- Originally posted by superman:
Um, you will no doubt discount me a troll-supporter now, because I agree with Foundation’s posts. But I honestly don’t see a single personal jab in any of his replies, whilst you are flatly undermining his integrity! [blush2] I was taught that the best demonstration of maturity was to walk away from an unnecessary conflict, i.e. ignore the thread.On the contrary superman, I don’t discount you as any such thing, nor do I see a problm with you supporting Foundation’s points; he has made some exceptional comments which are both valid and worth taking into consideration. My only objection, and I beg to differ on your view re his “personal jabs” there have been several, especially when there has been an opposing view to his own put forward. As for undermining his integrity, please note:
Integrity comprises the personal inner sense of “wholeness” deriving from honesty and consistent uprightness of character
None of this is about truth and/or character, it is about net etiquette, respect and maintaining harmony in a public forum.
I used to be a moderator on this forum, however for various reason I chose to resign, however I have always been concerned with maintaining some level of harmony within this public domain, and if that means, addressing concerns of other forumites who approach me (knowing my past role) to “do something” then believe me, I will not ignore them!!! If that does not sit well with you please take it up with admin.
Cheers,
Jo
Fantastic link! Problem is over the last 100 years shares have outperformed… and over the last 20, significantly underperformed (N.B this doens’t include the 30% runup in ’04). This makes me a little queezy about RE [confused2] but I want to go home and do some research on 20, 50 and 100 year trends and read this link in detail, thanks again. Man collective googling produces amazing results [biggrin]
Originally posted by woodsman:So whose figures are right? Don’t ask me I have no idea…[confused2]
It’s alright Woodsman, I’ve taken it easy with the links on today’s episode.
Thanks for the ASX link – top info.
I agree, housing statistics are a disgrace in this country. The same datasheet I quoted above has a column of RBA medians for Melbourne which look rather different again![weird]Year – REIV – RBA
1971 – 18,643 – 13,400
1981 – 61,217 – 44,000
1991 – 176,696 – 127,000
2001 – 313,043 – 225,000
2004*- 366,000 – 268,000If only there were a reliable source!
Cheers,F[cap]Superman,
I didn’t intend to use the reference to spark a shares v property debate. Foundation’s intention was to try and debunk the myth of residential property doubling every 7-10 years and castigating those making similar statements.
Yes, I understand that the numbers are for 10 & 20 years respectively and they don’t include the 2004 runup in the sharemarket.
My maths isn’t that great and I am sure if I am in error, I will be quickly corrected but based on those figures, if you take…
10 years return: At 12.7% increase, this would see a doubling of prices in the 7th year.
20 years return: At 15.1% increase, this would mean a doubling of prices in the 6th year….
As an aside, I am not here to spruik for the perpetuation of any myth, just the facts…let the truth set you free…
These are returns, i.e. rent + appreciation. So they do not necessarily conflict with the previous values. The disucssion is whether house prices double every x years, so these figures cannot be compounded to this end.
To arrive at a Ten Year Average, we must look further than just the Last Ten Years.Correct Foundation, but then that’s averages.
Define average. Analyse the data and don’t generalise it, you will find that even when prices do not increase across the board there will be some who run below the average, some will match it and some will exceed it.Different geographical areas will perform differently from others – ie location, location, location.
And by the way, cashflow will not be reflected in your median house price figures, nor will the advantages of leverage.
Cheers
Jeff
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