this post was submitted on 08 Mar 2025
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Property investment is ingrained in the Australian psyche, but is it too easy to cast landlords as the villain in our housing crisis?

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[–] [email protected] 4 points 1 day ago

I'm not disputing either of those points.

banks start wanting you to close the gap between what you owe them, and what they can get if they take the house in lieu of payment.

This is absolutely false.

Some loans, "margin" loans, do work how you say and the bank will make a "margin call" asking the borrower to repsy a lump sum to reinstate the margin. However, this type of loan is not generally used to buy residential property.