Sydney property prices set to double

[komstak]

Do you agree with these predictions?

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UP TO half of Sydney homeowners are set to become property millionaires, with house prices predicted to double in the next decade.

Figures prepared exclusively for The Sunday Telegraph by Australian Property Monitors (APM) show Sydney's median property price is on target to reach $1.2 million, averaging 7.6 per cent growth per annum.

http://www.news.com.au/money/proper...es-set-to-double/story-e6frfmd0-1225843302974

 

[tigerGT]

No I do not. The only variables taken into account where past performance and that is all. for example it predicts that tregear will be worth more than mt druitt in 10 years. IT predicts that most sydney suburbs will be worth less than they are now in 5 years. It has pretty much just taken the patter for the last 10 years and projected it into the future. I do not disagree with the general fact that in 10 years prices will be much more but I dont think that this articlea and hte subsequent newspaper liftouts should be taken seriously.
.
If I was to accept them as fact then i wont buy anything now because in 5 years house prices will be cheaper.

 

[tab]

I dont like these headlines or articles. it adds fuel to the fire and makes people panic about 'getting in now' before it is too late.

Why should anyone be surprised? The state of journalism in most parts of the world is beyond belief. Simply, in the 'sunset industry' of print journalism this kind of story sells papers and creates talk no matter how poorly researched it is.

It is like they have said 'Ok, we are at the start of a up in the cycle- prices double every 10 years so lets double the median now and show how everyone will be a millionaire'

 

[Nathan]

I will tell you in 10 years,

I am very confident of the market and still see many under valued opportunities.

But really who knows?

 

[craigb]

No i do not, i think they all will , canberra, perth, brisbane, melbourne, and perhaps sydney.

 

[Propertunity]

I have not read the article & I don't plan to. I'm not a fan of "locked out of the market forever" theorists.

Do I think a $500K unit in Sydney's inner west will be worth $1M in 10 years time? Sure, why not? It is an international city. Wages are rising. Foreign investors are allowed to buy here - and they think it is cheap.

Do I think a millionaire is worth much in today's money? Not really, no.

Do I think a millionaire will be worth much in 10 years? Absolutley not!

There are a number of suburbs on Sydney now that have a median price over $1M - it is no big deal anymore.

 

[Fudge]

I have not read the article & I don't plan to.
Do I think a millionaire is worth much in today's money? Not really, no.

Do I think a millionaire will be worth much in 10 years? Absolutley not!

Agree,

Jees, in 10 years time, my salary will be half way there. ......

I think this will be the norm.

I can remember a good few years ago talking about Millionaires, and people like Donald Trump and the likes were being mentioned.

I think the new Millionaire should be equivalent to maybe twenty million.

You certainly don't hear of today's millioniare owning a pad in Monaco and running around in a super car.

F

 

[BV]

Do you agree with these predictions?
[/url]

I've actually bought the newspaper and looked at some of the figures.

They're predicting futher growth for the next 3 years, a small correction (5% or so) in 5 years time followed by nearly doubling of prices by 2019.

IMO it is possible to get the figures they've publiished because
their starting figures are from 2009 and prices have already moved 15% so
there is only 85% to go.

 

[Dazz]

....why don't we as a nation just knock a zero off everything.


Houses would be back to 50K.
Petrol would be 11c per litre.
Average wages would be $ 100 per week.
A bag of lollies would be 20c again.
A cup of coffee would be 35c.
A newspaper would 15c.
Ladies hairstyles at a stylish fashion house would only be $ 40. (bargain)
BHP shares would $ 3.50
Stamps would be 6c
Factories and office blocks would be back to 1m again.
Pack of ciggies would be 80c.
A week of groceries for a family would be back to $ 35

I reckon the notes would last alot longer in circulation, and the $ 2 coin would have some serious buying power.

 

[lillyvale]

Double in 10 years? What about the so called theory of house prices doubling every 7-10 years. Doesn't that mean that house prices should have just about doubled already from the last peak? You can't believe everything you read.

 

[wobbycarly]

....why don't we as a nation just knock a zero off everything.

Hellloooo, Zimbabwe!!

 

[Dazz]

Are you sure about that Rob, I thought my suggestion was going in the opposite direction. Instead of bread going from $ 3.00 a loaf up to 2 trillion per loaf, I was suggesting knocking it back to 30c a loaf.

Perhaps you could expand your very detailed 2 word comment.....

 

[wobbycarly]

While issues in Zimbabwe's economy was caused by hyper-inflation, I believe that your suggestion is as silly as their approach of just adding a zero. Particularly if the rest of the world wasn't willing to "knock a zero off"! Imagine if our $ was worth US$0.09 - and our assets 1/10[sup]th[/sup] - money would be piling in from all over the world, quickly pushing asset prices up very quickly. That poor bloke who now earns $100/week will have no chance of buying a house. Although $1 chips from the F&C shop would feed the whole street!

I read your initial post as a joke, so I responded in a similar vein.

 

[RocketMan]

i reckon the 'property prices to double' story is one of those stories in the media that journalists fall back on if they still have blank space in the paper due to lack of articles/advertisements.

 

[Dazz]

I believe that your suggestion is as silly as their approach of just adding a zero. Particularly if the rest of the world wasn't willing to "knock a zero off"! Imagine if our $ was worth US$0.09

Once again Rob, you're going the wrong way mate. You obviously aren't understanding what I'm suggesting. If we knocked a zero off everything, our new AUD would be worth USD $ 9.00.

That poor bloke who now earns $100/week will have no chance of buying a house.

Why not ?? Earn $ 100 / wk, house prices are 50K vs Earn $ 1000 / wk and house prices are 0.5m.....what's the diff ??

 

[RocketMan]

i think rob is a confused panda

 

[crc_error]

property doubles every 10-12 years anyway, so really this isn't news.

property may double, may go to 75% or may go up 120%..

the rate interest rates are running at the moment, I would say property if anything will stall for the short term.

Realestate agents know this, hence these type or 'articles' in the news every few days..

Really, no one wins if property is so expensive. only people win is the world bank who keeps everyone enslaved for life..

No real wealth is created when property goes 'up in value' with no real improvement

 

[RocketMan]

it's the hallmark of ponzi finance. as long as the music keeps playing then everyone feels richer

 

[Pogi]

No I don't believe in this. Terrible journalism and just something to annoy the general public with.

Prices will not go up forever for every home.

 

[Deltaberry]

property doubles every 10-12 years anyway, so really this isn't news.

property may double, may go to 75% or may go up 120%..

the rate interest rates are running at the moment, I would say property if anything will stall for the short term.

Realestate agents know this, hence these type or 'articles' in the news every few days..

Really, no one wins if property is so expensive. only people win is the world bank who keeps everyone enslaved for life..

No real wealth is created when property goes 'up in value' with no real improvement

If prices go up because people's standard of living and desposible income is improving, that's great. Not the case here.