What's the Western Sydney market doing?
- Thread starter jmillar
- Start date
Ready to bust
My sister bought a 4 bedder in 2770 in January this year for $225K. The investor who bought the house paid $242K in 2004.
I'm banking on the possibility of a lot of people including investors over-extending themselves during this period of low interest rates and as the result driving the prices up.
My sister bought a 4 bedder in 2770 in January this year for $225K. The investor who bought the house paid $242K in 2004.
I'm banking on the possibility of a lot of people including investors over-extending themselves during this period of low interest rates and as the result driving the prices up.
What also happens is that the investor who got his timing wrong , finally sees that they can finally get close to getting their money back and they're only too happy get out of the market .
Once most of the people who are in a similar position have sold their's , there will be less resistance to the market going up .
If this is similar to previous cycles , expect the next peak of the market to be around about double of the 2004 peak.
In this sense , you can draw comparisons with the share marke in terms of support , resistance and trends.
While some of the people on the forum are suggesting that its to late to invest in the west , history would suggest now is not a bad time to invest.
In share terms , the people who have been buying over the last few years have been bottom picking . The problem with that is that you don't know when prices are going to go up . If your prepared for the holding costs that's not a problem , and if you really know your market , eg Nathan and skater , you can do very well .
One of the saving graces about the current cycle is that many places seem to be moving at the same time . Historically , central sydney moves first and then out sydney moves later. This time there isn't any or as much delay between the two areas , so the holding cost won't be as great.
As parts of inner sydney haven't move that much , I'm happy to buy centrally at the moment. Just lining finance for our next purchase and once we've done that , probably also a couple more . As we in a position to do it , I'd prefer to buy a two bedder in a good central area as opposed to two houses in 2770.
I had been expecting to buy in 2770 , but as everything is moving , we may not end up doing it and our next buys after central sydney may be regional NSW or in Brisbane .
Cliff
Once most of the people who are in a similar position have sold their's , there will be less resistance to the market going up .
If this is similar to previous cycles , expect the next peak of the market to be around about double of the 2004 peak.
In this sense , you can draw comparisons with the share marke in terms of support , resistance and trends.
While some of the people on the forum are suggesting that its to late to invest in the west , history would suggest now is not a bad time to invest.
In share terms , the people who have been buying over the last few years have been bottom picking . The problem with that is that you don't know when prices are going to go up . If your prepared for the holding costs that's not a problem , and if you really know your market , eg Nathan and skater , you can do very well .
One of the saving graces about the current cycle is that many places seem to be moving at the same time . Historically , central sydney moves first and then out sydney moves later. This time there isn't any or as much delay between the two areas , so the holding cost won't be as great.
As parts of inner sydney haven't move that much , I'm happy to buy centrally at the moment. Just lining finance for our next purchase and once we've done that , probably also a couple more . As we in a position to do it , I'd prefer to buy a two bedder in a good central area as opposed to two houses in 2770.
I had been expecting to buy in 2770 , but as everything is moving , we may not end up doing it and our next buys after central sydney may be regional NSW or in Brisbane .
Cliff
Last edited:
Few points.
The best time to buy has past. But it is probably still a good time. The market does not seem too carried away albeit some places have jumped substantially. That said the doom and gloom of the market in late 2011 and all of 2012 is gone, making it a much tougher market to find good deals.
I agree that picking the best time is hard. It requires bottom feeders who have cashflow to ride through the bottom. It is also hard to predict when the market will turn. Although there were some telling signs last year.
Lastly, knowing your market is very important. There are opportunities in every market but it takes someone who knows that market well to exploit it.
The best time to buy has past. But it is probably still a good time. The market does not seem too carried away albeit some places have jumped substantially. That said the doom and gloom of the market in late 2011 and all of 2012 is gone, making it a much tougher market to find good deals.
I agree that picking the best time is hard. It requires bottom feeders who have cashflow to ride through the bottom. It is also hard to predict when the market will turn. Although there were some telling signs last year.
Lastly, knowing your market is very important. There are opportunities in every market but it takes someone who knows that market well to exploit it.
We've got a property out in Glenmore Park in the Penrith LGA and noticed today when I looked on re.com 15 of 20 properties on the first page have gone to contract with new listings being snapped up on the first day.....
Certainly looks like WS is really starting to move.
http://www.realestate.com.au/buy/in-glenmore+park,+nsw+2745/list-1?source=location-search
Certainly looks like WS is really starting to move.
http://www.realestate.com.au/buy/in-glenmore+park,+nsw+2745/list-1?source=location-search
Combining some comments in this thread - http://somersoft.com/forums/showthread.php?t=89528, it looks like the western Sydney bubble might be bursting 
(although the upper end of the Sydney market may have some work to do...)
(although the upper end of the Sydney market may have some work to do...)
Combining some comments in this thread - http://somersoft.com/forums/showthread.php?t=89528, it looks like the western Sydney bubble might be bursting
(although the upper end of the Sydney market may have some work to do...)
Do you have any properties in Western Sydney?
Yep, 4 and all doing quite well
Just need a reval now...
Great - just realised the comment was tongue in cheek!!
Could this be the beginning of the new property boom? I'm beginning to get excited.
lol yep...me too mate.
Makes it all worthwhile doesn't it....
We've all been watching our family and friends living it up on borrowed money whilst we all tuck away the pennies and invest.....
We had to wait a while for WS
However, as Mr Buffet says, "Wealth is the transfer of money from the impatient to the patient."
$399k-429k - This has to be a record sale on Popondetta Road in Blackett
http://www.realestate.com.au/property-house-nsw-blackett-114362275
http://www.realestate.com.au/property-house-nsw-blackett-114362275
Two kitchens maybe will try to rent to two families. Not my cup of tea, but some are doing it ...
Someone probably bought it to do the illegal dual occ thing (or agent told them it could be done easily). Close off door from kitchen to kitchen 2 and bedroom 2 to rear living and you have 2 self contained (but non compliant) dwellings.
Convert the rear garage to a bedsit and you have 3 dwellings to rake in the moolah... too bad if the council turn up or theres an insurance event though
No
My experience is that the general consensus of the forum is spot on . I've bought in Logan and rocky when other people on the fourm were buying ( there are always doom and gloomers and it can be hard to filter the, out for a newbie ) . On both these occasions the perception in the wider community was these were not the time or places to be buying .
There are always people who will have bought just prior to the boom taking off who will say " you should have bought last year " etc. one agent we bought off in Logan was like that . He'd bought around ten bargains in the 50's around 2001 . We bought several around 65 and he thought every one was paying too much and was foolish. Didn't really matter when they went up to the mid 200's .
There are a few forum items who have bought well in 2770 over recent years and after about 8-9 years of stagnation it is finally moving . A couple are going around saying its too late to buy there . In reality prices are only getting back to where they were at the peak of the last boom.
Cliff
Just about any other boom . They occur every ten or so years . All new and exciting for those who haven't watched one close up before .
When this one finishes there will be another long flat period and the another one .
This one is a bit different in that WS is booming earlier in the cycle .moften it trails . In the last one Blacktown moved significantly before Mt Druitt but the Internet wasn't widespread then . Now prices are accessible with a click. Back then most agents didn't advertise 2770 outside local papers so out side the local area there want much awareness of property prices there . Took longer for the wave to spread . Now anyone who wants a cheap IP or PPOR can see the cheapest place to buy one and investors from all around the country want to buy entry level places there.
Cliff
Similar threads
