How many Properties in your Portfolio?
- Thread starter Corey Batt
- Start date
I agree but you see it often in many forums. Fresh people enter not real sure about things so they just ask what is on there minds. Some people respond with carefull and helpfull guidence and therefore gain another forum buddy. While some tend to jump on them and this may be enough to make them leave. I just think as new guys they should be given more rope. As most do on here anyway.
Don't take it to heart original poster. Alex was in to me, just the same as he is with you now when I was new. I remember it like it was yesterday
I recommend reading a few good books on the subject, as there is no easy way to understand investing and no-one can offer you the answers you seek but yourself, and that takes time and dedication.
If you want it you'll get there.
Cheers and good luck with your investing
I recommend reading a few good books on the subject, as there is no easy way to understand investing and no-one can offer you the answers you seek but yourself, and that takes time and dedication.
If you want it you'll get there.
Cheers and good luck with your investing
Don't take it to heart original poster. Alex was in to me, just the same as he is with you now when I was new. I remember it like it was yesterday
I was there for ya, buddy! Hope you remember that.
They don't know what they don't know. The fact that they are here and posting at all means they know they don't know stuff, which is where wisdom begins.
As you know, young fella.
Don't be put off by some comments, it's just that there are so many different people on here with different opinions. It doesn't matter what you say, there will always be someone who jumps in to shoot you down. I'm sure if I said I sold all my assets, gave the funds to a children's hospital and quit my job to do volunteer work overseas (which by the way I haven't done, I'm far too selfish for that ), there would be someone who would have a negative opinion of it. You get used to it and soon realise what to ignore and what to take on board.
), there would be someone who would have a negative opinion of it. You get used to it and soon realise what to ignore and what to take on board. 
Rob is in a great position, $2.5 mil of property, going up by the average 7.2% PA = $180,000 per year capital growth.
Now it also depents on how much cash flow loss he makes PA, this needs to be removed from the 'growth profit' he makes.
but in 10 years he will own 5 million in property, with $2.5 mil in his pocket!
Now it also depents on how much cash flow loss he makes PA, this needs to be removed from the 'growth profit' he makes.
but in 10 years he will own 5 million in property, with $2.5 mil in his pocket!
Thats what I thought Lil Skater, most people don't like to divulge much on their financial situations, especially if they're doing exceedingly well of course!
Fix'd that for you
there was an earlier thread that demonstrated a property that didn't grow one jot between 1990 and 1998. This was also my recollection of those years. then last year there was blue chip property dropping 40% here in Perth... the epicentre of this huge resources boom we are bombarded about all day long. then we have melbourne going ballistic out of the blue. A smooth and gentle 7.2% sounds liek dangerous talk to me, that's all. Don't get me wrong, I do have faith in property - I just think that a lot of SSers are based in melbourne and are probably living in a parallel universe in which we can have a GFC and yet property prices are booming as is the stock market... this behaviour is not rational and we need to be concerned about where this is heading. the real economy is not as these indicators would have you believe
That's strange, REIA indicates unit growth out striping housing growth across states.
unit and apartment, two different properties.
long term growth, houses usually grow more than apartments.
@ ausprop, yes I agree, in the 90's there was little growth for like 8 years! this is why I sold some IP's in 05 cause I thought raising rates would = subdued growth. but then we had rates go south, which kicked off record capital gains.
I would assume now with raising rates, growth over the next 12 months wont be so exciting. so I'm not running to but IP's at the present..
long term growth, houses usually grow more than apartments.
@ ausprop, yes I agree, in the 90's there was little growth for like 8 years! this is why I sold some IP's in 05 cause I thought raising rates would = subdued growth. but then we had rates go south, which kicked off record capital gains.
I would assume now with raising rates, growth over the next 12 months wont be so exciting. so I'm not running to but IP's at the present..
It's a wrong assumption.
And there are times when low "quality" grows more than "quality".
Of course no definition of what constitutes quality has been given, so I assume it's what's found in books.
A quality property is one that has good growth. Therefore, by definition, only quality properties have good growth
Mine did ok over that period.
But price by itself does'nt mean much. It's easy to look at the 70's and wonder at the consecutive double digit rises.
But you need take into account the other factors including high interest rates and tight credit and inflation. Just as credit squeezed up in the early 90's.
There's still a whole lot of people defaulting.
btw here's my latest portfolio addition:
So you're going to make the same ''error'' twice??
Yep and that trend will continue and the outstripping will grow, over time as well.
The demographic is changing. I'm ready
I would have thought location would be more important than house vs. apartment/unit? Sure, maybe houses go up more when you're comparing houses in the same suburb vs. apartments/units of the same suburb, but sometimes one is limited by $$ as you could be talking about $1M+ houses where you can get apartments for $400K, and so prefer to buy apartments in quality (predicted high growth) suburbs rather than houses in less quality (predicted lower growth) suburbs. I'll be facing this dilemma next year, whether to buy a unit where I think has potential for good capital growth as I've been priced out of the houses, or should I buy a house somewhere further out.
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