sure she'd be a bit more lighthearted and kind of bring me back to reality.

But those are the forecasts.

And I've kind of said, well, you know what?

If you own a home, you've got a good budget in place, you're probably not in that much of a worry because, hey, you're going to hold this thing for a very long time, this thing being the asset.