Property "slowdown" - Good time to buy?

[LucasK]

Just wondering, will the property "slowdown" mean lower prices, and better bargains? I remember for the stockmarket people tend to bail out when their stock does badly, would the same apply to property?

I think Kiyosaki said he brought a lot of property during the 1987 US crash or something, so perhaps the perception that something is wrong about property (irregardless of whether there is) might make it a good time for some bargains? Or even negotiation strongpoints? ("The property bubble is gonna burst, how about a cheaper price?")

 

[Tibor]

Hi Lucas,

Slowdown is exactly, what it says. It means rather stabilisation than going backwords, meaning lots of real bargains being around.

If you get this information from the media, I would be very careful taking it seriously. It is usually written by jurnalist on 40K having no RE exposure and ventillating an opinion as fact, just to sell papers. Even the so called experts can not get it always right.

Why don't you try to use Steve Navra's Rental reality when you look at property prices? While it is just one of the tools and research one has to do, it can help you to pay inflated prices.

If you don't know what it means go to
http://www.navra.com.au/articles/real_time_mkt.html
which explains it in detail.

While it is a good indicator, it still requires for you to do your homework about the area you are looking at.

Good luck,

Tibor

 

[geoffw]

Originally posted by LucasK
I think Kiyosaki said he brought a lot of property during the 1987 US crash or something, so perhaps the perception that something is wrong about property (irregardless of whether there is) might make it a good time for some bargains? Or even negotiation strongpoints? ("The property bubble is gonna burst, how about a cheaper price?")

The time for bargains is after a crash, not in that leadup to the final peak (if that's where we are- and we won't know that until afterwards).

 

[Brenda Irwin]

Local paper here today said: "the greater Brisbane area-including Ipswich- does not have enough new homes to meet demand for the ave annual population growth of 16,250 people. Brisbane is likely to experience strong price growth over the next two years".

Personally the market has "slowed down" basically because there is a severe lack of stock available to service the demand. This is also true of the rental market where the availability of houses is woeful.

By all means if anyone can find any little gems in the market at present, go for it.

Cheers Brenda

 

[mitch]

A good time to buy ?

12 odd months after interest rates hit 8.5 %.

As to when that will happen, l need to discuss that with my budgie , Ruprect