I've been absent for a few years.
Took a bashing.
Bouncing back slowly.
Wondering how the WA folk are getting on and if there is any 'think tank' action happening?

Well, the media never lets the facts get in the way of a good story…but then…if they keep saying rent is going to increase then we can get away with raising ours accordingly because people will expect it & it will in effect become a reality, and in turn people will hate paying high rent so they’ll look for their own place so the ol’ supply n demand thing will come back into play and property prices could rise again – win win really

Trading your plan is the goal – profits are the reward.

Hi Bez
I would say that you are never dreaming as you have to start somewhere.
What you may want to consider is ways of building your savings to get to a position where you can invest in property.
Options might be:
– Seek out others in a similar position and join forces
– Look into cheaper properties in areas other than where you may live
– Look at other investing streams to build your capital, ie; shares.
I’m sure others may have some suggestions for you too.
Cheers

Hi Roachy.

This one is not solely directed at you but anyone that can tell me.

BANK FORCLOSURE DEPARTMENT – is there anywhere in Aus that you can get details on this? ie; advertised properties that are going through forclosure?

Bank valuations – nto sure what state you are in but interestingly I just had one of my properties valued to use against another purchase and it came in substantially better than I thought it would. That’s not to say its the same across the board. Interestingly, the same company undervalued it (I consider) when the ‘boom’ was about 1/3 the way through. I guess there’s that human eliment again

Positive – yep – me. Always positive as it doesn’t matter what’s happening I just follow my plan. If the market does fall then a) new or different opportunities will present themselves and b) some other part of the economic clock may be booming so its time to jump aboard that one.

Thanks GMH

Long live the big block stato

Oh yes, 1st acquisition for the new home – 2 post hoist so I don’t have to keep crawling under the race car! – and then slip in a shed extension as well – we’ve got 2500 sqm to play with.

Cheers

Doh – joined the not too smart ranks – just put in an offer on $730k worth of property

Seriously though, I guess it depends on what you’re buying it for. This is to live in, well, for my company to live in

Perth is slowing, but in sales only at this stage it seems. Prices have become ‘negotiable’ rather than dropping like a lead balloon. I’d suspect your lower socio-economic areas will be effected first, with high level property still selling from what I can see coming across my desk.

It doesn’t matter when you buy – there are always those that say “You shouldn’t do it now”. Some of those people (that I’ve met) still don’t own a house……

Thanks again for the figures. I guess as with any stats (not saying they are incorrect or skewed in any way) its all in how you interpret things.

I’d hope that the ABS don’t do like I used to when I worked for the Gov’t and my boss would walk in and say he needs some figures to answer a parlimentary inquiry and blah blash blah, and my reply was always “what do you need it to say” LOL. [blink]

Anyway – off track a bit there. Can you tell its a boring day at work today ??

I guess if we considered that there were no additions to population through immigration/birth/etc then an increase in owners (line graph) over a 5 year period could be naturaly expected?

In the second line chart do you think it highlights the increase in owners in the 30+ “baby producing I’d better settle down” years?

Could it also be showing that since the ‘boom’ more people have done the “I’d better buy now before its too late” routine? Coupled with the boom comes all the R/E gurus and companies spruking how good it is to own R/E and makes lots of money so people buy?

(I see the same effect in the share market through cycles – people flood in to the market as its runnning up seeking education from us and others and then run away as it goes down (those that try to go it alone and punt) – not knowing they can actually make more money as it goes down, but don’t tell them all or it might cut my profits – LOL

I’m assuming the line graph is not representing the “whole portion” of people and only those with a mortgage as an owner as the line drops radically in the older age groups, ie, at about the time when their mortgage is paid off?

Theres also more renters than in 99 so is this representative of older people going into more age car facilities that they ‘rent’ or does it mean we are immigrating more 50+ people?

QUOTE “The lower version shows ….the demand for purchase would always be met by supply of sales.”

Does it? Where does the number of houses under construction show up in the stats? Doesn’t it just show that as people get older more move from “want to buy” to “bought” to “own”?

QUOTE: “The top version of the second chart shows that short of a massive increase in immigration and/or a doubling of the birth-rate, this situation will soon be very unbalanced.”

I guess it is all in how you read things. We keep hearing that we are all going to be in trouble as all the Baby boomers get pensioned out and then begin to ‘expire’, (not enough pension money to go round, too many houses/shares on the market etc etc)and yet, does this graph tend to show that they can be absorbed by the pre-boomers in numbers, many of whom are breeding later in life so there will be more “workers” joining the stats in years to come.

In general “people” seem to be (my impression) starting earlier due to there being more money/education around than ever (ie; when I was in my 20’s no-one thought about buying assetts – that was a far to ‘old person’ thing to do). How many times currently do we here now about millionares in their 20’s, and earlier!!

I guess the old 3% rule will be around for a long time, rich get richer and all that, but on the whole my general impression of every day life, not stats or media, is that younger people are richer. And yes, that’s what my father said too and probably his father, and I would agree with him, I have more now than he ever had, and yet I have less than many younger than me. As each generation gets richer they give their children a better head start?

The times are a changing

Be wise, use risk management, so it doesn’t matter what happens, so long as you have a fall back position.

And then I may be way off mark……………

Hmmm – $500K cash

Would conisder paying PPOR, but not much sence as I’d just rent it out. By a new PPOR when I get back from o/s holiday.

I’d by another IP (or 4) depends on value as I’d borrow most of it anyway. The rest I’d trade on the CFD/FOREX market and the profits between the three IP/CFD/FOREX would by me more properties….and maybe some time…as in to be with the family, travel etc

[biggrin]

Are you working on the theory that the human race stopped spawning at some point?

Yep – have to agree with the “I want” mentality. I see it every day at work.

My GF & I have a theory that today’s parents are possibly better off than their own parents and they can afford some of life’s luxuries. The children grow up in that environment, assuming its natural to ‘have’ and not ‘need’ or ‘work for’, and so when it comes time for them to branch out into the big bad world on their own, they “need” the plasma TV, ipod, new car, 4*2 with theatre room etc.

There doesn’t seem to be any of this “I’ll buy what I can afford and work towards what I want”.

I’m not so sure on the “Taken up too much land” though – that really depends on your own choice of living – me – I could never live on today’s 250sqm cottage block(though we have one rented out), or a flat, even under 1000 sqm is not feasable!!

There are those that enjoy living in a shoe box and there are those that enjoy space. For some it is a “time of life” thing, ie; young and want to be near the nightclubs and cafe strip etc, as apposed to have kids and need room for them to run outside rather than sit and play the PS2 all day.

Land (acreage) south of Perth which was previously ignored due to access is now very popular with those sick of the rat race (even if in Perth that means we move at 1/3 the speed of Sydney LOL). and what you couldn’t give away is now prime real estate thanks to the Freeway.

Me, I am a country boy at heart and love the birds that hang around my house, and my shed housing my toys, a place to play cricket, and when my friend’s visit they don’t have to worry about the shire taxing them for parking on a street designed to have two Mini’s having to give way to each other.

Its all a matter of preference – and though I haven’t been involved in developing units/flats apartments I see plenty of them go up all over Perth. I can understand them being apposed (if they are – and generally if you have enough money you can convince the shire to do anything [biggrin]) where they are going to obstruct people’s views or impact on the lifestyle of the surrounding neighbourhood.

Did Bond, Hancock, Gallop really work smart (notice I didn’t say hard) just so they could be kept awake at night by police sirens and have to step over derelict cars and stolen shopping trollies. That’s not saying that all apartments become slums, but, you have to consider the impact of placing an extra 100 people next door where there was 2.5.

It’s a bit like all the people who bought into Claremont decades after the Speedway was there and complained about the noise one night a week for about 4 months of the year. Money talks – how long till they can’t stand the people parking in their street and those smelly farm yard animals at the Royal Show once a year and so that gets “Moved to a more suitable location”.

Ahhh, Life, ya gotta laugh……[chill]