Hi Tony,

If we were to listen to the dooms day media all the time at the moment, (which I think a majority of investors are because there are very few investors buying at the moment) then we would believe that the property world was caving in (and I guess in some areas it has … Like those mining towns where people were singing the praises of a couple of years ago…. and have now seen their populations dive due to mining cut backs .

We invested in a 2 bedroom unit in Sydney Eastern suburbs last year and have received a small capital growth already without touching the unit and with interest rates down it is almost positively geared. So by investing in areas where there are large populations (Syd, Melb, Bris) and buying property that the average person can afford to rent in these cities and close to good infratructure and the cbd… then there will always be people willing to pay rent there.

I myself have chosen to focus on the positive side of investing at the moment. The positives I see are :

There are great bargains to be had out there with very little competition from other investors,

Rents are rising due to population growth in our capital cities and a lack of new housing being built.

Interest rates are low which gives much better yields.

And we are in it for the long term.

After all, as they say…. be greedy when others are fearful and fearful when others are greedy.
There is money to be made out there despite what the media feeds us.

We should all turn the news off before it begins every night.. after all they only ever focus on the negative….. and to every negative there is also a positive!! they just don't report that stuff!!

Cheers.