Anyone else looking in Perth at the moment?

[jaycee]

Are you talking about the props on william street? ive been past and the front houses (2 props next to each other at 1500sqm each i think) are knock downs IMO. crazy that someone lives in those things

Ladywell St. ($499k)
Lacey St ($460k)
CEntral Tce ($1.449M)

These were just in the paper, I happened to notice them cause a friend lives out that way and then got curious, they are bloody big blocks, but I dont know anything of risks/opportunities out that way

 

[reeco]

Beckenham has alot going for it from my view. Biggest mall in WA? major aterials. Rail line etc. Im looking there. Dont know what for but ima lookin

 

[Rixter]

Biggest mall in WA?

No malls. There is a large Westfield next door in Cannington tho.

 

[Alex P Keaton]

You bought at the right time then hey Kim.

Yep Perth in 08 & 09

I reckon theres a good chance I'll have the equity to buy again in around 1-2 years time! Whether or not I have the serviceability though I'm not sure. Hopefully (fingers crossed)

 

[Alex P Keaton]

bump


I havent been going to home opens but yesterday when i was out on my walk on my way home i couldn't resist checking out this unit on beaufort street and a unit on stirling street.

The 1 bed unit on stirling street was 44 sqm and had room for washing machine in the bathroom. Had a 4 sqm balcony. Asking $279 K. I wont be buying for another 12 months but it cant hurt to have a look.

The agent said that he will be selling a unit in the complex i live in highgate in the next financial year. I'll be keen to hear how much it sells for! My complex are studios so I dunno how comparable value wise they are to the 1 beds in the area? Do you think there would be much difference in value between a studio in highgate compared with a 1 bed.

 

[Rixter]

Properties are moving fast where I live.

A house 2 doors down from me didnt even get the for sale sign erected out the front and the owner had people knocking at the front wanting to inspect before the official 1st home open.

Anyway the owners said some back for the first opening that weekend.

Anyway we went for a few days and when we came back the sign was erected with under offer stickers on it. Apparently the property went under offer within 2 hours of first home open for just over half a $mil.

Another house one street away had its first home open same weekend also. 15 couples through with 3 offers made, 1 accepted.

 

[meconium]

Properties are moving fast where I live. Apparently the property went under offer within 2 hours of first home open for just over half a $mil. Another house one street away had its first home open same weekend also. 15 couples through with 3 offers made, 1 accepted.

"We will all be using the internet in a decade's time, these stocks are a sure thing". These words came from an educated friend back in 2000, at the height of the internet stock boom.

Half a million dollars buys very little in Perth these days. I sold one of my IPs recently and had buyers actually contact me directly (bypassing the agent) pleading that I sell to them and them alone: "I've got a young family and your house would suit us exactly, please sell it to us"

Irrational exuberance to the nth degree! Buying in houses in the outer Perth suburbs at inflated prices, using borrowed money, is a recipe for disaster.

Trees do not grow into the sky. It's farcical to expect that median wages in Perth in a decade's time will be at $5000 a week, sufficient to fuel a demand for the projected median price of a million bucks for the average home.

Trying to calm down Perth buyers is somewhat like trying to dissuade people from buying internet stocks back in 2000. It's not possible. Show em reason and you'll just get abused.

 

[meconium]

I saw a couple big blocks advertised in the SundayTimes in Beckenham of all places.

2023 sqm, could retain home but needs TLC, R17.5 $499k

Irrational exuberance or not.....that's a great price for a large chunk of developable land with a rentable house, a scant 14km from the CBD. That's the kind of stuff that will be good for the long run. One cannot go wrong with that. Sadly, such gems are rare indeed.

Buying overpriced junk is a lot more dangerous than buying cheapish landed property. My heart goes out to those young couples spending $600 000+ to buy houses in outerlying suburbs - it's these sorts of assets that will see no price gain in a decade's time.

 

[Rixter]

Half a million dollars buys very little in Perth these days.

Compared to where? I dont know where you're looking but there's more properties(well located) than you can poke a stick at that I can show you. Its the Perth median price so there's half of Perth to choose from.

 

[Deltaberry]

Irrational exuberance or not.....that's a great price for a large chunk of developable land with a rentable house, a scant 14km from the CBD. That's the kind of stuff that will be good for the long run. One cannot go wrong with that. Sadly, such gems are rare indeed.

Buying overpriced junk is a lot more dangerous than buying cheapish landed property. My heart goes out to those young couples spending $600 000+ to buy houses in outerlying suburbs - it's these sorts of assets that will see no price gain in a decade's time.

How far is outerlying?

 

[Ausprop]

Trying to calm down Perth buyers is somewhat like trying to dissuade people from buying internet stocks back in 2000. It's not possible. Show em reason and you'll just get abused.

this is really strange post given that the Perth market is dead and the Melb market is overheated. If it were the other way round I would understand as Perth is set for some huge growth from commodities at least

 

[reeco]

Irrational exuberance or not.....that's a great price for a large chunk of developable land with a rentable house, a scant 14km from the CBD. That's the kind of stuff that will be good for the long run. One cannot go wrong with that. Sadly, such gems are rare indeed.

Buying overpriced junk is a lot more dangerous than buying cheapish landed property. My heart goes out to those young couples spending $600 000+ to buy houses in outerlying suburbs - it's these sorts of assets that will see no price gain in a decade's time.

It's funny listening to people who know nothing about our market comment. 500 buys alot bud. where do peole from VIC get there silly stories I wonder?

 

[meconium]

$500 000 gets you lots if you want to live miles from the city. Anything closer to the city costs a lot more, unless one wants to buy a dingy old house - and even these seem to be snapped up very quickly these days. Saw a cheap weatherboard house (not unit) for sale in Beckenham the other day for $299k. That's the sort of thing that won't lose you money! Go buy a half million dollar house in Baldivis or Mandurah and you could be holding it a very long time to get your money back if you have to sell in the future.

 

[reeco]

For a person who dont live here you sure have alot to say about it.

Miles to you maybe metres to me. Or vice versa. Probably vice versa. Your perception of perth is strange to me. Maybe because you see it from ....i dont know.....3000km away!

I dont know if youve noticed but the people who actually live in perth...You know the people that actually understand its true ebs and flows and not just the numbers....dont agree with you.

We understand perth as a complete package. Not just an excel spreadsheet. There are intangibles that people who dont reside, never seem to understand.

Oh well. More for me i spose

 

[Rixter]

Half a million dollars buys very little in Perth these days..

$500 000 gets you lots if you want to live miles from the city.

Think you need to do some more research plus get your facts straight first if you want some credibility.

Perth is cheaper than Syd & Melb if you're now comparing residential prices to distances from respective CBD's.

 

[kero]

hey meconium, are you just trying to get your number of post up?

i don't think you can compare the internet stocks crash to your supposely coming perth property crash. Due to the following reasons:

1. Both comparison are of different sectors. Barriers of entry to real estate is high e.g. stamp duty, LMI, deposit etc. Internet stocks nearly non existent which means easy entry that usually leads to speculation.

2. Both comparisons are in different countries. I am not familiar with both countries' regulations. But I believe SEC and ASIC have different standards and their laws to govern the companies e.g. the banks in US vs the banks in Oz.

Though we learn from history, we need to move on from history.

my two cents

 

[meconium]

i don't think you can compare the internet stocks crash to your supposely coming perth property crash. Due to the following reasons: 1. Both comparison are of different sectors.

Regardless of the sector, the madness of crowds can lead to great harm. By being vigilant, one can (hopefully) avoid bubbles.

Think you need to do some more research plus get your facts straight first if you want some credibility. Perth is cheaper than Syd & Melb if you're now comparing residential prices to distances from respective CBD's.

Isn't Atwell equidistant from the Perth CBD as Lakemba is from Sydney? Correct me if I am wrong.

 

[reeco]

Regardless of the sector, the madness of crowds can lead to great harm. By being vigilant, one can (hopefully) avoid bubbles.



Isn't Atwell equidistant from the Perth CBD as Lakemba is from Sydney? Correct me if I am wrong.

Are you trying to compare atwell to lakemba?? Wow no wonder your perception is strange. I knew there was a reason you latched onto the distance thing so strongly.

Comparing lakemba to atwell. Now I know your a funny
man and not being serious. Haha

 

[Rixter]

Regardless of the sector, the madness of crowds can lead to great harm. By being vigilant, one can (hopefully) avoid bubbles.



Isn't Atwell equidistant from the Perth CBD as Lakemba is from Sydney? Correct me if I am wrong.

Wrong..your correction as granted. Tho now we do know you're just taking the mickey.

 

[Ausprop]

Regardless of the sector, the madness of crowds can lead to great harm. By being vigilant, one can (hopefully) avoid bubbles.

again... the 'bubble' burst 2 years ago!! the house that i use as an example in swanbourne went from $1.55m to $1.05m in the bust. to drop say another 30% would take it to $700k. this would be ludicrously cheap for its location (which is why it has recovered a little).

the bust down mandurah way has barely recovered at all. the houses that were $500k dropped their 20-25% and are still languishing around $350-$400k.

If you were to identify a bubble, try looking at the hottest real estate market currently in australia that's in a city that has no resources exposure.