Hi All,
I just read this article in the newspaper saying that the realestate agents are selling their own properties now. They can’t make enough money from commisions so they need an additional income.
I wonder why they keep saying that the property market is a good investment at the moment[baaa].
I guess they are the only one saying that
Clones
Sounds like a gross generalisation to me.
Cheers,
Simon Macks
Residential and Commercial Finance Broker
***NODOC @ 7.15% to 70% LVR***
[email protected]
0425 228 985Comments may not be relevant to individual circumstances. If you intend making any investment, financial or taxation decision you should consult a professional adviser.
Originally posted by Mortgage Hunter:Sounds like a gross generalisation to me.
I am pretty much sure it sounds like that to you
Mortgage HunterI am the first to agree we are in a slump. I guess you think I want to talk up the market as I am in the industry? I am keen for prices to drop a bit further yet – I am a long way from being finished buying.
Just an article talking about “The Real Estate Agents” doesn’t sound like top jounalism to me lol. Can you post us a link to the article please mate?
Cheers,
Simon Macks
Residential and Commercial Finance Broker
***NODOC @ 7.15% to 70% LVR***
[email protected]
0425 228 985Comments may not be relevant to individual circumstances. If you intend making any investment, financial or taxation decision you should consult a professional adviser.
What Slump Simon [biggrin]
from REIWA
Leading indicator points to strong September quarter results
A leading real estate indicator is showing a sharp rise in Perth’s residential property values is occurring in the September quarter of 2005.The median price of established house sales recorded through reiwa.com in August 2005 was $308,000.
There were 2,438 Perth property sales processed through reiwa.com in August, which is equivalent to 55% of all sales in the month.
REIWA President Mr Greg Rossen said the August results are very significant and they point to a very strong outcome for the September quarter.
The June quarter median house price for Perth was $297,000 however the September quarter median house price for Perth is expected to be well over $300,000 according to the reiwa.com results.
The growth in residential property values in Western Australia has accelerated in recent months.
The reiwa.com median house price for Perth rose by 23% in the 12 months to August 2005. This is indicating that the market has returned to the growth rates in property values that prevailed in the 2003 market peak.
The main reason for the sharp increase in property values is the shortage in properties available for sale.
The daily average number of residential properties (including land) advertised for sale in Perth in August 2005 was 9,200. This is 21% fewer than the number of property advertisements at the start of 2005. The dramatic decline in numbers of properties on the market is an accurate reflection of the shortage of housing for sale in the market today.
The booming State economy is attracting large numbers of new residents to WA, which is resulting in fewer rental vacancies and sustained high levels of demand for housing to purchase, said Mr Rossen.
I believe the NT is also going well..
“Money is a currency, like electricity and it requires momentum to make it Effective”
Count The Currency With This Online Positive Cashflow CalculatorTrue enough that WA and NT even parts of Qld are still strong. But the majority of property in Australia is in a slump now [biggrin]
Cheers,
Simon Macks
Residential and Commercial Finance Broker
***NODOC @ 7.15% to 70% LVR***
[email protected]
0425 228 985Comments may not be relevant to individual circumstances. If you intend making any investment, financial or taxation decision you should consult a professional adviser.
I think there is always a great place to buy, in whatever market we are in.
For instance, a few years ago sydney was the place to buy, then QLD was hot because sydney and melbourne investors/retirees were moving north for lifestyle and market reasons, now it is WA & NT and only minimal parts of QLD, now that the market has hit the bottom of the cycle in some parts of NSW(or there abouts). We are seeing people start to come back to NSW yet again. Funny how no matter how many times people hear the indicative words “PROPERTY CYCLE” they still seem to think the market only goes one way.
Think of Aus & if not the world as one big wheel, the great spots to buy just keep on moving round and round the property cycle, eventually it will come back around…ooh say every 7-10 years!LOL
This is why if you buy and hold as many properties as possible, in as little time as possible, you will be better off.[biggrin]
Higly Motivated Investor
It is all about timing, if the property was bought within last few years at a very high price then it is difficult to make a profit in a short term.
[blink]
Hi everyone first time posting from Bradshaw.
Just for interest sake. I am always amused with I see that property in the N.T. is still going up. It is true when this is applied in the Darwin market, although the N.T. does have other towns. These town include Tennant Creek which in fact is going backward. Also Alice Springs hit it’s peak around the end of 2004. That market is standing steady but property is now moving much slower. Just for interest sake also, 3 bed ex housing with a basic reno now sells for a 5.58% to 6% return on purchase price.
Bradshaw.
Do you think this might be the “Lag” effect? Where the smaller cities reflect what has happened in the larger ones but with a varying length of delay?
Cheers,
Simon Macks
Residential and Commercial Finance Broker
***NODOC @ 7.15% to 70% LVR***
[email protected]
0425 228 985Comments may not be relevant to individual circumstances. If you intend making any investment, financial or taxation decision you should consult a professional adviser.
Gday
I have been following this forum for a little while now and by no means am I a property expert.
I bought a house in Newcastle NSW in June 2001 for 200k. Transfered to WA for work and sold the place in Feb 2003 for 389k. Only sold because I didn’t fancy having a rental 4000km from home. There was also the fact that I almost doubled my money in 17 months.
I then bought a place in Carine Perth for 400k and sold 15 months later for 520k when I was transfered to Queensland. (my employer pays the interest on the loan)
When I moved to Perth the REA’s went on and on about how WA lags 12 to 18 months behind NSW. Apparently this has always been the case.
Now I am in Qld and have a company supplied house so have my money invested in non RE, however looking to buy in Brisbane.
Brisbane RE is now really starting to slump. I honestly believe that those who believe they are snapping up bargains will rue their decisions in 12 months.
Is it not possible that the Perth REA’s were correct and the markets outside NSW VIC are now correcting and it will be another 2 years before WA QLD equate.
Definitely not the lag effect Simon. That implies that WA does or has follow/ed the Eastern States. We are quite independent over here us lot…economically carrying all of you Admin type people over there in the East
I think it boils down to us digging and drilling the beejesus out of our state and shovelling off the resultant product to lands afar that are prepared to pay buku for it, and be locked in for a long time. This creates not only growth, but stable growth. (I suppose it creates a few big holes in the ground also ??)
WA didn’t enjoy the massive upswing you chaps in NSW and Vic enjoyed in ’02 & ’03 (notice we didn’t bleat and whinge about that at the time). Now you are either levelling off or dipping slightly, with WA still chugging along nicely…everyone over there is carrying on like pork chops…oh whoa befall me….cheer up guys…I think in the great wash up you’ll still come out in front.
In short, resources is where it’s at – at the moment. And you guys don’t really have much in comparison. There’s only so much paper shuffling that needs to be done (law / accounting / insurance) that you are so good at in Sydney.
Swap the pin striped suits and pens for checked shirts, hard hats and hammers and see the profits roll in.
Go West Ozzy !!!!
Cheers,
Darryl Moore
“No point having a cake if you can’t eat it.”
Ok, I’m coinsidered a RE Agent but don’t hold it against me.. My view as alot of others is that when in a slump, it’s a great time to buy, buy low – sell high.
I have a lot of Articles from many different sources indicating that it’s not so bad after all in certain areas:
http://www.gpsnetwork.com.au/MediaArticles.html
Roy H.
L.R.E.A., Dip FS (FP)Guardian Property Specialists (GPS) is a research-focused company that specialises in sourcing and providing residential investment properties Australia wide!
Mortgage Hunter
You must be logged in to reply to this topic. If you don't have an account, you can register here.
