Sydney was very much underperformed for a decade (October 2013).
"Over the past decade (written on October 2013), dwelling prices have risen by:-
31 per cent in Sydney
79 per cent in Brisbane
80 per cent in Melbourne
143 per cent in Perth"
In saying that, the experienced investors are looking for selling, instead of buying at this stage of property cycle, if he isn't the buy/hold style investors.
If I am a new investor without any property, I will still buy in Sydney. However, the price I pay today might be up very quickly now, but could be down back to today's level after maybe 5 years later when the market is very cool at that time.
So, I will buy with more careful and make sure I can hold on it for next 10 years.
There are a lot of mum and dad developers/new agents all over the Sydney. Their old business were tough and is making good money now in RE. Someone is buying few new blocks in the Ponds land release, and always there when a new land is released.
At the end of property cycle, there are always quite few developers who are making big money during the boom time, but have to declare bankruptcy at the end.
Recently read this over a shorter term
Since December 2008
- Sydney home values are up 50.1%,
- Melbourne home values are up 47.5%.
- Darwin home values are up 29%
- Canberra home values are up 21.5%
- Perth home values are up 15%
- Brisbane home values are up 5.3%
- Adelaide home values are up 9.9% and
- Hobart values are 1.4% down
The US Stockmarket is probably up 80% and the ASX up 60% since December 2008 on Growth alone (No dividends included).