Well it was one whole suburb. I can do an LGA, but the chart looks pretty much the same.
And even if you accept the fact that something completely different will occur (and I don't), but accepting that, what impact will it have on my long term goals? (Personally, I can tolerate an occassional dip on a chart or a long flat period - that is just the nature of the underlying asset.)
While bluestorm, you were busy de-leveraging to 28% LVR, others were leveraging up to 95% LVR, and in the case of this particular suburb, picked up 20-25% CG in the space of about 18 months. So for example, people who bought at $420K are now sitting on a val of $520K and $100K of equity.
Would agree with Property Unity in that whatever your view is of the market just make sure that you understand the full impact of your decision. Run some scenarios and sensitivities of your assumptions to give you an idea on a range of values that could potentially happen.
Only time will tell.
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