another nail for first home buyers! not cashed up investors or overseas buyers chasing yield (well relative yield!, 4 percent better than 1 percent overseas!)
15% to 20% increase - Sydney
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another nail for first home buyers! not cashed up investors or overseas buyers chasing yield (well relative yield!, 4 percent better than 1 percent overseas!)
I dont get alot of the people here, A house in eastwood just sold for 2.3 million, thats wayyyy past 800k median.
Why do people talk about sydney per area which would make more sense.
When did lower north shore and eastern suburbs become 1m suburbs.. Id say 10 or 15 years ago. It seems inner west and northern beaches are about to hit the 1m median too. Its just going to keep on going until it reaches the edges of sydney.
So for those who say 800k median is unsustainable, where ever can you afford to buy, just buy and dont worry about more expensive areas driving up the median
Why do people talk about sydney per area which would make more sense.
When did lower north shore and eastern suburbs become 1m suburbs.. Id say 10 or 15 years ago. It seems inner west and northern beaches are about to hit the 1m median too. Its just going to keep on going until it reaches the edges of sydney.
So for those who say 800k median is unsustainable, where ever can you afford to buy, just buy and dont worry about more expensive areas driving up the median
My definition of 'inner west' (up to Strathfield) has passed the 1m mark a long time ago!
sydney
Im not going to bother buying anymore houses in Sydney although I live there. I don't see any good coming from a median house price of $800000, except that it will go backwards, not by a significant amount but by 10% in the next 3 years. The boom of 2002 was unique because there was an emergence of 'double income' families and relaxed borrowing criteria, also the rates halved with no prospect of them going back to the origin amount. Now there is a prospect that rates will return to their 2008 levels in the next 5 years. It wont matter anyway if you have an investment in sydney and you plan to hold on to it for a while. In 10 years your investment will be significantly more than you bought them for. Anyway thats my opinion, I hardly have a crystal ball.
Im not going to bother buying anymore houses in Sydney although I live there. I don't see any good coming from a median house price of $800000, except that it will go backwards, not by a significant amount but by 10% in the next 3 years. The boom of 2002 was unique because there was an emergence of 'double income' families and relaxed borrowing criteria, also the rates halved with no prospect of them going back to the origin amount. Now there is a prospect that rates will return to their 2008 levels in the next 5 years. It wont matter anyway if you have an investment in sydney and you plan to hold on to it for a while. In 10 years your investment will be significantly more than you bought them for. Anyway thats my opinion, I hardly have a crystal ball.
Supply and demand will push property prices to wherever - up or down. Sydney has a fair bit going for it atm so demand will push prices higher in my opinion. I'm banking on a doubling from 2003/2004 to 2018/2019. 15 years.
Nearly 2014 so only 5 to 6 years for significant growth in my opinion. Lots of my gen x friends in Sydney (would say 90%) have not even bought yet and I can tell you that they are facing a dilemma now. Basically buy now or watch your dollar go backwards as house prices appreciate.
Nearly 2014 so only 5 to 6 years for significant growth in my opinion. Lots of my gen x friends in Sydney (would say 90%) have not even bought yet and I can tell you that they are facing a dilemma now. Basically buy now or watch your dollar go backwards as house prices appreciate.
Ah the old gen x people waiting for the Greek-style crash, while they continue to blow their money on 3-series, holidays in Nice and Cannes and sipping Grange.
I thought it was crazy until I've been told the block is zoned high density or something similar. 6-8 level apartments can be built. Bought by a mother and son team IIRC.
Yes the thing with development is, if you can get permits on it, it could be worth a lot because there's money to be made.
lol that's the worst argument for anything ever.
"National Geographic Society confirmed it in 2002 with a study showing that, among Americans aged 18 to 24, almost 30 percent could not identify the Pacific Ocean on a map"
I don't think I need to say any more
lol...that may be true.....
but...money is money and as long as its legal and moral, who really cares?
My 2c is that there is more to be made in brisbane than sydney. I say this because of 2 big reasons:
1. Sydney is further up the property cycle than brisbane [ sydney is in strong growth phase whereas brisbane is in the early stages of a growth, thus brisbane has more room to go than sydney]
2. The base [ average value for similar dwellings] is lower in brisbane than in sydney, thus higher potential for % growth in brisbane.
....but whatever you do...please dont ask the americans...
Just for some perspective across a few scales:
15% on $350,000: $52,500 ($144/day)
15% on $500,000: $75,000 ($205/day)
15% on $750,000: $112,500 ($308/day)
15% on $1,000,000: $150,000 ($410/day)
20% on $350,000: $70,000 ($192/day)
20% on $500,000: $100,000 ($274/day)
20% on $750,000: $150,000 ($410/day)
20% on $1,000,000: $200,000 ($548/day)
We'll see.
15% on $350,000: $52,500 ($144/day)
15% on $500,000: $75,000 ($205/day)
15% on $750,000: $112,500 ($308/day)
15% on $1,000,000: $150,000 ($410/day)
20% on $350,000: $70,000 ($192/day)
20% on $500,000: $100,000 ($274/day)
20% on $750,000: $150,000 ($410/day)
20% on $1,000,000: $200,000 ($548/day)
We'll see.
Redfern prices...some sales over $2m:-
27 Chelsea St, Redfern 4 2 House BresicWhitney EA $2,580,000
http://www.realestate.com.au/property-house-nsw-redfern-113857503
33 Great Buckingham St, Redfern 4 4 House BresicWhitney EA $2,150,000
http://www.realestate.com.au/property-house-nsw-redfern-114117835
16 Telopea St, Redfern 3 2 House BresicWhitney EA $2,160,000
http://www.realestate.com.au/property-house-nsw-redfern-114783291
And some over $1.5m:-
92-94 Telopea St, Redfern 5 4 House BresicWhitney EA $1,850,000
http://www.realestate.com.au/property-house-nsw-redfern-113457955
690 Bourke St, Redfern 3 2 House Belle Property Surry Hills $1,800,000
http://www.realestate.com.au/property-house-nsw-redfern-113418307
51 Pitt St, Redfern 4 2 House FN Spencer & Servi $1,785,000
http://www.realestate.com.au/property-house-nsw-redfern-114220071
21 Great Buckingham Street Redfern Bresic Whitney $1,630,000
http://www.realestate.com.au/property-house-nsw-redfern-114354515
27 Chelsea St, Redfern 4 2 House BresicWhitney EA $2,580,000
http://www.realestate.com.au/property-house-nsw-redfern-113857503
33 Great Buckingham St, Redfern 4 4 House BresicWhitney EA $2,150,000
http://www.realestate.com.au/property-house-nsw-redfern-114117835
16 Telopea St, Redfern 3 2 House BresicWhitney EA $2,160,000
http://www.realestate.com.au/property-house-nsw-redfern-114783291
And some over $1.5m:-
92-94 Telopea St, Redfern 5 4 House BresicWhitney EA $1,850,000
http://www.realestate.com.au/property-house-nsw-redfern-113457955
690 Bourke St, Redfern 3 2 House Belle Property Surry Hills $1,800,000
http://www.realestate.com.au/property-house-nsw-redfern-113418307
51 Pitt St, Redfern 4 2 House FN Spencer & Servi $1,785,000
http://www.realestate.com.au/property-house-nsw-redfern-114220071
21 Great Buckingham Street Redfern Bresic Whitney $1,630,000
http://www.realestate.com.au/property-house-nsw-redfern-114354515
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Heard something about this sale today....val came back at $980k, the mother and son couldn't stump up the difference, bye bye 0.25%
More like bye bye to a lot more than that - auctions are unconditional from day 1....although I doubt that story is true.
Not sure whether this has been discussed on other threads but IMHO the Australian housing market is going to take it up a gear shortly considering external forces effecting the Australian dollar. The basic nuts and bolts are that with the US continuing to devalue their dollar and pushing the AUD up the RBA will have little option but to cut the cash rate in an attempt to try and stimulate the tourist, manufacturing and retail industries.
There are some significant global head winds in the near term with the US approaching the debt ceiling again. The US Fed isn't helping matters by mudding the waters and not being consistent with their forward advise. Personally I think the storm clouds are gathering, and have been since 2008 and we are going to experience some huge volatility in the markets and may experience another event similar or worse than the previous crash in the equities markets.
However, I digress. Another drop in rates, if the banks pass on the cut, should really make things interesting.....
Long term you can always rely on property....
There are some significant global head winds in the near term with the US approaching the debt ceiling again. The US Fed isn't helping matters by mudding the waters and not being consistent with their forward advise. Personally I think the storm clouds are gathering, and have been since 2008 and we are going to experience some huge volatility in the markets and may experience another event similar or worse than the previous crash in the equities markets.
However, I digress. Another drop in rates, if the banks pass on the cut, should really make things interesting.....
Long term you can always rely on property....
Just to qualify or disclose in relation to my previous post, I do hold property in Sydney along with other states and am enjoying the ride.
Not being doom and gloom in relation to my thoughts on the global markets. In fact, quite the opposite, I think there is going to be some significant opportunities to make some serious money if you position yourself correctly
Deposit at auction in NSW is usually 10%
http://www.fairtrading.nsw.gov.au/f...ers/Buying_property/Buying_at_an_auction.page
"Buying at an auction
Residential and rural property
If you are thinking about buying a residential or rural property at an auction, you need to be well informed about your rights and responsibilities.
Under law, agents are required to give all potential bidders a copy of a publication called the Bidder's guide prior to the auction.
It is strongly recommended you take the time to read it. The Bidder's guide contains important information you need to know, such as, how you register to bid and what kind of identification you must provide before you can bid.
Read the Bidder's guide.
Because buying at an auction can be a nerve-racking experience, in addition to reading the Bidder's guide, it is a good idea to attend an auction or two as a spectatator to familiarise yourself with the auction process.
Also, take the time to find out what prices properties in the area have sold for, so you have a guide to the market value of the home you want.
Before auctioning a property, the seller will nominate a reserve price which is usually not told to the interested buyers.
The reserve price is the lowest price that the seller is willing to accept. If the highest bid is below this price, the property will be ?passed in?. The seller will then either try and negotiate a price with interested bidders or put the property back on the market.
If the bidding continues beyond the reserve price, the property is sold at the fall of the hammer. If you are the successful buyer, you must then sign the sale contract and pay the deposit on the spot (usually 10%).
Unlike when you buy a house that is for sale, there is no cooling-off period when you buy at auction, or exchange contracts on the same day as the auction after it is passed in. So it is important to:
?have your solicitor or conveyancer examine the sale contract before the auction to make sure everything is in order
?have your finance arranged
?have pre-purchase inspections completed prior to the auction.
"
http://www.fairtrading.nsw.gov.au/f...ers/Buying_property/Buying_at_an_auction.page
"Buying at an auction
Residential and rural property
If you are thinking about buying a residential or rural property at an auction, you need to be well informed about your rights and responsibilities.
Under law, agents are required to give all potential bidders a copy of a publication called the Bidder's guide prior to the auction.
It is strongly recommended you take the time to read it. The Bidder's guide contains important information you need to know, such as, how you register to bid and what kind of identification you must provide before you can bid.
Read the Bidder's guide.
Because buying at an auction can be a nerve-racking experience, in addition to reading the Bidder's guide, it is a good idea to attend an auction or two as a spectatator to familiarise yourself with the auction process.
Also, take the time to find out what prices properties in the area have sold for, so you have a guide to the market value of the home you want.
Before auctioning a property, the seller will nominate a reserve price which is usually not told to the interested buyers.
The reserve price is the lowest price that the seller is willing to accept. If the highest bid is below this price, the property will be ?passed in?. The seller will then either try and negotiate a price with interested bidders or put the property back on the market.
If the bidding continues beyond the reserve price, the property is sold at the fall of the hammer. If you are the successful buyer, you must then sign the sale contract and pay the deposit on the spot (usually 10%).
Unlike when you buy a house that is for sale, there is no cooling-off period when you buy at auction, or exchange contracts on the same day as the auction after it is passed in. So it is important to:
?have your solicitor or conveyancer examine the sale contract before the auction to make sure everything is in order
?have your finance arranged
?have pre-purchase inspections completed prior to the auction.
"
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