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

[see_change]

Don't know what to say.... Why is people so desperate........

I Just Don't understand the market.

Fear of missing out . As some people have been saying for a while , it over shoots , going up and going down .

It's not logical , but it happens .

Actually , it has only recently hit its long term average so it's stil got a little way to go .

One thing that might have taken the edge off it would have been a labor win in nsw but we've been saved that .

People make money in property , they create wealth , feel confident and spend more money . Economy picks up .

It will start flowing onto other states .

Now if only we can get rid of Abbott and have a good budget .

Cliff

 

[charlieandkath]

Fear of missing out . As some people have been saying for a while , it over shoots , going up and going down .

It's not logical , but it happens .

Actually , it has only recently hit its long term average so it's stil got a little way to go .

One thing that might have taken the edge off it would have been a labor win in nsw but we've been saved that .

People make money in property , they create wealth , feel confident and spend more money . Economy picks up .

It will start flowing onto other states .

Now if only we can get rid of Abbott and have a good budget .

Cliff

I reckon there is just too much good news about Sydney property for it to tank backwards at the moment. Still aiming for a circa 1.3 to 1.4 million median.
Good news includes Bairds win last night, supply and demand issues, Sydney is landlocked, Sydney has unmatchable beaches and harbour, tourism will increase with lower aussie dollar, lower aussie helps also by making property cheaper for overseas investors, share market has not fired yet, interest rates still trending downward, Australia is a safe place, reasons above that see change has mentioned, immigration and the amount of immigrants that want to live in Sydney, probably lots of other reasons.
Sure it will correct one day but to me that day is still a fair way off. Yes we are getting closer to that day and caution should be taken but if good research is undertaken then I see that buying in certain pockets of Sydney is still a good idea.

 

[hobo-jo]

I reckon there is just too much good news about Sydney property for it to tank backwards at the moment. Still aiming for a circa 1.3 to 1.4 million median.
Good news includes Bairds win last night, supply and demand issues, Sydney is landlocked, Sydney has unmatchable beaches and harbour, tourism will increase with lower aussie dollar, lower aussie helps also by making property cheaper for overseas investors, share market has not fired yet, interest rates still trending downward, Australia is a safe place, reasons above that see change has mentioned, immigration and the amount of immigrants that want to live in Sydney, probably lots of other reasons.
Sure it will correct one day but to me that day is still a fair way off. Yes we are getting closer to that day and caution should be taken but if good research is undertaken then I see that buying in certain pockets of Sydney is still a good idea.

Are you trying to convince yourself or us? Let us know once you've bought again, we'll pencil that in as a possible peak

 

[Snoopy]

I reckon there is just too much good news about Sydney property for it to tank backwards at the moment. Still aiming for a circa 1.3 to 1.4 million median.
Good news includes Bairds win last night, supply and demand issues, Sydney is landlocked, Sydney has unmatchable beaches and harbour, tourism will increase with lower aussie dollar, lower aussie helps also by making property cheaper for overseas investors, share market has not fired yet, interest rates still trending downward, Australia is a safe place, reasons above that see change has mentioned, immigration and the amount of immigrants that want to live in Sydney, probably lots of other reasons.
Sure it will correct one day but to me that day is still a fair way off. Yes we are getting closer to that day and caution should be taken but if good research is undertaken then I see that buying in certain pockets of Sydney is still a good idea.

Sydney is absolutely hot atm. There will be a lot of infrastructure spending from the government coming in the next few years together with the compounding impact of the construction boom. For me the market has priced in a lot of the good news and since no one knows what the potential bad news could be none of the risks. I am sure prices still have some upside but I wouldnt buy in this market for the long run.

 

[hugh72]

Are you trying to convince yourself or us? Let us know once you've bought again, we'll pencil that in as a possible peak

Without being too cheeky it read a little like a brochure for a OTP unit in Surfers Paradise IMO. Maybe the peak is near, but it sounds like one unbelievably hot market at the moment

 

[charlieandkath]

Are you trying to convince yourself or us? Let us know once you've bought again, we'll pencil that in as a possible peak

Just trying to hype the Sydney market.

 

[charlieandkath]

What was the median on the weekend please anyone?

 

[Richard Feynman]

What was the median on the weekend please anyone?

$1,057,500

It's been consistent for a few weeks.

 

[see_change]

Some interesting comments from Andrew Wilson in this article .

http://news.domain.com.au/domain/re...rate-goes-off-at-auction-20150328-1m9wry.html


The Domain Group senior economist, Dr Andrew Wilson, says he's "absolutely astonished".

"This could not have been rationally predicted - the highest clearance rate on the biggest auction day ever. This is the hottest of hot auction markets ever."


Andrews problem is that he is still trying to analyse this rationally , and humans often behave in an irrational manner , as they do in booms and busts .

This weekend is the first time I think I've seen evidence of irrational exuberance .

That doesn't mean things are about to end next week , next month or even in a years time , but this sort of market will not last for too long , though another couple of interest rate drops could keep it going for a while

Cliff

 

[charlieandkath]

$1,057,500

It's been consistent for a few weeks.

Thanks Richard.

 

[charlieandkath]

Some interesting comments from Andrew Wilson in this article .

http://news.domain.com.au/domain/re...rate-goes-off-at-auction-20150328-1m9wry.html


The Domain Group senior economist, Dr Andrew Wilson, says he's "absolutely astonished".

"This could not have been rationally predicted - the highest clearance rate on the biggest auction day ever. This is the hottest of hot auction markets ever."


Andrews problem is that he is still trying to analyse this rationally , and humans often behave in an irrational manner , as they do in booms and busts .

This weekend is the first time I think I've seen evidence or irrational exuberance .

That doesn't mean things are about to end next week , next month or even in a years time , but this sort of market will not last for too long , though another couple of interest rate drops could keep it going for a while

Cliff

Great summary Cliff.

 

[ej89]

Surely this can't be normal.. Was the last boom as crazy as this? This has gone on forever and feels like it'll never end.

 

[windyzz]

Hockey is proposing GST Hikes... http://www.smh.com.au/federal-polit...more-gst-less-income-tax-20150329-1maeco.html

If this approved... What will happen to house price. Back in 2000 the introduction of GST has caused housing price to increased significantly.

 

[Biz]

Surely this can't be normal.. Was the last boom as crazy as this? This has gone on forever and feels like it'll never end.

The last boom (early 2000's) was bigger and more wide spread than this I reckon. Prices literally doubled in most suburbs. Not seeing that this time, seems to be mostly 20-50% increases over a couple of years.

I have a regional NSW property I picked up back then. Last time the area doubled in price, this time nothing.

 

[see_change]

Surely this can't be normal.. Was the last boom as crazy as this? This has gone on forever and feels like it'll never end.

As biz pointed out , this is , so far less impressive than the last boom .

While prices were rising prior , my observation is the Market only started heating up in the second half of 2013 . We were in the market at the time looking for a PPOR and further Sydney investment properties .

In around a two week period we saw numbers of people at open houses jump significantly and suddenly we were in a bidding war for properties whereas a month before there was plenty of time to look , compare properties and work out which one we wanted to make an offer on .

While there are some doomsayers around , there are many members who think this has a way to go , equally most seem to be of the opinion it's too late to buy in Sydney , as an investment , now ( mainly as buy and hold ) .

I'm cheering from the sidelines

Cliff

 

[see_change]

The last boom (early 2000's) was bigger and more wide spread than this I reckon. Prices literally doubled in most suburbs. Not seeing that this time, seems to be mostly 20-50% increases over a couple of years.

I have a regional NSW property I picked up back then. Last time the area doubled in price, this time nothing.

Regional areas follow Sydney . Give it time .

Cliff

 

[Biz]

Regional areas follow Sydney . Give it time .

Cliff

I hope so but I think it is different these days. The internet has sped up the way the cycle moves. Prices in area like the central coast and Newcastle pretty much are increasing in line with Sydney where as the last boom and before that the ripples moved slower.

Hey, I hope you are right though!

 

[ej89]

As biz pointed out , this is , so far less impressive than the last boom .

While prices were rising prior , my observation is the Market only started heating up in the second half of 2013 . We were in the market at the time looking for a PPOR and further Sydney investment properties .

In around a two week period we saw numbers of people at open houses jump significantly and suddenly we were in a bidding war for properties whereas a month before there was plenty of time to look , compare properties and work out which one we wanted to make an offer on .

While there are some doomsayers around , there are many members who think this has a way to go , equally most seem to be of the opinion it's too late to buy in Sydney , as an investment , now ( mainly as buy and hold ) .

I'm cheering from the sidelines

Cliff

So did you end up buying a PPOR?
How was the feeling around first home buyers back in the last boom?

 

[hugh72]

Regional areas follow Sydney . Give it time .

Cliff

Waiting for that wave, calm seas at the moment unfortunately

 

[see_change]

So did you end up buying a PPOR?
How was the feeling around first home buyers back in the last boom?

We downsized .

We saw the jump in numbers at open houses . Got out bid on a couple of IP's . I mean who'd pay over 580 for a 2 bedder in manly ...

When we saw our perfect downsizer come on , we had done our DD prior to the first open . Came in with a bid at the end of the first open and signed by mid week . Most other buyers and the agent hadn't adjusted to what was happening , so i think they were just happy to have a quick sale .

First home owners .... They're always complaining about how expensive Sydney is and how it's impossible to get into the market . Nothing's changed .

Cliff