Australian (ASX) Stock Market Forum

House prices to keep rising for years

Status
Not open for further replies.
Jump to new
Beej said:
Hard to say? Alan Kohler had a graph on ABC news tonight showing that across Australia residential construction is currently way down in historical terms, and in NSW we haven't built fewer new homes as this year since 1954????? :eek:

It seems that logically we should be building far more, but somehow the crap state government policies (which push up base costs for developers) + the perceived risk (ie not enough upside reward/profit potential currently in the eyes of many developers, plus difficulty securing funding etc), seems to be keeping activity subdued. I tend agree with many here that the FHB grant boost should have been for new houses/flats only - perhaps something like that is on the horizon when the boost ends?

Cheers,

Beej
Click to expand...

Yeah, it's a bit hard to see it happening just yet. Seems a few prop investors feel it's coming soon though. I sure hope they are right :D
 
Gav...the govt would have to spend a similar amount itself in building public housing....and the govt knows the private sector is more efficient in providing this service, than any govt programs....just think of it this way...in the past the govt spent millions providing public housing....still using our taxpayers money...then they found a more efficient way...let the public spend the mopney and give them a tax deduction....
you should know Keating stopped neg gearing back in the 70's...but reinstated it very quickly when investors fled....and then the subsequent shortage of housing for renters suddenly dried up....the govt had not thought to replace the housing stock with its own stock....
the immigrants are a ready market for most of the public housing that is still out there today...believe almost no new public housing built since the 1970's...
so to answer your question...if I were not allowed to claim deductions...I would have to rethink my investments.....but the same non allowance would be applied to any investment, including shares.......
and a question for you...what if they turned it around and home owners were allowed to claim a tax deduction for the interest expense...like they do in the US ??? would that change your mind about owning a home....there were rumours of this approach....
in that case..maybe more people would become home owners rather than renters.....its doubtful that would turn people around....we have moved down from the 70% owners ratio of the past, and moving into the lower 60% and heading for a 50% mix
anyway, I would find a way to keep my properties as the bulk of my investments...or I might move further into commercial properties...which are the best of the best anyway
 
When houses only rise by .73% on long term average why bother buying any house, and there is no evidence any where that migrants homeless people will buy a house soon. Buy Gold instead.
 
Kincella, I agree with you that removing NG would lead to a reduction in rental properties, however, as NG was designed to increase the supply of rental properties then it should only be available on new properties not existing. Then it would be used only for good and not evil, increasing building construction and jobs.

It seems a little bit of a joke, that Australia the land of plenty is slowly seeing a reduction in home ownership as it is unfordable for the masses

People like yourselves would have to alter your investment strategy to include commercial and retail real estate, which NG would be applicable to both new and existing properties. Focus more attention on investment for innovation and the creation of jobs.

The next 12 months will be interesting if IR rates return to normal. The RBA increased and deceased them over a 12month period by more than 300 basis points, it can happen again catching all those FHB.

It seems summer has arrived, a stunning morning in Melbourne today.

Cheers
 
try to direct some angst against the state govt's..in all states....they are the ones not releasing land for new homes...in fact Vic had that 2030 policy that no new land would be released for development.....until recently an ad hoc release due to the backlash on shortages...
in your scenario of only ng on new homes.....that would compete with the kids out on the fhb suburbs.....I think it would also close the inner market on houses....
ok so say the ng is allowed on units in the inner suburbs....but not established homes....that would also fire up the prices of established houses, as developers demolish same to build more units.....
there goes the dream of the quarter acre block for the kids....
some suburbs require a limit on the number of units allowed....to retain the beauty of some of the loveliest streets in the world.....
have you been out to ...Malvern East lately.....1000 times more beautiful than Malvern....all the period homes, large leafy streets....
Malvern itself is like a very poor cousin now....destroyed by all the ugly units
I doubt if Justin Madden cares enough....they want to put massive high rises along all the public transport routes and streets.....and not pay for new infrastructure out in the suburbs.....nor look at very fast trains for people to stay in rural areas and commute to the city for work....which is my favoured idea
I prefer period homes....am looking at extensions for them...but would not replace them with units....and therefore destroy the street appeal....plenty of non period areas where units are more appropriate.....oh and that ugly set of units has destroyed the value of the beautiful period houses nearby.....I have seen that happen several times....
 
Well there are 310 pages and some 6000+ posts, so forgive me for not reading them all to see if what I have to say has already been said - which I guess it has.

Is there really a shortage? Yes, I agree there is a shortage of $300k homes within 10 mins of the city with 5 bedrooms, a pool, DLG, brand new and the like - just like mum and dad had (so they all want), so is it not a matter of expectations rather than supply?

I don’t know the figures for every State, yet from what I see in Brisbane, its somewhat of a joke when I see people complain "I cant find a place to live".

I know of a number of people who over the past couple of yrs (including now) who have found the money, or a long-term partner, or simply decided it was time to buy and guess what, nearly every single one of them bit*hed and moaned about not being able to find a house, ohhh and at a price they could afford.

Many a time I searched the big real estate sites and found thousands of places for them to buy - and often way less than what they had to spend.

What much if it came down to was they wanted something they couldn’t afford. Somewhere they thought would be 'good enough', and more to the point something they felt comfortable in.

I am not going to debate the lack of infrastructure etc in some parts of town where there is new housing, yet the fact remains there is plenty of: townhouses, flats, apartments, units, houses, tents, swags etc for sale and at prices 'everyone' can afford.

I think if attitudes changed to realise you can’t have the house you want right now with all the trimmings etc - you might actually have to work for it, then I think the supply question could possibly become a little more muted. IMO of course.
 
stockonthe block....I have been saying the same thing for years....plenty of affordable houses out there for everyone....
there might be suburb snobbery behind some of it....ie I am not going to live in the Western suburbs...because etc....
 
$225,000 asking. Whadaya think?

lr2411341-1.jpg
 
Here's another, $185k asking.

lr2409464-7.jpg

Patience Nun. :D
 

Attachments

  • lr2409464-7.jpg
    lr2409464-7.jpg
    10.9 KB · Views: 0
  • lr2409464-7.jpg
    lr2409464-7.jpg
    10.9 KB · Views: 0
Glen48 said:
When houses only rise by .73% on long term average why bother buying any house, and there is no evidence any where that migrants homeless people will buy a house soon. Buy Gold instead.
Click to expand...

ROFLMAO!!! Glen where do you get this rubbish from???? :)

Beej
 
Without a word of a lie, this one is asking $100k :eek::eek:

lr2413317-1.jpg
 

Attachments

  • lr2413317-1.jpg
    lr2413317-1.jpg
    5.8 KB · Views: 0
  • lr2413317-1.jpg
    lr2413317-1.jpg
    5.8 KB · Views: 0
I just know they are all in the US....the style tells me everything.....
and they come with annual state taxes of about $8000-$10,000 per annum.....
I would love you to go there and buy them.......
but I can show you australian style modern houses around Melb for 200k's...
check out realestate site...see for yourselves....
but they are out in the suburbs....which may as well be overseas for some people....:D
 
Status
Not open for further replies.

Similar threads

A
Factors affecting property prices
Replies
3
Views
11K
Space Invader101
Space Invader101
Pommiegranite
  • Locked
House prices to keep falling for years
213 214 215
Replies
4K
Views
414K
MrBurns
MrBurns
H
Listen to this Seer...
Replies
13
Views
4K
haunting
H
M
Keen warns Australia headed for sub-prime crisis
3 4 5
Replies
92
Views
15K
Aurum
A
The Mint Man
  • Poll
Property to boom under Labor Government
2
Replies
30
Views
10K
tech/a
tech/a
Top