Prediction on where next boom is?
- Thread starter DAAJ
- Start date
To me it is all about the basics.
Supply and Demand.
As a Sydneysider with some Melb experience, I note this...
Sydney is constrained in areas to grow. You simply cannot release a lot of new land easily where in Melbourne they can turn farms in homes in places like Hoppers Crossing and Melton pretty easily.
Melbourne has a de-centralised economy, mix of blue and white collar employment with a very good road and public transport system. Demand is spread.
Sydney is city centric and has poor public transport and even worst roads. Sydney is a white collar city. Most on the big money jobs is the CBD and North Sydney and that area is very tight for homes hence any homes with yards within 5km of the CBD less than $1M is seen as good value. This will not change and only so many want to live in apartments, no matter how trendy the spin doctors put it.
Case in point I recently sold my PPOR in Surry Hills 10 minutes walk form Central Station which it the equivalent of Spencer Street Station. Trendy Suburb with DINKS.
Auction with Four first home buyer couples fought each other to buy a 2 bedroom terrace on 52m2 of land, with no carparking
How much??? Try $521k. That’s half a $M for your first home and probably greater than 80/20LVR!
Professional Couple and I would estimate he is on around $80 to $100k and she say $60k per annum. Only in their twenties. That what you can demand!
Sydney is so CBD centric People commute 2 hours and more door to door in and the same time again out every day in Sydney and still pay $300k for homes on the Central Coast. In Victoria, 2.5hours would get you into NSW!
With the present Sydney IP market the unit developers are quiet and you cannot bring 1000's of unit on with a click of your fingers. Min. turn around is 2 years.
So if everyone still has work at the above income then demand must grow and supply will not. That is why Sydney moves first and why it moves quickly.
Melbourne from what I understand still has rentals in the Docklands? Sydney is getting tight for rental accommodation.
I am glad Michael Yardley sees Melbourne moving as well bought into Regional Melbourne / Country Vic 12 months ago.
Supply and Demand in WA?
As the mine workers in WA earn big dollars then can afford to buy a house or upgrade. But the local building industry can only build so many so fast. Demand High and Supply Low.
Whilst this imbalance remains, WA still has favour.
Lastly Qld is purely driven by immigration interstate. If that stops the Qld is in the doldrums. If it stays or grows all is well.
Peter 147
Supply and Demand.
As a Sydneysider with some Melb experience, I note this...
Sydney is constrained in areas to grow. You simply cannot release a lot of new land easily where in Melbourne they can turn farms in homes in places like Hoppers Crossing and Melton pretty easily.
Melbourne has a de-centralised economy, mix of blue and white collar employment with a very good road and public transport system. Demand is spread.
Sydney is city centric and has poor public transport and even worst roads. Sydney is a white collar city. Most on the big money jobs is the CBD and North Sydney and that area is very tight for homes hence any homes with yards within 5km of the CBD less than $1M is seen as good value. This will not change and only so many want to live in apartments, no matter how trendy the spin doctors put it.
Case in point I recently sold my PPOR in Surry Hills 10 minutes walk form Central Station which it the equivalent of Spencer Street Station. Trendy Suburb with DINKS.
Auction with Four first home buyer couples fought each other to buy a 2 bedroom terrace on 52m2 of land, with no carparking
How much??? Try $521k. That’s half a $M for your first home and probably greater than 80/20LVR!
Professional Couple and I would estimate he is on around $80 to $100k and she say $60k per annum. Only in their twenties. That what you can demand!
Sydney is so CBD centric People commute 2 hours and more door to door in and the same time again out every day in Sydney and still pay $300k for homes on the Central Coast. In Victoria, 2.5hours would get you into NSW!
With the present Sydney IP market the unit developers are quiet and you cannot bring 1000's of unit on with a click of your fingers. Min. turn around is 2 years.
So if everyone still has work at the above income then demand must grow and supply will not. That is why Sydney moves first and why it moves quickly.
Melbourne from what I understand still has rentals in the Docklands? Sydney is getting tight for rental accommodation.
I am glad Michael Yardley sees Melbourne moving as well bought into Regional Melbourne / Country Vic 12 months ago.
Supply and Demand in WA?
As the mine workers in WA earn big dollars then can afford to buy a house or upgrade. But the local building industry can only build so many so fast. Demand High and Supply Low.
Whilst this imbalance remains, WA still has favour.
Lastly Qld is purely driven by immigration interstate. If that stops the Qld is in the doldrums. If it stays or grows all is well.
Peter 147
