Capital city real estate experiences since 2003

[theasxgorilla]

I'm curious to learn of real forum member experiences with real estate over the last three years.

 

[wayneL]

Re: Captial city real estate experiences since 2003

Gorilla,

I would be surprised if

a/ anyone didn't make money in the last three years.

b/ if they lost, they admitted it.

I have some property in Blighty so have made money, but don't expect that to continue.

Silly poll.

 

[theasxgorilla]

Re: Captial city real estate experiences since 2003

I have some property in Blighty so have made money, but don't expect that to continue.

Wasn't property in England also supposed to have collapsed as BoE tightened monetary policy?

 

[constable]

Re: Captial city real estate experiences since 2003

1998 - to end of 2003 made 335k on three properties in melb western suburbs.
Had nothing to do with skill and everything to do with being in a property market that was absolutely nutz. Cant see it happening again for a very long time!

 

[krisbarry]

Re: Captial city real estate experiences since 2003

1998 - to end of 2003 made 335k on three properties in melb western suburbs.
Had nothing to do with skill and everything to do with being in a property market that was absolutely nutz. Cant see it happening again for a very long time!

Yep that was the biggest run in 30 years (almost my whole entire life so far), and I will be just over 60's years of age before it happens again. Missed the first, but sure as hell won't miss the next!

 

[wayneL]

Re: Captial city real estate experiences since 2003

Wasn't property in England also supposed to have collapsed as BoE tightened monetary policy?

Tightened?

LOL

M4 is still expanding rapidly. A couple of miniscule interest rate rises (amid muck squawking) is not a tightening. Rate are still VERY accomodative.

Anecdotally though, London is still rising, as are some regional areas. Some have stagnated, others have fallen. Flats as a class of property have fallen in most of the country. But this is more to do with oversupply.

However, the inflation genie is out of the bottle and we may see some genuine tightening.

Stay tuned. This will take time to play out.

 

[tech/a]

Re: Captial city real estate experiences since 2003

Have sold 3 holdings to freehold 2 of my other holdings.
Completed an apartment developement with excellent return.(with another)
Bought Industrial property which I freeholded into Super and My companies rent goes to my super.

Have another developement on the board (Community Title Apartments ) Just waiting approval--Im in Civil Construction so this is really my industry.

 

[jkool]

Re: Captial city real estate experiences since 2003

Have sold 3 holdings to freehold 2 of my other holdings.
Completed an apartment developement with excellent return.(with another)
Bought Industrial property which I freeholded into Super and My companies rent goes to my super.

Have another developement on the board (Community Title Apartments ) Just waiting approval--Im in Civil Construction so this is really my industry.

tech/a do you ever set a foot wrong?

But seriously - I made some money in Darwin in 05-06 and I dont consider that much of a mining boom effect (as the poll would suggest).

 

[Smurf1976]

Re: Captial city real estate experiences since 2003

tech/a do you ever set a foot wrong?

But seriously - I made some money in Darwin in 05-06 and I dont consider that much of a mining boom effect (as the poll would suggest).

You don't think the LNG plant, which is in practice part of the minerals industry, had anything to do with rising property prices in Darwin?

Not saying you're wrong, just wondering since I would have thought a major development like that in a relatively small city would have had an impact on house prices.

 

[jkool]

Re: Captial city real estate experiences since 2003

You don't think the LNG plant, which is in practice part of the minerals industry, had anything to do with rising property prices in Darwin?

Well I invested in Darwin when I thought the prices/rents ratio (or p/e if you will) was relatively low compared to other capitals. I never anticipated (or tried to predict) any kind of minig boom or army deployments in Timor, Iraq etc.

That all those things did happen was perphaps somehow "luck of the draw" for me (kinda feel bad now talking about luck in relation to all those the disasters). And yes I agree that all of those factors certainly helped the price rises however I would not say that I (or anyone in Darwin) made the profits solely due to the mining boom. Would you?

 

[The Barbarian Investor]

I've enjoyed WA and Perths boom of late

and using http://www.investopedia.com/calculator/CAGR.aspx

I get (near as possible and 1 period being 1 year):

IP #4 41.38%
1 period

IP #3 30.36%
3 periods

IP #2 18.34%
7 periods

IP #1 19.25%
7 periods

 

[theasxgorilla]

Re: Captial city real estate experiences since 2003

Well I invested in Darwin when I thought the prices/rents ratio (or p/e if you will) was relatively low compared to other capitals. I never anticipated (or tried to predict) any kind of minig boom or army deployments in Timor, Iraq etc.

Sounds like you made your own luck then. Well done

 

[Ants]

I made a buck on the Perth market. I owned a small unit in Perth. And kept borrowing to buy a couple more on the back of the other. Sold em to buy my new house. Still own one unit and owe a little on the the house. I am probably going to sell the unit to own the house outright an do some extension reno's on the place. I know the argument for keep buying and hold but I was a little tired of living in dumps and renting everything out to service the mortgages. I was a little concerned that the market was topping out. so sold out for around $250k profit after holding for around 1.5-2yrs. It must be said that I only ran a small garden maint business. The first loan from the bank was a bit of a fudge. The 2nd loan was .. well lets say a little bit more of one. BUt I signed my life away on those lines. I knew it was a risk but I also new the rents were pretty much servicing the loans. So as long as I kept it all together it would work. So yeah I took advantage of the market (put my balls on the line) when alot of my mates were still unemployed and or renting and its come good some I am a bit pleased with myself and now I own a house outright. Its def' a load off. The question is now what to do next. Sell the unit pay off the mortgage on the house and reinvest the remainder $100k in a) a business
b) stocks/shares
c) re invest in property with the unit and house as collat'
What would you guys do?

 

[tech/a]

Thought Id do as Barbarian did. On Adelaide IP's of mine.

#1 21.83%
#2 21.83% both Esplanade Apartments-holiday rentals.
4 periods

#3 14.6% Esplanade land.
4 periods

#4 14.31% House rental
7periods

#5 14.15% House rental.
7 periods.

#6 21.6% Industrial property.

#7 8.7% Own home.
16 periods.

#8 14.9% River Shack.
22 Periods.

Have sold 4 others and placed in those above to reduce gearing.