House prices to stagnate for 'years'

[numbercruncher]

Hello tech/a

Did you settle on that esplanade property yet ?

What yield do you expect to get as a rental ?

 

[robots]

hello,

the global house price crash forum is up and running again

must of got funds from one of the mortgage brokers that advertise on the site

thankyou

robots

 

[tech/a]

Hello tech/a

Did you settle on that esplanade property yet ?

What yield do you expect to get as a rental ?

They didnt accept my offer.(Market is increasing not decreasing.)
It was an alternative to building my own home on the Espy.
I have a block there and have done some building figures.
Line ball for building (Myself I'm a builder) and quiting own home and land and freeholding another if I can find one I like or with potential.

I dont buy for yeild.
While my Ip's are positively geared,either due to the increase in capital value/rents or the initial capital in the property,I buy for capital gain and most importantly in the not so distant future a hedge for INFLATION.

 

[numbercruncher]

hello,

the global house price crash forum is up and running again

must of got funds from one of the mortgage brokers that advertise on the site

thankyou

robots

Hello Robots


You must spend a bit of time over there to always be up to speed on the uptime / downtime !


Be sure to let us know the clearance rates / price gains this weekend.


Ill be busy packing for the move back to Qld into a nice brand new rental, ive been genorous with this investor crowd and agreed to pay them the equivalent of a 3pc return, good tenants are hard to come by.

Have a nice day

 

[numbercruncher]

Seems in my home town of the Gold Coast even the top end realestate is getting awesome 2pc rental returns.

Heres a 5m+ property on Hedges ave that you can rent for 2k a week, gee if i was a young tacker back in the day would of hooked up with 10 mates and taken this badboy on ....

[URL="http://http://www.realestate.com.au/cgi-bin/rsearch?a=o&id=402802618&f=30&p=10&t=ren&ty=&fmt=&header=&c=58022478&s=qld&tm=1189824361"]http://http://www.realestate.com.au/cgi-bin/rsearch?a=o&id=402802618&f=30&p=10&t=ren&ty=&fmt=&header=&c=58022478&s=qld&tm=1189824361[/URL]

 

[robots]

hello,

for some reason many people keep forgetting about capital growth,

I hope Kathmandu can repost the great article on the 6k house in Bryon Bay,

a bit hypocritical from GHPC to accept advertising from mortgage brokers isnt it?

went to a few auctions in my area, all is going well, clearance rates will be down on the last few due to the massive increase in property for sale

just a bit more to choose from so people will most likely hang out, the price range from 300-500k will be solid as though

thankyou

robots

 

[numbercruncher]

went to a few auctions in my area, all is going well, clearance rates will be down on the last few due to the massive increase in property for sale

Thanks for alerting us to some more warning signs Robots !

 

[robots]

hello,

no problem, dont mind helping out the forum members by keeping my ear to the ground,

more than happy to put the info on the forum for eveybody to read, much better than trusting whats in the media articles

thankyou

robots

 

[tech/a]

Cruncher

Seems in my home town of the Gold Coast even the top end realestate is getting awesome 2pc rental returns.

You make me laugh.
You think your having the last laugh!

Ever contemplated that the owner may have purchased at 1/3 of the current property valuation put 50% down and is returning 15% or more!

Nah---didnt think so.
Your like that bird on the add for breakfast cereal---you think the older folk are plain stupid!

You can crunch numbers till your blue in the face,until you actually take part in investment you'll just be one of those unfortunates that talk a lot and do bugger all.

Oh there are more states in Australia than QLD,grab an atlas and have a look.

 

[Kathmandu]

Here you go number cruncher, just to refresh your memory, heres that article I posted earlier

http://www.news.com.au/couriermail/story/0,23739,22383886-5011140,00.html

MMMmmmm nice fat capital gains.

and some pictures may help as well, with the Byron Bay one that Robot's likes

 

[numbercruncher]

Tech/a your little pyramid scheme only holds up whilst youve got buyers willing to pay more than the previous buyers.

As an owner occupier you pretty much need 10pc p/a capital gains for break even.

And as im sure you are aware residental home construction is pretty much in recession showing your little pyramid scheme isnt holding up so well.

Yes i did consider your possibility, I also considered that the owner of that house could of paid alot more than 5m as well, just do some research on what Hedges ave sells for, its probably more like 10m - plonked in a bank acount would return 700k a year instead of 100, but like ive said before I love you realestate investor dudes, you rock !! We have a relationship that seems to keep both parties happy. We get to move when we are tired of the view, you get 2 to 3pc returns year after year.

Once Australia is looking like running out of land, let me know, i might jump back in then.

No use getting upset though now is there ?

Have a nice day

 

[Kathmandu]

But wait, theres more.

Just for numbercruncher, the Gold Coast

And who could forget that Dud, Rockhampton.

Property never go'es up

Yeah right

 

[numbercruncher]

Nice one Davo,


Perhaps you should sit on that fishing shack for 30 years, might get the same return somewhere around 5 Billion dollars for it ??

 

[numbercruncher]

But wait, theres more.

Just for numbercruncher, the Gold Coast

And who could forget that Dud, Rockhampton.

Property never go'es up

Yeah right

There you go typical Realty talk mincing my words, can you quote one of my posts that say Realestate never gos up ?

Nice list though, anyone who bought a year ago as an owner occupier and didnt see 10pc for the 12 months loses

 

[Kathmandu]

Yes i did consider your possibility, I also considered that the owner of that house could of paid alot more than 5m as well, just do some research on what Hedges ave sells for, its probably more like 10m - plonked in a bank acount would return 700k a year instead of 100, but like ive said before I love you realestate investor dudes, you rock !! We have a relationship that seems to keep both parties happy. We get to move when we are tired of the view, you get 2 to 3pc returns year after year.

Say he did buy it for $5 million, he would have only had to cough up $1 million to purchase and if it is worth $10 million now, he get's $9 million.

Not bad

Yes he still has holding cost's, but on the original $1 million which = $1471/week in interest

He get's $2000/week in rent

How can that be



Dave

 

[Kathmandu]

Nice one Davo,


Perhaps you should sit on that fishing shack for 30 years, might get the same return somewhere around 5 Billion dollars for it ??

Nah mate, the profit's i'll take on the sale will pay off a couple of the ones I purchased 5 years ago.

Dave

 

[numbercruncher]

Say he did buy it for $5 million, he would have only had to cough up $1 million to purchase and if it is worth $10 million now, he get's $9 million.

Not bad

Yes he still has holding cost's, but on the original $1 million which = $1471/week in interest

He get's $2000/week in rent

How can that be



Dave

Bold assumption@!


Lets assume he bought it yesterday for 5m and hes now renting it for 2k a week - his repayments on a 30 year 100pc mortgage(using CBA standard variable) are 9,453 + rates, Insurance, maintenance.

Or maybe he paid double that at 10m ? and repays 19k a week, waiting on the massive capital gains? who knows!

Tasty!

 

[tech/a]

Tech/a your little pyramid scheme only holds up whilst youve got buyers willing to pay more than the previous buyers.

Hmm interesting,Ive been on the planet 50 odd years always been the case.
But then you'll be in fear for the rest of your life and have missed the opportunity to own a home---but of course thats not your goal.
Your goal is to justify in your own mind why you never had the guts or accumen to get one of your own.

As an owner occupier you pretty much need 10pc p/a capital gains for break even.

As owner occupiers 99% dont give a rats what the return is or needs to be THATS WHERE WE WANT TO LIVE.

And as im sure you are aware residental home construction is pretty much in recession showing your little pyramid scheme isnt holding up so well.

Now that statement just shows total ignorance of the industry.Our company has expanded 20% a year for the last 3.I cant get good tradesmen.My forward orders stretch YEARS! In residential developement in SA of which I'm involved in.10,000 new homes are being constructed in Seaford area in 8 stages,we are in stage 3.Recession---hahaha.I know of 2 others.
Mt Barker and Mawson Lakes.---you crack me up!

Yes i did consider your possibility, I also considered that the owner of that house could of paid alot more than 5m as well, just do some research on what Hedges ave sells for, its probably more like 10m - plonked in a bank acount would return 700k a year instead of 100, but like ive said before I love you realestate investor dudes, you rock !! We have a relationship that seems to keep both parties happy. We get to move when we are tired of the view, you get 2 to 3pc returns year after year.

Do you really thinkpeople who purchase $5 mill or more properties are "Normal" wage earners? Do you really think these guys give 2 hoots about return.
Do you really think they want to make a $$ Their earning capacity AND their tax situation has them placed where they KNOW EXACTLY what they are doing negative gearing.
Nievety becomes you.
If numbercrunching is to be your profession perhaps you should re consider?

Once Australia is looking like running out of land, let me know, i might jump back in then.

True but do you really want to live in a galvanised iron shed 100ks from a major city?---Would you rent it?! No?--So why would you buy there?

No use getting upset though now is there ?
Have a nice day

Hell no----lifes dandy!

 

[wayneL]

OK some nasty comments going on here, let's just cut the ad hominem crap out.

Stick to facts, figures, projections, opinions; casting aspersions on peoples character will quickly turn a forum to sh!te.

Let's not go there.

 

[Kathmandu]

Bold assumption@!


Lets assume he bought it yesterday for 5m and hes now renting it for 2k a week - his repayments on a 30 year 100pc mortgage(using CBA standard variable) are 9,453 + rates, Insurance, maintenance.

Or maybe he paid double that at 10m ? and repays 19k a week, waiting on the massive capital gains? who knows!

Tasty!

Bold assumption@!

Lets say he did pay $5 million and then got another 19.8% Cap Growth next year like this year at Mermaid Beach.

That'd be a pick up of $990,000

Something tells me he aint worrying about the outgoings

Tasty!

Dave