House prices rise in 6 out of 8 cities

[BV]

The REIA March quarter data shows median house prices rose most strongly
in Darwin and Canberra during the quarter, rising respectively by 13.0% to
$260,000 and by 11.7% to $377,800.

Other cities which also experienced an increase in prices were Sydney, up
4% to $520,000; Adelaide up 1.3% to $243,000; Perth, up 2.8% to $242,800
and Hobart, up 3.9% to $235,000.

The only two capital cities to experience a decline in median house prices
were Melbourne, down 0.8% to $368,000 and Brisbane, down 1.4% to
$345,000.

The full report is found here
http://www.propertyinsider.com.au/e...e.cfm?clientid=30&fullstory=1156&periodid=167

 

[thefirstbruce]

yeah but CBA, ABS, Property Monitors, Residex, and REIA all disagree.

 

[BV]

yeah but CBA, ABS, Property Monitors,
Residex, and REIA all disagree.

Thats the funny part......
I guess its because they all look at data differently.
I personaly have more faith in Residex but at the end of the day
a few % up or down makes no real difference.

cheers

 

[dwyerfam]

yeah but CBA, ABS, Property Monitors, Residex, and REIA all disagree.

Yeah, CBA, ABS, Property Monitors, Residex or REIA?

The RBA (Macfarlane) has also made a statement that these housing stats were "hopeless". So who do you believe? Whos stats do you follow?

BV, you said you personally have more faith in Residex. Hummmm... I have more faith in REIA (local is REIQ).

And just on that, I prefer housing stats to be in the "suburb/town" order rather then postcode order. Some (local) postcode areas can be so large and it seem to give different figs all round. I dunno, I am confused as to which figs to believe in.

Danny D.

 

[dwyerfam]

It me again. I just read that propertyinsider website:

In recent months there have been comments in the media as to the accuracy of median house price data being produced by various groups.

The Real Estate Institute data is based on information primarily collected from state government departments and all data is reviewed against the previous quarter’s data to ensure comparability

So REIQ collects state government data, CBA used their own data from loan valuations, others get stats from REA's etc etc. It's no wonder there is no standard for housing stats.

Danny D.

 

[superted]

It me again. I just read that propertyinsider website:

In recent months there have been comments in the media as to the accuracy of median house price data being produced by various groups.

The Real Estate Institute data is based on information primarily collected from state government departments and all data is reviewed against the previous quarter’s data to ensure comparability

So REIQ collects state government data, CBA used their own data from loan valuations, others get stats from REA's etc etc. It's no wonder there is no standard for housing stats.

Danny D.

The one with the biggest vested interest in thier data results is the one that I am least likely to believe

 

[Aceyducey]

The one with the biggest vested interest in thier data results is the one that I am least likely to believe

Yes but who is that....

The information sellers or the property sellers?

Cheers,

Aceyducey

 

[crest133]

Quote from current email issue of Your Mortgage Weekly :
" Significantly, new home buyers, who once made up more than a quarter of all property purchases, have now dwindled to less than half in the March 2004 quarter. "
I'm hoping the next 1/4 mil I make will dwindle to a 1/2 too.

No wonder we're confused out here.
cheers
crest133

 

[JumJones]

I generally believe stats from the valuer general, and the ABS. They have no vested interest.

When researching an area (well - i dont research stats for an area really, I focus an a specific type of property in an area), I get my stats from the local real estate agents. Generally I have found them to be up-front and pretty accurate - I always get the info from ALL the RE's operating in an area. This includes sale prices and rents. Just be a real nice person and they dont mind helping you.

BUT - Just remember people, stats are just one small part of the equation. Obviously you should never rely on stats to base a decision (and your family's future) on. If you are going to invest in an area, you need to know the more important things - what is driving the price, not just that it was averaging x% pa.

Take care of the fundamentals, and your friends can quote all the doom and gloom stats they want at you (from any source) - it wont matter!

 

[superted]

Yes but who is that....

The information sellers or the property sellers?

Cheers,

Aceyducey

Exactly Acey... Trust no one!! the best idea is to work it out for yourself. Try and live (or frequently visit) the area you want to invest and see for yourself from your new "street" perspective of whats going on in the market for that location.

I am presently looking at 3 areas and have watched them track down for the last 6 months. Two of the areas appear to have stablizied at the moment but I think i will still wait a while longer.

 

[see_change]

Exactly Acey... Trust no one!! the best idea is to work it out for yourself. Try and live (or frequently visit) the area you want to invest and see for yourself from your new "street" perspective of whats going on in the market for that location.

I am presently looking at 3 areas and have watched them track down for the last 6 months. Two of the areas appear to have stablizied at the moment but I think i will still wait a while longer.

I agree with Superted on this.

The best research is your own , Listen to every one, check things out , then make up your own mind.

See Change

 

[beachside]

I am presently looking at 3 areas and have watched them track down for the last 6 months. Two of the areas appear to have stablizied at the moment but I think i will still wait a while longer.

Ted (or anyone). As I am a novice at this, can you confirm how you "track" areas.

1) Stats would seem the most obvious, but unless comparing the exact same apples the figures can be very deceptive.

2) You could ask agents for their hands on opinion (what I normally do), and have found reasonably accurate if you find a general consensus, or

3) Follow the listings for properties for sale or rent in a particular area and note any adjustments in asking price/ final price to determine how they are "tracking". This would seem to be the most time consuming and difficult way, especially if you have to chase up agents for figures once the propery is taken off the web site.

Have I overlooked the most accurate and simplest way of tracking?

thanks

 

[superted]

Ted (or anyone). As I am a novice at this, can you confirm how you "track" areas.

1) Stats would seem the most obvious, but unless comparing the exact same apples the figures can be very deceptive.

2) You could ask agents for their hands on opinion (what I normally do), and have found reasonably accurate if you find a general consensus, or

3) Follow the listings for properties for sale or rent in a particular area and note any adjustments in asking price/ final price to determine how they are "tracking". This would seem to be the most time consuming and difficult way, especially if you have to chase up agents for figures once the propery is taken off the web site.

Have I overlooked the most accurate and simplest way of tracking?

thanks

Hi Beachside

1/ Agree with that

2/ Have you ever heard a pessimistic general consensus from a series of salesmens whos vested interest is always to be optimistic of things they sell.

Once you get through the smoke and can get the real situation by a series of questions and counter questions the real situation appears. I find this more time consuming unless you strike the right agent. Also you will not know if the answers you are given are 100% accurate unless you do point 3 and know the product.

3/ My preference is NOT to use the web cause the web listings are inaccurate to start with or slow to be updated. I was at byron 2 weeks ago and found it laughable the web listings were in many cases 10-20% higher then the window listing in this particular area i was looking at. But the dilemna I agree would be if the properties are on the other side of the country and unless i could spend substaintial time there it wouldnt be for me.

I can canvas many RE windows (listings sheets) in certain areas near where i live (easy) and remember the price ranges of listings. The away (harder 2-7hrs drive) areas dont necessarily require going there every weekend anyway as trends in property are slower and I am in no rush

As a buyer once a certain property x can comes on market in y suburb my job is to quickly determine what the accurate value range is. Whilst it can be time consuming for the away areas (driving), id rather do that then pay a potential 10-20% premium for not going there.

Hope this makes sense