See Change and Richard Feynman . let's hype the sydney market thread .

[devank]

What does the school factor have to do with this? Isn't Girraween a selective school, so residential address has zero impact.

First bullet point - "Moments to several schools, including Girraween High"

Do the primary school kids have lower cut off mark?
How about the kids on waiting list? Do they give preference to nearby students?
How about joining a selective school after year 7? Does it happen frequently?

 

[see_change]

Sea change....

You have talked about selling yours at the top...

If you listed it now... a few weeks to get it to market and 1 week to sell...

Is this the top!

Actually , I've never talked about selling it at the top . If you do that it's pure luck. We've been lucky enough to buy some properties after the GFC which later turned out to be at the bottom of the market , but we've never sold anything at the top

I still think the market has a way to go .

We want to sell it to pay off our down sizer and our weekender . This will free up cash flow and if we want to ,enable us to buy more IP's out side of Sydney , maybe even a few in hobo's home town of Adelaide

Cliff

 

[neK]

First bullet point - "Moments to several schools, including Girraween High"

Do the primary school kids have lower cut off mark?
How about the kids on waiting list? Do they give preference to nearby students?
How about joining a selective school after year 7? Does it happen frequently?

I would say that's the agent being sneaky.
No different than those ad's that have "duplex site STCA" or "potential rent of" or "potential granny flat" written all over them. Most people on this site know agents are just full of it.

Looking at Girraween High school website

Girraween High School is a modern, coeducational high school with an enrolment of 760 students.

Our school is an academically selective high school. Year Seven entry is administered by the High Performing Students Unit of the Department of Education and Communities. Selection to fill vacancies in Years 8 to 12 is determined by the school.

Students are selected to enter this school on the basis of their *academic performance*

I doubt they would accept some kid just because he/she lives next door. They would need to see their report card and probably put them through an interview before letting them in.

 

[see_change]

Strongest ever August and September

Sydney September 27th auction result
Super Saturday no barrier to hot Sydney auction market


Key points from last weekend

Eight consecutive clearance rate over 80 %

723 auctions - a new record for a September Saturday

Well ahead of the previous weekend?s 621 auctions

Well ahead of the 593 listed over the same weekend a year ago

Record performance over both August and September

Sydney - best start to a spring selling season in its history

And that's just saying what's happening . No hype

 

[see_change]

Buyers springing upon dwindling houses

Buyers springing upon dwindling houses

Seems that the number of properties on the market has decreased in the last year .

Sydney - down 16pc to 19,664 in the year to Sept 21

Over the same period, the population of NSW grew by 114,500

Cliff

 

[kamchatsky]

I would say that's the agent being sneaky.
No different than those ad's that have "duplex site STCA" or "potential rent of" or "potential granny flat" written all over them. Most people on this site know agents are just full of it.

Looking at Girraween High school website


I doubt they would accept some kid just because he/she lives next door. They would need to see their report card and probably put them through an interview before letting them in.

Unfortunately people don't do their research when it comes to getting to selective high schools. They are exams based and location is nothing to do with it. But somehow people think they can get into selective high school by living in the catchment. Now there are partially selective high schools, but to get into selective classes, you still need to sit through the exams.

Of course the REA doesn't mention about this but then I guess I don't expect REA to mention it.

If the parents really care about this kids but doesn't want to send them to private school, and they are not super smart to get into selective, they really need to work out which is the best non-selective government high schools, and then buy houses within catchment.

 

[starter]

It's still convenient if the kids get in though, so not totally irrelevant.

 

[Richard Feynman]

Sydney September 27th auction result
Super Saturday no barrier to hot Sydney auction market


Key points from last weekend

Eight consecutive clearance rate over 80 %

723 auctions - a new record for a September Saturday

Well ahead of the previous weekend?s 621 auctions

Well ahead of the 593 listed over the same weekend a year ago

Record performance over both August and September

Sydney - best start to a spring selling season in its history

And that's just saying what's happening . No hype

Makes for good reading.

 

[see_change]

Terry Ryder's turn to chip in on the bubble debate

There is no Sydney housing bubble, despite what some economists say

Despite the growth of the past 18 months, the average annual rise in house prices in most Sydney suburbs has been 3% to 4% in the past decade. Prices have barely kept pace with inflation.

Even with the most vivid imagination, it is impossible to construct a bubble from those facts.

Cliff

 

[see_change]

Michael Yardney's latest Blog points out the connection between Increase clearance rates and increasing prices.

Looking ahead, steady consumer confidence in recent weeks and elevated auction clearance rates foreshadow short-term support for sales demand and further (albeit more moderate) home price gains in Sydney and Melbourne in particular.


Cliff

 

[see_change]

Cashed-up investors paying 'ridiculous' prices

Domain chips in with some examples of price increases

Last June a two-bedroom terrace in Surry Hills cost $960,000. On Saturday it sold for $1.41 million.

Last June's buyer of 48 Buckingham Street had simply painted the interior and won council approval for a four-bedroom home on the 115 sq m block.

"It's just ridiculous," the Belle Property agent, Con Fotaras, admitted. "The owner was really stoked - I would have been, too.

"There were about 20 contracts out and eight registered so we thought it might sell for about $1.2 million.

"But there were five or six bidding - and it was really strong bidding."

Cliff

 

[BayView]

^^ How many investors are wandering around with the guts - let alone the readies available - to throw that much coin at one IP?

What would be the rental yield on a property of that price-range in that area?

 

[see_change]

There are lots of people around sydney who would have that sort of money .

If you were an orthopedic surgeon making between 1-2 mill a year , you might think about it.

Not that many on Somersoft , but some . Whether they'd buy that is debatable.

Cliff

 

[Newbieatlife]

There are lots of people around sydney who would have that sort of money .

If you were an orthopedic surgeon making between 1-2 mill a year , you might think about it.

Not that many on Somersoft , but some . Whether they'd buy that is debatable.

Cliff

though there are many wealthy folk in Sydney, an orthopedic surgeon who represent probably less than 0.0001% of the population is a silly example to use when we are talking about who is propping up the foundations of an entire property boom

 

[Tonibell]

^^ How many investors are wandering around with the guts - let alone the readies available - to throw that much coin at one IP?

What would be the rental yield on a property of that price-range in that area?

The article says "It would attract $800 a week in rent." - so perhaps 2.8% gross return on the investment.

Had a similar return on investment from a purchase a few years back - very painful. But at least that had a reasonable block of land - but a 115 m2 block ?

It has to end in tears.

 

[see_change]

though there are many wealthy folk in Sydney, an orthopedic surgeon who represent probably less than 0.0001% of the population is a silly example to use when we are talking about who is propping up the foundations of an entire property boom

I wouldn't say that example is proping up the foundations of an entire property boom

Cliff

 

[see_change]

The article says "It would attract $800 a week in rent." - so perhaps 2.8% gross return on the investment.

Had a similar return on investment from a purchase a few years back - very painful. But at least that had a reasonable block of land - but a 115 m2 block ?

It has to end in tears.

For some it will . Even when the market is not booming some people always find a way to get in over their heads .

I'm starting to wonder whether we will see a change in the historical pattern of booms during which the market doubles , to a pattern where we have a series of smaller booms where the market goes up 10 - 50 % , has a shorter pause then moves again .

Cliff

 

[BayView]

There are lots of people around sydney who would have that sort of money .

If you were an orthopedic surgeon making between 1-2 mill a year , you might think about it.

Not that many on Somersoft , but some . Whether they'd buy that is debatable.

Cliff

Exactly my point.

But, I'd wager that much of the Ortho's $2 mill wage is spent on lifetyle, and PPoR/cars/schools/boats/holidays first....

The volume of that demographic/wage earner who are in the community is tiny, the percentage of those who are keen property investors would be smaller still, and the percentage of those investors who would look at that apartment as an investment would be smaller still.

I can't imagine even half a dozen of those folks who would be stupid enough to saddle up for such a huge neg cashflow - even if they possibly could (cashflow-wise) afford it.

So, the article - "Cashed-up investors" is totally inaccurate and misleading in my opinion.

The demographic you refer to are more likely to go out and buy a holiday-home for that sort of money - and often do.

 

[see_change]

But, I'd wager that much of the Ortho's $2 mill wage is spent on lifetyle, and PPoR/cars/schools/boats/holidays first....

The volume of that demographic/wage earner who are in

So, the article - "Cashed-up investors" is totally inaccurate and misleading in my opinion.

The demographic you refer to are more likely to go out and buy a holiday-home for that sort of money - and often do.

One of the most successful property investors I know personally is a radiologist.

Bayview , I think you are being somewhat guilty of broad generalisations , stereotyping . Why is an orthopaedic surgeon any less frugal and careful with their money than anyone else ? They see first hand on a daily basis of how fragile one's ability to earn an income is ........

Anyway getting back to the topic

This thread is about hyping the Sydney market

You're not implying that our highly reputable media actually make inaccurate and misleading reports ... God forbid

Cliff

 

[DDDKEFather]

Exactly my point.

But, I'd wager that much of the Ortho's $2 mill wage is spent on lifetyle, and PPoR/cars/schools/boats/holidays first....

The volume of that demographic/wage earner who are in the community is tiny, the percentage of those who are keen property investors would be smaller still, and the percentage of those investors who would look at that apartment as an investment would be smaller still.

I can't imagine even half a dozen of those folks who would be stupid enough to saddle up for such a huge neg cashflow - even if they possibly could (cashflow-wise) afford it.

So, the article - "Cashed-up investors" is totally inaccurate and misleading in my opinion.

The demographic you refer to are more likely to go out and buy a holiday-home for that sort of money - and often do.

I think the main point of the article by sea_change "Cashed-up investors" was to highlight how much that property had gone up in value.