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I agree. Gold Coast and Sunshine Coast are a solid investment, but with 300 grand it will be difficult to find anything near the beach apart from maybe a 1bedroom. As for Perth, it might be a little difficult to negotiate a good deal as owners are on a high right now.
I would head over to Brisbane. For 300k you can still pick up a house within 12km of the city. Logan seems to be booming however look at suburbs like Sunnybank and Eight Mile Plains in the South……or Mount Gravatt and Holland Park a little closer to the city. If you plan on holding more than 5 years I would look at the towns surrounding the Sunshine Coast.
Brisbane will outshine Perth within the next few years. Increasing Population, low stamp duty (relative to N.S.W) and pretty good climate.I think the Perth market will continue along these lines for another year or so possibly up until the Beijing 2008 Olympics.
Growth in China at the moment is unbelievable (10.5 % in the last quarter)
The mineral boom will continue however we will see lower prices for commodities such as iron ore in the next 6-12 months. The last negotiations with the Chinese for a 17% increase in iron ore prices was tough and I suspect the Chinese will make moves to curb price increases in commodities in the immediate future.
I think the greatest worry after the 2008 Olympics is a slowing of Chinese demand for raw materials such as iron ore. I can see big trouble for the Chinese economy after this time as I don’t believe their government is capable of managing such a huge economy in a transparent and fiscally responsible manner.
Any trouble in China will have an impact on W.A. and hence the property market may slow. India will play a more important role after this time and could prope the W.A. economy up.
My 10cents for what it’s worth.I started reading his books a few years ago. I think he has a lot of positive things to say and I recommend most of his books to anyone who is interested in changing their financial situation.
I haven’t read the latest book but I am sure it is reasonably sincere in its approach. The fact that it targets women is not condescending. Actually a lot of the time men and women do have fundamentally different approaches to investing. Women tend to take things a little slower and are more cautious (a great trait by the way) whilst men are more aggressive (sometimes believing they can do it in one day).
Who cares whether the book targets a specific demographic, as long as the reader can get something positive out of it, then it’s good value.A spare 50k……that’s a nice dilemma.
Some of the comments so far look like sound advice.
If you are looking at property in Perth then I would go for it. Mining boom may have the legs for another 2-3 years, so that means investors over that way will be cashed up. Don’t even look at the eastern states as the market has not bottomed out yet (in my opinion).
As for shares, don’t even think about it……the market in Australia doesn’t have the legs to continue at this level of growth. If I were you I’d definately keep in simple and do some more research.
The ASX website is good for education. So too is Motleyfool which is an American website. They seem to have their finger on the pulse, if you intend on looking at the American markets.
Good LuckI have been looking at properties in the Brisbane market for the past 6-9 months. I can honestly say the market is over-priced.
The boom we have experienced in the past 4-5 years will not come again for a considerable time: in fact it will get worse.
Short-term property investors don’t need to worry until around 2010.
(or just before), s[buz2]o do your business before this date and then move your wealth into gold.
This is when the U.S. Economy may just collapse. If you carry a lot of debt around this time, or you have assets in just one area, namely the real estate investment sector, you will be in a lot of trouble.
If you need further proof of the trouble the U.S. is in then do some research….and just remember that any country currently heavily invested in U.S. debt….(bonds) will also be bought down as well.
Australia can’t rely on mineral exports forever! Be smart and look at the macro-economic situation……16 years of economic expansion is where the balloon is…..don’t wait for it to pop.
