Property market collapse predictions inflated: economist
A prominent industry forecaster says fears of a collapse in residential property markets is overblown.BIS Shrapnel has this morning issued its latest economic forecasts.
The firm says housing markets are cooling off but are not about to fall in a hole.
It says not only are the fears of a property market collapse and a household debt crisis overblown, but they are also obscuring Australia’s bright economic outlook.
Senior economist Matthew Hassan says that despite rising interest rates and the higher Australian dollar, a self-sustaining up-swing is in progress to be powered by business investment.
one of the most sensible opinions I have heard in a long time…
but it wont stop me buying, just make me more careful
” a blind man may see what a sighted man may not”
If anyone has the market selection buttons in front of them please press the butten stamped “Buyers market brings reality to home owners”
[biggrin]
lifexperience
Hi Richmond. Just wanted to say that I (and I’m sure heaps of others)really appreciate your “from the news wires” posts. Makes it sound like a Dear Abbey column, doesn’t it. Keep em’ comin’
Regards
MartyThe real question is whether the economist is right in his outlook.
That certainly isn’t necessarily so as ‘they’ have been known to get things wrong before.
Of course, we all h-o-p-e that the opinion is correct so we can continue what we are doing and sleep well at the same time.
In the meantime, trying to look at the picture from a bit longer term point of view isn’t a bad idea. it means we can sleep well AND at the same time perhaps buy a property here and there at ‘the right price’.
Pisces
It all sounds like sh*t to me!! BIS Shrapnel, a few years ago fore cast a depression!!!!!
The whole property market was going to collapes.
I also don’t believe Residex either. I listern to John Edwards every Sunday on 2ue radio.Out come these wonderful figures. Yes you get $$$$ for your home etc.
There’s only one way to value a property, put it on the market.
Every odd day people tell me how much their property is worth. They add thousands every couple of months.
In the other post (Cringe, location location) the old couple thought the sky was the limit for their house. Everyone has a limit.
My way of valuing a property is to search the estate agents windows, making a few offers after the inspections.
Buying houses is so easy and enjoyable.
The hard bit is having the sellers accepting your price.bbruham.
For the record, BIS Shrapnel forecast the boom very accurately.
Only quality will be a good purchase for the next five or so years. Many regional centres will flatten out for a long time to come. There’s almost no upside left for anything other than equilibrium to settle in and a return to long-term trends.
Is world growth, and hence equities, going to be moribund. No-way, read “China and India”. Will interest stay at 100 year lows, not possible. do people have any more gearing-up “head-room”? No.
If property is your thing, think ONLY quality. The rest will stagnate for years to come.
>>It all sounds like sh*t to me!! BIS Shrapnel, a few years ago forecast a depression!!!!!<<
A forecast is just that. It isn’t written in concrete as things can change overnight.
In other words, a forecast isn’t telling the future so much as merely being a projection based on the facts known up to that time.
Pisces
The more times they forecast, the more chances of eventually getting it right!!!!
“They” say even a stopped clock gets the time right twice a day.bbruham.
winners make it happen.
losers let it happen.hehe – no matter how accurate the prediction is, the article sure achieved it’s purpose…..to create controversy & drama & increase awareness.
I’m sure it moved some extra copies of the mag too.
How much time did the reporters spend on the ground in any of the countries they discussed?
Are the reporters proerty investors?
Are the figures based on real statistics or slanted to present a given viewpoint?
Media is entertainment. Writing something down doesn’t make it more valid – though we’re all conditioned from birth to treat written comments with greater weight than other mediums.
Cheers,
Aceyducey
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