Is it Hot, or What?
- Thread starter skater
- Start date
OK, so Hubby was talking to the selling Agent this morning. The place was listed as offers over $579,950. It sold for $717K.
Same Agent has the 3 bed version of ours going to Open on 7th March. Offers over $529,905. They have changed the dining area to a bedroom & made the second living area the new dining room. So you now have 4 beds, one eating, one living, one bath. Ours is 4 beds, 2 eating, 2 living, 2 baths, double carport & large entertaining area.
I might need to get mine revalued again. Rolf!!!!
Same Agent has the 3 bed version of ours going to Open on 7th March. Offers over $529,905. They have changed the dining area to a bedroom & made the second living area the new dining room. So you now have 4 beds, one eating, one living, one bath. Ours is 4 beds, 2 eating, 2 living, 2 baths, double carport & large entertaining area.
I might need to get mine revalued again. Rolf!!!!
When markets are insane like this its a nightmare, re agents wont return calls, buyers fighting, back stabbing ouch, ethics go out the door, doggy dog world. I actually hate buying in this market as I think its just too easy for emotions to get the better and end up paying too much.
Though I am totally envious of those holding many properties in Syd at the moment.
MTR
Though I am totally envious of those holding many properties in Syd at the moment.
MTR
Hehe! Divesting in some of them at the moment.
Really wondering whether to do the same.
The strategy was to just hold them and watch the value grow - given the effort made to get them CF+.
However, the prices at the moment are just about too good to refuse. A lot of targets could be achieved right now.
It is such a big decision - good on you for being able to make it !
It's as hot as a volcano. I put money on a House and Land package in Riverstone 3.5 weeks ago for 584k in riverstone for my parents to downsize to eventually because most decent houses in decent areas are 650k plus so this worked out better. The exact same size house and land package for the lot next to mine went up for sale a couple days ago and they're now selling for 685k. The demand was so crazy that the price went up by 100k in 3.5 weeks. Glad I got it just before the RBA cut the rates
Hehe! Divesting in some of them at the moment.
Nice position to be in.
I was in the same scenario years ago and at that point in time buy and hold was my strategy, sell nothing.
Knowing what I know now I believe what Skater is doing is excellent, selling down, not all properties... it reduces debt, you are taking the money off the table I expect close to peak when prices have over shot.
When the market turns and it will eventually, prices do fall back, no one can pick the peak but if you are sitting with 30%-50% profit nice
. Park your cash ready for the next cycle somewhere in Australia, or up skill ie developing and you have cash and choices.
Just my 2c rant again
MTR:
So .... how did your scenario play out ?
Hasn't another cycle come around and given you the opportunity to sell at a higher price then if you had sold earler ?
Our Sydney properties have (apart from one) been held for a long time - so there would be significant CGT to pay. The costs to exit the properties would be around 10% and the cost to later invest in another market would be 5%.
So, you need to be pretty confident about the future directions to take the decision to sell..
At the moment just glad that we did not sell earlier in the cycle for Sydney.
ditto.....stressful
Can't tell because every boom is different.
I remember on 2010 Sash mentioned the mother of the boom is coming. He didnt mention exactly when will the boom last. But last year he made new topic, and mentioned the trigger will be increase on interest rate.
Once interest rate start climb up, people will strugle with repayments, and they will force to sell. That will increase stock in the market and will slow down the price hike.
Let's enjoy the ride will the price is up ..
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Accessed equity prior to peaking and moved on to other booming markets. However it took 6 years for my properties to rise and not all of these are back to prices of 2006 at that time this was the Perth booming market I was playing in.
I think the last time Syd crashed was 2004??? started rising 7-8 years later and prices in all areas fell back including blue chip. As you can see there it's a long time between drinks. I trade now, so I don't want to miss other markets that are moving and holding on to stock with no growth opportunities in the immediate future. All to their own.
Oh Yes, Sash has made many predictions, here we go
I think he said in 2010 median price of Syd would be $800K in 2014/15, I think his pretty close, 850K??
Here is the link
http://somersoft.com/forums/showthread.php?t=60377&highlight=sash+mother
Thanks MTR...I don't always get it right...
Great minds think alike....the risk is the Sydney market. Mid 2015...would be a great time to sell and get out. Move quickly once the first interest rate rise is announced. Watchout 2017-2018....will be blood bath in Sydney! It started with cries of joys in Western Sydney..and it will end in tears there also.
Perth is a real surprise...it seems to have avoided a bust and has cooled itself. The prices there are still affordable compared to Sydney and Melbourne. It is definitely a balanced market...which is good thing so prices will still move albeit slowly. It seems to have avoided a painful boom bust.
The real dark horse is Brissie....demand is solidifying...but no major price rises. I think you will see this once the Newman govt is voted out and Southerners again move to Brissie. Jobs have a lot to do with this.
Here we go, for anyone who cares to read posts by Sash, his psychic, I am sure of it.
Quote:
Originally Posted by MTR View Post
Sash always gets it right.
Now Sash..... can you please tell me when you expect a downturn in the market.
I am thinking some time in mid 2015????? Like your insight/thoughts about this
Some markets in Perth are starting to slow down now, not a crash by any means, however more stock on the market, changing from a sellers market to more of a balanced market.
MTR
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I think he said in 2010 median price of Syd would be $800K in 2014/15, I think his pretty close, 850K??
Here is the link
http://somersoft.com/forums/showthread.php?t=60377&highlight=sash+mother
Thanks MTR...I don't always get it right...
Great minds think alike....the risk is the Sydney market. Mid 2015...would be a great time to sell and get out. Move quickly once the first interest rate rise is announced. Watchout 2017-2018....will be blood bath in Sydney! It started with cries of joys in Western Sydney..and it will end in tears there also.
Perth is a real surprise...it seems to have avoided a bust and has cooled itself. The prices there are still affordable compared to Sydney and Melbourne. It is definitely a balanced market...which is good thing so prices will still move albeit slowly. It seems to have avoided a painful boom bust.
The real dark horse is Brissie....demand is solidifying...but no major price rises. I think you will see this once the Newman govt is voted out and Southerners again move to Brissie. Jobs have a lot to do with this.
Here we go, for anyone who cares to read posts by Sash, his psychic, I am sure of it.
Quote:
Originally Posted by MTR View Post
Sash always gets it right.
Now Sash..... can you please tell me when you expect a downturn in the market.
I am thinking some time in mid 2015????? Like your insight/thoughts about this
Some markets in Perth are starting to slow down now, not a crash by any means, however more stock on the market, changing from a sellers market to more of a balanced market.
MTR
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It's an easy decision to make.
Yeah, I didn't do it last time. We had one ready for sale & the bottom fell out of the market. Not making that mistake again.
Selling some, buying some, paying down debt. It's a busy time.
I heard from one of REA, the reason they dont return the call because they busy calling investor list under their Property management.When markets are insane like this its a nightmare, re agents wont return calls, buyers fighting, back stabbing ouch, ethics go out the door, doggy dog world. I actually hate buying in this market as I think its just too easy for emotions to get the better and end up paying too much.
Though I am totally envious of those holding many properties in Syd at the moment.
MTR
They search possibility if the owner would like to sell.
Which is make sense in this current market, by keep adding new stock will increase their revenue. But I completely agree with you and other, I dont want to be a buyer in this market. Problem for buyer is fear of missing out, they dont realise the price can go down and will go down
Smart agents working it well. Lack of stock, they will kill their mother for a house I am sure of it, they get desperate, its tough being an agent in boom times, believe it or not.
I am just like everyone else, I get emotional in hot markets, but I try to get in early stages, shoot down my competition, while they are worrying about paying an extra $5K, I give them $10K, I know I will make that one up within the next month. However, when its red hot ie Syd market today, you are perhaps behind the 8 ball, damn it.
I know Skater has a couple of nice properties she is selling, just give her an extra $80K and its yours, wont hit the market
It seems that way but will only go down when interest rates rise a fair bit. It will also only go down in areas that have a lower average income but where people are in debt up to their eyeballs. In my opinion the worst hit areas will be south west sydney, fairfield, merrylands, guildford, greystances and parts of blacktown. The places that wont go down much are hills, northwest growth centre and inner city as all the people that live in these areas generally have a high income and wont be too affected by $100-200/week. I have friends who make 50k a year and are getting loans of 600k for a PPOR.. probably due to dodgy brokers and dumb banks.. How they plan to survive through an interest rate of 6 or even 7% I have no clue.
