As expected, yesterday’s report by LF Economics, “Parental Guidance Not Recommended”, which argued that today’s first home buyers (FHBs) face far greater obstacles to home ownership than previous generations, received a harsh rebuke from Australia’s property commentators.
The Daily Telegraph rubbished the report’s claim that the loans underpinning Australian housing values incorporate elements of “ponzi finance”, because parents are using the collateral in their homes to assist their children into home ownership. Here’s what the report said on the matter:
