House prices to keep rising for years

[Buckeroo]

I am putting all my eggs back into property (and my balls) to capture the market in 12 months time. I like the idea of green titles sitting in the safe.

Hotspots to be considered:

Geraldton - Oakagee announcements - only "city" North of Perth
Ipswich - Fastest growing city in Australia - still bargains to be had
Gympie - Massive retirement belt - big blocks with strata potential (unit development)
Collie - Again - Due to doubling of power stations - surrounding areas

*Thanks Buckeroo for the pat on the back*

Good luck trainspotter, although I'm going to wait until black October has passed. Its harder to sell a house than shares if something happens.

Cheers

 

[robots]

hello,

just a quick update, still nothing brothers, havent heard

thankyou
professor robots

 

[kincella]

Robots...what have you not heard ??? the bet not settled ?

otherwise....kidding this move will not fire up the market even more....although if they wipe out exemption from capital gains on the PPOR there may be some reluctance to change houses, for some

Govts leaking potential changes....considering making the mortgage on the family home tax deductible.....but it may come with some pain....losing the exemption from capital gains tax when you sell it...and adding some extra tax if its sold for more than 2 mill.....
note 4000 homes sold last year for over 2 million, total of 10 billion dollars....so there are some smart people out there, making some good money...
while some people are still holding off from buying....waiting for those big drops....
if they do make the mortgage deductible, that will entice a lot more into the market, kidding it wont hot it up even more....
they need to address the shortage of houses..before any changes to tax....

heres the extract.......

THE Rudd Government is considering slapping a wealth tax on the country's most expensive family homes, according to The Australian.

The move is part of a wide-ranging and radical review of the tax system chaired by Treasury secretary Ken Henry.

The Government has asked Treasury to model various capital gains tax scenarios on family homes valued at $2 million or more, including making interest payments on mortgages a deductible expense.

An estimated 4000 homes were sold for $2 million or more last year, representing the top two per cent of residential properties.

The combined value of properties sold in the bracket was $10 billion.

Dr Henry, whose five-member panel will make its final recommendations on tax reform to the government in December, has indicated that one of the objectives of the tax review is to remove distortions in the taxation of savings.

The tax-free status of the family home has made it the "principal form of tax-preferred savings", according to the review's initial outline.

A spokesman for Wayne Swan yesterday declined to comment about the modelling being done by his department on capital gains on family homes.

"The Government will await the final report of the ... (tax review) panel due at the end of the year and will not be pre-empting that report," he said.

Residential property forecaster BIS Shrapnel estimates that 500,000 residential properties worth a total of $200 billion are sold in Australia each year.
http://www.news.com.au/business/story/0,27753,25932245-462,00.html

 

[trainspotter]

Good luck trainspotter, although I'm going to wait until black October has passed. Its harder to sell a house than shares if something happens.

Cheers

You are not picking up what I am putting down there Buckeroo. I posted that I have placed my hard earned $$$ back into property for an expectant rise in 12 months time. In certain areas (like the ones I have suggested) there is a strong possibilty that a greater than 20% gain is likely with little effort and low risk. IMO. SIP Rule Shares Interest Property ... I am reckoning that the heat is out of the market (for me that is) and talk of interest rates rising is filling the mass media so therefore PROPERTY is the next safe haven according to the formulae.

 

[knocker]

Just did a search of properties 75K and under. Thousands of them !!! Never a better time to be in real estate ROFLMAO

 

[Buckeroo]

You are not picking up what I am putting down there Buckeroo. I posted that I have placed my hard earned $$$ back into property for an expectant rise in 12 months time. In certain areas (like the ones I have suggested) there is a strong possibilty that a greater than 20% gain is likely with little effort and low risk. IMO. SIP Rule Shares Interest Property ... I am reckoning that the heat is out of the market (for me that is) and talk of interest rates rising is filling the mass media so therefore PROPERTY is the next safe haven according to the formulae.

Unless you have some sort of double meaning, yep I think I am picking you up load & clear trainspotter....yes if all goes well and with interest rates rising, should be a good investment as long as inflation doesn't follow too closely behind.

But, I'm still of the mind though, there will be a financial collapse before the years out with no immediate recovery for a very long time. All this talk of coming out of recession & having instant prosperity just doesn't add up for me - and we seem to be getting close to euphoria again on the share market and I hardly noticed the other 3 stages occurring!

But I could be horribly wrong - ah well, miss out on a little profit. But if I'm right, the condom I'm wearing will hopefully shield me from the worse.

Cheers

 

[trainspotter]

Buckeroo typed:- "But I could be horribly wrong - ah well, miss out on a little profit. But if I'm right, the condom I'm wearing will hopefully shield me from the worse."

Like my Irish Uncle Paddy used to tell me "Wear three condoms, to be sure, to be sure, to be sure." LOLOL

 

[robots]

hello,

word out to Satanoperca, its on

thankyou
professor robots

 

[knocker]

hello,

just a quick update, still nothing brothers, havent heard

thankyou
professor robots

Update about what Bro? Have you decided to decamp? Good to hear Robots welcome aboard, we certainly can use your spruiking skills on the other side.

thank-you

professor knocker.

 

[robots]

hello,

here we go again:

http://www.reiv.com.au/home/inside.asp?ID=162&nav1=652&nav2=162

fantastic day, sun shining bright as always

well done, the auctioneers are putting in and getting some fine results

thankyou
professor robots

 

[kincella]

interesting 398 auctions valued at 250 mill
717 private sales valued at 301 million

*** house sold in Rosebud for $281,000..see top bargain houses, and it looks ok on the google map...unbelievable low price imo.....I know it used to be a bit of a daggy suburb..when we passed through on our way to our shack in Sorrento....

from REIV......
This week: 475
Last weekend: 412
This time last year: 451

S Sold at Auction: 315
SB Sold before Auction: 81
SA Sold after Auction: 2

Passed in: 77
Passed in on vendor's bid: 44

Clearance rate: 84%

Postponed:0
Withdrawn: 0
Auctions with no result: 23

PS Private Sales: 717

Total Volume (Auctions): $251.45mil
Total Volume (Private Sales): $301.46mil

 

[Prem]

Hye guys,

could someone point me in the right direction?

how has GFC affected Australian housing markets?

 

[trainspotter]

Hey hey hey ... it's WA to lead the way !

It is very unlikely that the Australian residential property market will plunge anywhere near the extent of that in the US, because we haven't been through a huge construction boom, borrowers haven't leveraged themselves to quite the same extent and we have strong immigration to underpin demand. Not only this but with our banking sector outperforming the overseas competitors in the way of "write downs" on bad debt it seems we have a very strong sector of growth in the housing market. Western Australia should fare better than most due to the Gorgon Gas project and the likely Oakagee announcement. (even though the graph doesn't concur)

 

[kincella]

Christopher Joye is one of the very few commentators, who can look past the media rubbish, and zoom into the real story and facts behind published data ....ie data provided by people with the skills....and information who publish these reports.........................
want to know the facts.....read this massive report......

http://www.businessspectator.com.au...ument&src=is&is=Property&blog=Concrete Detail
......................
so many posters here, appear to just take the headlines from mainstream news,(versus the facts... truth) then use the media noise and stories, to comment on property in australia.......and form their opinions...

there is a huge difference between the two....one is fantasy to sell newspapers, the other is reality and the facts...

I had to take a trip a further 10klms away from the usual route recently,......I am amazed to say the least, at how much activity is going on around the leafy suburbs of inner Melb......trades men's trucks everywhere, and buildings being torn down or renovated, every street has so much going on....
conclusion...???? owners and investors are making the most use of the low interest rates to renovate and upgrade their properties.....
they are smart people.....this window of opportunity to maximise their dollars....
and for those out there waiting for house prices to go lower....its highly unlikely, when people are spending more money to upgrade their houses......
that means , it will cost more to buy the houses when those people eventually sell up....
oh and the above affords some protection for the future, against rising interest rates and inflation......
interest rates are not going to rise dramatically as some here predict.....
not when they will be paying off the huge government debt in taxes, for years to come....

Townsville is a basket case....all those storm people needing to sell up, and the over inflated prices for what really is just a small regional centre...its not a major city, not by any means, so why are the prices comparable with the majors of Sydney and Melbourne...they are not comparable....its like a hot stock story....hyped up on ....rubbish...only to fall over, leaving others to bear the brunt of the hype....

 

[moXJO]

Townsville is a basket case....all those storm people needing to sell up, and the over inflated prices for what really is just a small regional centre...its not a major city, not by any means, so why are the prices comparable with the majors of Sydney and Melbourne...they are not comparable....its like a hot stock story....hyped up on ....rubbish...only to fall over, leaving others to bear the brunt of the hype....

Old GG must be holding the price up in Townsville.
I agree with the construction seems to be a lot of residential going up and renovations galore (lots of extensions). Commercial construction is dead though, and I do mean dead.

 

[trainspotter]

Picture of the young man who waited for house prices to come down.

 

[robots]

hello,

good evening

http://www.reiv.com.au/home/inside.asp?ID=162&nav1=652&nav2=162

another terrific performance today, 82% clearance rate, this is amazing

thankyou
professor robots

 

[knocker]

Picture of the young man who waited for house prices to come down.

More like picture of young man still paying off a huge mortgage on an over inflated family home ROFLMAO

 

[trainspotter]

You crack me up knocker. My kids can't wait to inherit my mortgage!

 

[kincella]

oh well, off to battle the crowds in Chapel St again, actually its like that everywhere around inner Melb atm....now takes hours to do anything at the weekend, sat in Chapel St for 10 mins yesterday without moving, carpark at Safeway in Toorak is mandatory 5 minutes wait minimum....they are all out there shopping.....
car wash and dog wash day today...then the dog goes for the eye operation tomorrow, $1000 bucks upfront...
oh and at the same time, mortgages are easily covered, and I have started spending again
the commercial property is going great guns, another cpi rise next week, admittedly its not as great this year, but the rent is tied to cpi increases, and that was over 21% over the past 5 years.....

forget the lollipops....this is champers moments, with lobsters:sheep:
cheers