The future of Australian property prices

[numbercruncher]

i dont offer advice, there is a good chance im younger than you and even better chance I earn less (and im not being cheeky and talking net). been buying since sydney stagnated in 2005 if i remember right we were right on the cusp on another great australian property crash. would hate to have to repurchase my places today. your gonna say the same about the place you sold too everybody does.

So if we understand your net speak correctly you have purchased a bunch of Sydney properties post 05' on a modest wage -

Which boom suburbs did you buy in ? Is Sydney the only market you have property ?

 

[im sparticus]

So if we understand your net speak correctly you have purchased a bunch of Sydney properties post 05' on a modest wage -

Which boom suburbs did you buy in ? Is Sydney the only market you have property ?

No you dont get my net speak expenses generally lower my net or taxable income im saying gross im still less than him (job wise maybe not rent wise). didnt buy any boom suburbs from what ive seen things just seem to chug along at 5-7% on average same with rents ( i havnt sold so can only go by what the bank is prepared to lend to) , no sydney is not the only city and nsw is not the only state.

 

[hangseng]

Bloody Hell!

We've come from property prices to arguments of existentialism.

Who'da thunk it? The real world is NW WA.

Get real waneL.

I never stated any such thing. People here are talking like the world is ending as there is no work in the East and it's off to Domino's part time for crying out loud. As if the ONLY world revolves around Sydney and Melbourne drinking cappucino's and looking at their own reflection out of the tinted office window.

Well news flash, outside your "perceived" real world they is a load going on. So much so the govt want to tax the crap out of WA state revenues to prop up your failing economies. Yes yes....blah blah the East propped up WA for a long time so now it's payback time....yawn!

However I don't really give a rats gnats anymore I have made a life elsewhere. Now I make a far better living doing Aus and international projects from afar.

The other poster is partially correct iron ore is the bulk of the mining activity and a damn lot of it, mind boggling actually. However there are many ASX juniors over here and in the Phillipines going ahead in a big way in gold, copper and also tungsten in Korea, these revenues will find there way to Aus. The list is long for anyone that cared to look.

Also oil and gas, the latter in particular is massive.

But mr earnsalot from melb wouldn't see that from his comfy chair would he....Except what he reads in the press, and they don't lie do they??????
Like the SMH writer that is in deep crap for what he wrote about EWC operating here in Indonesia. I hope they take both him and the paper to the cleaners for the rubbish they published and then the shareholders affected take them both even better.

Media hype is all you get to see over there, that is your "real world".

So according to the east gurus's the world is ending and property is finished and the resources industry is in a bubble....oh dear what a pile of uninformed cods!

Look out your window into your own backyard...there lies the problem. It certainly isn't a problem in WA.

 

[Junior]

Well news flash, outside your "perceived" real world they is a load going on. So much so the govt want to tax the crap out of WA state revenues to prop up your failing economies. Yes yes....blah blah the East propped up WA for a long time so now it's payback time....yawn!

.....

Look out your window into your own backyard...there lies the problem. It certainly isn't a problem in WA.

"ner ner ner ner, we got more sh*t to dig out of the ground here in WA than you guys in the east."

 

[wayneL]

Get real waneL.

I never stated any such thing. People here are talking like the world is ending as there is no work in the East and it's off to Domino's part time for crying out loud. As if the ONLY world revolves around Sydney and Melbourne drinking cappucino's and looking at their own reflection out of the tinted office window.

Well news flash, outside your "perceived" real world they is a load going on. So much so the govt want to tax the crap out of WA state revenues to prop up your failing economies. Yes yes....blah blah the East propped up WA for a long time so now it's payback time....yawn!

However I don't really give a rats gnats anymore I have made a life elsewhere. Now I make a far better living doing Aus and international projects from afar.

The other poster is partially correct iron ore is the bulk of the mining activity and a damn lot of it, mind boggling actually. However there are many ASX juniors over here and in the Phillipines going ahead in a big way in gold, copper and also tungsten in Korea, these revenues will find there way to Aus. The list is long for anyone that cared to look.

Also oil and gas, the latter in particular is massive.

But mr earnsalot from melb wouldn't see that from his comfy chair would he....Except what he reads in the press, and they don't lie do they??????
Like the SMH writer that is in deep crap for what he wrote about EWC operating here in Indonesia. I hope they take both him and the paper to the cleaners for the rubbish they published and then the shareholders affected take them both even better.

Media hype is all you get to see over there, that is your "real world".

So according to the east gurus's the world is ending and property is finished and the resources industry is in a bubble....oh dear what a pile of uninformed cods!

Look out your window into your own backyard...there lies the problem. It certainly isn't a problem in WA.

You seem to still be discussing existentialism.

BTW I've lived in the Mid West, I know what's going on never said it wasn't.

My only comment is that as a tradey, the package you mentioned wouldn't draw me away from where I am. I net nearly 3k a week here in regional NZ, most of my clients are attractive ladies who give me coffee and cake as I work and I get to go home every night to my attractive lady.

I actually thought there was more on offer than that.

 

[DB008]

I net nearly 3k a week here in regional NZ

Stop right there.
That ain't the 'norm' for starters in NZ...

 

[wayneL]

Stop right there.
That ain't the 'norm' for starters in NZ...

In my trade and a few others it is.

BTW I was referring to me specifically, plenty of Kiwis are heading over to the mines for better wages, no question about that.

In fact the companies are over here poaching people atm.

 

[Uncle Festivus]

Get real waneL.

So according to the east gurus's the world is ending and property is finished and the resources industry is in a bubble....oh dear what a pile of uninformed cods!

No, not yet, but WA's 2 biggest markets are slowing dramatically ie Japan & China. So there is a large lag between the market turning down & the canceling of projects. The bubble is bursting, you just have to wait for it to flow through to 'the real world'

You do know there are gluts of several commodities already ie steel & aluminium?

WA will have the biggest property market 'correction' of them all......just have to be patient.

BHP, whose biggest customer is also China, is re-evaluating spending plans amid slowing Chinese growth, the Australian Financial Review reported today, citing Chairman Jacques Nasser’s comments to investors. China accounted for 28 percent of BHP’s sales in the last financial year and 31 percent of Rio’s.

Reuters reported that Norway based aluminium producer Norsk Hydro reined in its expectations for market growth this year due to weak demand from Europe as it posted a bigger than expected drop in quarterly profit due to a glut in supply that is hitting prices.

Brazilian steelmakers are fighting a global supply glut at a time when growth in Latin America’s biggest economy slows down.

 

[numbercruncher]

Stop right there.
That ain't the 'norm' for starters in NZ...

I spent most of last year contracting in Christchurch - and could vouch that many many people are/were earning that there ..... Quite a thriving economy evolving around the EQ recovery .....

 

[numbercruncher]

No, not yet, but WA's 2 biggest markets are slowing dramatically ie Japan & China. So there is a large lag between the market turning down & the canceling of projects. The bubble is bursting, you just have to wait for it to flow through to 'the real world'

You do know there are gluts of several commodities already ie steel & aluminium?

WA will have the biggest property market 'correction' of them all......just have to be patient.

BHP, whose biggest customer is also China, is re-evaluating spending plans amid slowing Chinese growth, the Australian Financial Review reported today, citing Chairman Jacques Nasser’s comments to investors. China accounted for 28 percent of BHP’s sales in the last financial year and 31 percent of Rio’s.

Reuters reported that Norway based aluminium producer Norsk Hydro reined in its expectations for market growth this year due to weak demand from Europe as it posted a bigger than expected drop in quarterly profit due to a glut in supply that is hitting prices.

Brazilian steelmakers are fighting a global supply glut at a time when growth in Latin America’s biggest economy slows down.

RIO also going to bring out the cost cuting axe -

MINING giant Rio Tinto has flagged cutting some of its multi-billion dollar Australian expansion projects as costs soar.

Rio chief Tom Albanese says he is challenging managers to justify why their projects should not be dumped.

He told the group's annual meeting yesterday soaring wage and raw-materials costs, a high Australian dollar and the new mining and carbon taxes were making the nation less attractive to invest in.

He did not name projects but said Rio was committed to its $A9.99 billion Pilbara iron ore expansion - suggesting new Queensland and NSW coal mines would be in the gun.

The planned $2 billion Mt Pleasant coal project in NSW is believed to be under threat.

http://www.heraldsun.com.au/business/miner-rio-tinto-may-scrap-local-projects/story-fn7j19iv-1226352498702


So still a big Iron Ore demand going forward - but does this one segment of the economy translate to a booming or even growing realestate market , I dont think so ......

Plenty of eager vendors looking to dump RE in WA just as there is everywhere ....

But yes I can see how your Mcmansion five minutes drive from your mine of choice in the Pilbara could still be growing in Value

 

[young-gun]

i dont offer advice, there is a good chance im younger than you and even better chance I earn less (and im not being cheeky and talking net). been buying since sydney stagnated in 2005 if i remember right we were right on the cusp on another great australian property crash. would hate to have to repurchase my places today. your gonna say the same about the place you sold too everybody does.

i have never been bearish on property until the past 9 months. i put everything i had into my first property, thank god i woke up to myself and got the hell outta there. i wont be saying that, and no one else will either.

and your not younger than me, as while you were buying all these fabulous properties on your mediocre wage in 2005, i was attending woodwork at highschool.

but anyway, prices are set to sky rocket, so best you get out and leverage yourself up some more! you don't wanna look back in 5 years wishing you had of bought today. all the best.

 

[im sparticus]

i have never been bearish on property until the past 9 months. i put everything i had into my first property, thank god i woke up to myself and got the hell outta there. i wont be saying that, and no one else will either.

and your not younger than me, as while you were buying all these fabulous properties on your mediocre wage in 2005, i was attending woodwork at highschool.

but anyway, prices are set to sky rocket, so best you get out and leverage yourself up some more! you don't wanna look back in 5 years wishing you had of bought today. all the best.

will you be buying a dominoes then?

 

[young-gun]

will you be buying a dominoes then?

if one thing in life is certain, it's that you never wind up where you thought, so i guess there is every chance i just might.

 

[im sparticus]

if one thing in life is certain, it's that you never wind up where you thought, so i guess there is every chance i just might.

why do you call yourself young-gun?

 

[young-gun]

why do you call yourself young-gun?

haha, are you insinuating that buying a dominos is not a decision of a smart man? plenty of guys out there that are rich off dominos champ. just go buy a house sparticus. please keep us all updated as to its progress, i will listen with thorough enjoyment.

 

[numbercruncher]

why do you call yourself young-gun?

Funny Sparticus the Irony of your name isnt lost on me as you encourage people onto the Australian RE rollercoaster which would typically be via debt " slavery " ......

 

[im sparticus]

haha, are you insinuating that buying a dominos is not a decision of a smart man? plenty of guys out there that are rich off dominos champ. just go buy a house sparticus. please keep us all updated as to its progress, i will listen with thorough enjoyment.

ha buying a dominoes was my idea. you havnt baught a dominoes even though you know dominoes is booming, and i bet even though the impending crash is so obvious to you you havnt shorted the market or some realestate etf with any degree of success, the jury is still out on weather you pissed the greatest opportunity this country is ever gonna give you up the wall. just wondering where your getting young-gun from?

 

[im sparticus]

Funny Sparticus the Irony of your name isnt lost on me as you encourage people onto the Australian RE rollercoaster which would typically be via debt " slavery " ......

why do you consider debt slavery?

 

[So_Cynical]

My only comment is that as a tradey, the package you mentioned wouldn't draw me away from where I am. I net nearly 3k a week here in regional NZ, most of my clients are attractive ladies who give me coffee and cake as I work and I get to go home every night to my attractive lady.

I actually thought there was more on offer than that.

Stop right there.
That ain't the 'norm' for starters in NZ...

Ah but we all know Wayne's not normal...he's special.

 

[wayneL]

Ah but we all know Wayne's not normal...he's special.

When do you get out of kindy SC?