House prices to keep rising for years

[Largesse]

OFF TOPIC (slightly)

What is protocol with asking for the asking price for houses that are listed as "For Sale - Contact Agent for price".

Can i just send them an email saying

"Dear Agent,

What is asking price for 123 XYZ St, Suburb?"

or do i need to feign more interest in the property?

i really only want the price to see whether the property is even close to what i can pay before i go and waste time inspecting the thing

TIA

 

[shaunQ]

OFF TOPIC (slightly)

What is protocol with asking for the asking price for houses that are listed as "For Sale - Contact Agent for price".

Can i just send them an email saying

"Dear Agent,

What is asking price for 123 XYZ St, Suburb?"

or do i need to feign more interest in the property?

i really only want the price to see whether the property is even close to what i can pay before i go and waste time inspecting the thing

TIA

They want your phone number so they can hassle you every few days.

 

[robots]

And what happens when rates go back up?

The governments incentive are targeted at new home buyers, in many cases are inexperienced and will stretch themselves to get in, as rates start to rise they will feel the strain until they fall behind, before they know it the bank moves in.

And that's not even talking about those who loose their jobs. Even if they don't loose their jobs, many companies are cutting the fat, which means many will loose overtime and other bonuses which many have been counting on.

cheers

hello,

i thought we like US, UK and Japan and therefore IR's on the way to 0.5%, keep it real I thought there was no difference

so now our rates are going up?

this would be awesome i will just be paying principal on the loan and banging all the $ away, whereas the specuvestor renter will still be coughing up large

thankyou
robots

 

[billv]

And what happens when rates go back up?
cheers

Macca

People will survive just like we did recently when our variable rates hit 10%.

How did we do it?
We cut spending, we(Sydney residents) have the biggest mortgages in the country so high interest rates hurt us the most and this is the reason the NSW economy was contracting.

I'm not worried about first home buyers, they are getting more help than we did when we were starting out and as a last resort if things get worse and anyone experiences hardship the legislation says that we can always access our super.

Also, I think you'll find that banks are now conservative with their lending so they are counting on IR's being in the 8's therefore they won't be lending to people who can't show that they'll be able to pay the mortgage.

 

[billv]

OFF TOPIC (slightly)

What is protocol with asking for the asking price for houses that are listed as "For Sale - Contact Agent for price".
TIA

Largesse
I think you'll find that they don't give you the price upfront because if it's entry level property the prices are moving daily (upwards).

They also want to see how much demand there is and the price they'll give you will depend on how many enquiries they have and how desperate buyers seem. They may actually tell you that they had some offers and may ask you to do the same.

I wouldn't send them an e-mail. In this environment they probably wouldn't reply. Just get on the phone and find out how much they want. Ofcourse choose your words carefuly so that you don't sound too interested.

Where is the property?

 

[robots]

Why do you assume that it went down?
I bought a repossesed property, did a mini reno for $5K and a valuation before new year showed a 20% increase.
I don't think prices moved since I purchased it, it was simply a good buy and I added value with my mini reno.
the yield based on purchase price is 6.0%
Also, the rent is about $20-$30 below market but I am not increasing it further because I like this tenant and I also expect rental vacancies to increase.

hello,

top effort billv, one thing i notice all the time in my travels is the properties that are "finished" are getting snapped up quick smart for good prices (think has to do with the slacker generation around),

those "not finished" or require a bit work are lingering with people eventually getting them at some good prices (most likely what you have done)

over the next 5,10,20 or 30 years the man or woman who can themselves "update" will get some nice numbers

just like to send a special shout-out to all contributing

thankyou
robots

 

[singlefished]

I've already shown this APM data .............................................. views to see it, that's not my problem!

Hardly blinkered... what you're missing is the fact that volumes are significantly lower year-on-year yet you keep oin citing clearance rates like this is the be-all-end-all and everybody else is wrong. Pulling up the occasional example of a property that does well at auction to demonstrate your point, well, that just means your summarising the market by the results of a single property.... Everybody knows that not all properties are suited to auction and the properties that are and have something special to offer will return a good price regardless of market sentiment.

In other words, as I am .................................... How else do you explain $2.8M for the 2 bedder on Bondi Beach?

Where does greater turnover in auction sales = the market has bottomed come from? Look at Harvey Norman quarterly figures, turnover is up yet profit is down Could greater turnover in auction sales = lower vendor expectations be argued more correctly?

Also, that Bondi place..... Niiiiice "what is arguably one of the worlds most spectacular viewpoints"

Can't believe you have the balls to use this property in particular to your arguement.... 'nuff said

That is a silly question - it's the property perma..........................................of the Sydney housing market.

You already know that the property market is in decline and the economy, well...... yet you're keen to advocate that now is a great time to buy and get into the market.

Yes, I agree that in the long term, property is always going to be a good investment, but timing is key to maximising your returns especially in a market that moves as slowly as property. And again, no I don't think we're going to see 40% as some people like to cite.

I think it is highly irresponsible to be advertising "now is the time" when many of these young FHB's or existing homeowners could be unemployed this time next year.

That's a serious and false allegation. Please find ..............................................................out of the forum as quickly as possible..

Perhaps Lieing was a poor choice of words so apologies for that, but comments like "...I'd almost think we were in a booming R/E market" (of recent posting) and "Sydney has already had it's bust and prices have been flat since 2004 and unlikely to drop by substantial amounts" (from pages and pages back somewhere in here) are completely false statements and are stated with the intent of achieving what end? You tell me...

There is no factual evidence that we have reached the end of the downturn and have currently entered a boom phase, but there's plenty of fact stating that we are still sliding down hill and no end is in sight...

See the following definition for spruik. Certainly not explicitly defined as talking up any individual property....

http://en.wiktionary.org/wiki/spruik

LOL - this is really funny! Just sounds to me like you are upset that you may be losing the argument?

Hardly..... just tired of trying to make one-eyed-perma-bulls understand the bigger picture with the declining economy. This is what will fundamentally drive prices in the short term and I don't think that can be denied.

Low rates and FHB stimulus are neither nothing new, or unsustainable.

FHB stimulus has been around .............................. right now in Sydney.

ABC is the only mainstream media outlet that I have seen that has actually warned of the possibility that if things continue to decline then many of the newly enticed FHB's may end up with unemployment issues, negative equity, interest rates rising from their 60 year lows.... well, it's be almost like watching the effect that all the margin calls had on the stock market last year wouldn't it! (yet it would be painfully slow and protracted....)

If the economy does not start to show signs of recovery by the end of 2009/early 2010, then yes I would agree that the current property upturn could halt. However, if economic recovery does begin, then right now may be seen when we look back as the point in time where the market had bottomed and started to turn, due to all the factors you correctly list working as intended. Re heading into a future inflationary environment - well that can only cause property prices in absolute terms to head one way - up.

It could also be seen as the biggest Government promoted suckers rally in history. If the IMF didn't even see the crisis coming, how much confidence do you have in our Government seeing a clear path out of this mess? I have none since our Government cannot control the external influences that have so drastically played their part in bringing our booming economy down.

 

[billv]

over the next 5,10,20 or 30 years the man or woman who can themselves "update" will get some nice numbers
robots

Robots

I agree, and for us investors an update will not only get us a higher rent but will also attract better tenants

 

[robots]

hello,

hey hey, here we go brothers:

http://www.news.com.au/heraldsun/story/0,21985,25156288-5005961,00.html

apartment rents up 14% for the year, fantastic news

something has got to give with the slump in building approvals and it looks like rents are going up up and up, fantastic, hope the approvals fall again next month (purely from an investment perspective of course)

thankyou
robots

 

[numbercruncher]

Hello,


Jenman and the PM on channel 7 as we speak ..... PM reckons he is going to kick some spruiker **** .....

" House prices to keep rising for years " hilarious

Better write to your central banker and ask for quicker inflation Permabulls .....

Thankyou

 

[Wysiwyg]

hello,

hey hey, here we go brothers:

apartment rents up 14% for the year, fantastic news

something has got to give with the slump in building approvals and it looks like rents are going up up and up, fantastic, hope the approvals fall again next month (purely from an investment perspective of course)

thankyou
robots

Must be nice to be flexible enough to kiss your own ass.

 

[robots]

hello,

hey hey, here we go brothers:

http://www.news.com.au/heraldsun/story/0,21985,25156288-5005961,00.html

apartment rents up 14% for the year, fantastic news

something has got to give with the slump in building approvals and it looks like rents are going up up and up, fantastic, hope the approvals fall again next month (purely from an investment perspective of course)

thankyou
robots

hello,

just for anybody who missed it, here it is again Post #4089 and just to summarize rents up 14% for apartments y2008

does anybody know when the building approvals come out again? should be interesting

what happened to the Labor Party rental scheme program?

thankyou
robots

 

[Bill M]

Some pages back someone was saying that banks are not lending and this will be the demise of the property market, not according to this story, plenty of money around for the right buyers.


Commonwealth Bank hires staff for first home buyer grant demand

THE nation's largest lender has been forced to hire more staff, as demand for the Federal Government's first home buyer grant has seen processing times for loans blow out.

The Commonwealth Bank has been inundated with people seeking home loans - hitting a 40 per cent increase in applications last month.

FULL STORY HERE

 

[kincella]

more stats that confirm what the bulls have been saying....and the opposite to what the bears say.....
............................................................................
rents rose in NSW by 11% last year.....
and housing in Qld grew.....it did not decline.....funny thing about QLD, its the only state where the population is greater in the regional areas, not the cities...the opposite to the rest of OZ

extract.......
The latest housing figures for Queensland, meanwhile, showed an increase in median house prices in the December quarter in the state's coastal and southern regions.

The Real Estate Institute of Queensland (REIQ) statistics showed that regional centres from Bundaberg to Townsville recorded rises of between 1.5 to 2.9 per cent over the December quarter, while in southern regional Queensland the Southern Downs, the Scenic Rim and Dalby recorded growth of between 4.2 to 6.7 per cent.

The southeast experienced small declines in median house prices which the REIQ attributed to an increase in affordable house sales as first-home buyers returned to the market.
http://www.news.com.au/business/story/0,27753,25156288-31037,00.html

 

[kincella]

quote from singlefished in response to beej....

"Perhaps Lieing was a poor choice of words so apologies for that, but comments like "...I'd almost think we were in a booming R/E market" (of recent posting) and "Sydney has already had it's bust and prices have been flat since 2004 and unlikely to drop by substantial amounts" (from pages and pages back somewhere in here) are completely false statements and are stated with the intent of achieving what end? You tell me...

There is no factual evidence that we have reached the end of the downturn and have currently entered a boom phase, but there's plenty of fact stating that we are still sliding down hill and no end is in sight..."""
...............................................................................................

we keep giving you the facts on a daily basis...which you choose to ignore...

and your facts come from ????? the US UK Jap Ire
where are your facts we are sliding downhill with no end in sight ?
you keep saying they are false statements....where are your facts to dissprove this....oh and we are only talking about the AUS market....not any other country

 

[kincella]

Building rebound could prevent a recession

AUSTRALIA'S largest home loan broker says Rudd's first home buyer grant has sparked a building rebound that could prevent a recession.

Mortgage Choice chief executive Paul Lahiff said more than $8 billion worth of home lending had been completed by the end of January - and he believed more than $2 billion of it was to fund purchases of new houses.
"We are experiencing incredible growth in activity," Mr Lahiff told BusinessDaily.

"I suspect the multiplier effects in the economy for suppliers of building materials will start to show up in official economic data for the March and June quarters."

Home loan brokers are among the first intermediaries to discern imminent changes in home construction activity because they are a first port of call for people planning to build.
Mr Lahiff said his company's franchised network saw continued record growth throughout February, with more than 25 per cent of all brokered loans being for new dwellings.

http://www.news.com.au/heraldsun/story/0,21985,25156863-664,00.html

 

[kincella]

Victoria to fix 10,000 public houses, and build 20,000 new public houses

The good news just keeeps coming.
I find this hard to believe....talk about 2500 uninhabitable houses...and then 10,000 that would otherwise be lost......
and building another 20,000 new public houses ....assume aust wide ? not just Vic
**good news for tradies and builders though...some will keep their jobs...or get new ones.....................................
At the time, the Government said the money would repair 2500 properties nationally that were uninhabited or would be lost to public housing. But it has now approved proposals to upgrade more than 10,000 properties nationally, which would otherwise be lost, while a further 37,000 will receive minor repairs.

Victoria will receive $49.6 million this financial year and a further $49.6 million next year, which will pay for major repairs on more than 1600 properties that would otherwise be lost, and minor improvements to about 4000 other properties.

Ms Plibersek said state housing authorities would be able to start contracting tradespeople and builders immediately. The stimulus package also included $6 billion for 20,000 new public housing dwellings.

http://www.theage.com.au/national/victoria-set-for-100m-public-housing-boost-20090308-8sg4.html

 

[MrBurns]

So Rudd has been successful extending the AU housing bubble in some sectors while the rest of the world is in recession, doesn't that ring alarm bells in anyone else ?

 

[kincella]

Depends on how one views the news Mr Burns......
I see it as keeping people in work, and providing new jobs in the building industry...and because those tradies spend money...it helps the other sectors...

I do not see a bubble in there anywhere....just people can now afford to buy property, build their own homes.....and others will get to keep their jobs...maybe employ some new apprentices etc..

 

[MrBurns]

That all sounds very nice but it's going against global trends and I'm guessing it will end in tears and no amount of talking it up will stop that.

But rather than argue with me wait and see.