I have given up buying a house

[krisbarry]

The funny thing is that Melbournians are migrating to Adelaide in the search for cheaper housing, only to realise when they get here that housing is less affordable than Melbourne

 

[wayneL]

Isn't Geraldton a city then

It thinks it is, but it ain't.

 

[Bronte]

You say some crazy things Wayne.
Geraldton has to be more isolated and boring than Perth.

 

[juddy]

Which suburb is it in?

It frustrates me no end when people tell me such and such has tripled or doubled.

I'm pedantic about these claims sorry.

Here you go Realist. A real story for you.

Just got off the phone to a friend. They bought their house in Joondalup in 2000 for $182,000 (4x2, D/b Tile). Spent $70k on renovations. Sold it on the weekend for $590,000.

Crazy people who bought it. Just crazy.

 

[wayneL]

You say some crazy things Wayne.
Geraldton has to be more isolated and boring than Perth.

Despite any title accredited to this place, it is not a city.

It is slightly more isolated than Perth.

It did have more of a social/community structure making it preferable and less boring than Perth. However the real estate boom has now destroyed the social fabric of the community. Therefore it is now only slightly less boring than Perth.

It is less boring than Perth because the range of activities are more readily accessible due to its small size. For instance, I can ride a horse, catch a fish, and go to a committee meeting in town, all in the space of one afternoon/evening, and still catch the US open; an impossibility in Perth.

Cheers

 

[REA]

I visited Perth from Sydney for 8 days late August and I thought it was fabulous. We stayed in Fremantle and then Bunker Bay(Margaret River) great restaurants, no traffic fantastic. Certainly is progressive.

For Bronte - I cannot understand your unit in Stanmore not appreciating, my daughter bought a house in Annandale 1/2 kilometre away late 1999 for $365.000 and it is now worth $745.000 maybe try another agent.

 

[Realist]

Buy now before it's too late!

Haha, that is exactly right.

People buy out of fear, or out of greed.

Most do not buy based on fundamental facts and simple logic.

Hence we get wild swings of ups and downs.

I've done it myself, bought shares that were going up cause I thought if I leave it any longer I'll miss out. DUMB!!

 

[wayneL]

Here you go Realist. A real story for you.

Just got off the phone to a friend. They bought their house in Joondalup in 2000 for $182,000 (4x2, D/b Tile). Spent $70k on renovations. Sold it on the weekend for $590,000.

Crazy people who bought it. Just crazy.

Holy Cr@p! Joondalup FFS!

 

[Bronte]

"Well known as the "Sun City", Geraldton is also a sought after destination for chasers of the wind. Windsurfers are attracted throughout the year to the perfect conditions for their water sport and the national competitions that are held here annually. The magnificent beaches and sunny weather plays haven to a multitude of water activities or just enjoyed for a leisurely sun-bake or stroll.

Located just 4 ½ hours drive or 55 minute flight north of Perth, Geraldton is in easy reach for a weekend getaway, a longer vacation or a permanent getaway! It provides an ideal base for exploring all that Geraldton and the surrounding areas have to offer including the wildflowers, Greenough Hamlet, Kalbarri Gorges or the heritage or walk trails in the area."
Quote from the City of Geraldton website.

 

[wayneL]

"Well known as the "Sun City", Geraldton is also a sought after destination for chasers of the wind.

Yup, there is the occasional sea breeze up here.

 

[Smurf1976]

Anyway I am glad you (Realist) and I are on the same page...this chorus is getting louder and louder.

I reckon I could add a few more members this this list...Smurf and Wayne maybe. They both seem very bearish about the housing market.

I'm bearish on any asset where (1) it is over valued by most or all measures and (2) there has been mass widespread public involvement speculating on further price rises and (3) the rug is being pulled out from beneath the asset's ongoing inflation.

Property fits all 3 of those with ridiculously low rental yields in many areas, public involvement to the point of being a TV ratings winner, rising interest rates and first home buyers simply unable to pay the asking prices.

When yields are high it's time to buy and I will.

 

[Smurf1976]

Now no but in 1996 yes.

Is now the time to buy IP's--NO and hasnt been for a few years.
There are very rare exceptions. I havent seen one. But know of a few that have changed hands.

Exactly...

 

[Out Too Soon]

Instead of investing in super, astute investing at the same level in the right shares & when you have enough purchase your house for cash.
Super that gets taxed going in and coming out, annually feeéd to the max & invested in parts of the share market you wouldn't touch with a barge pole is a lazy alternative & a govt & financial industry rip off of the working man. Dont agree, hey it is compulsory.
pls dont take me tooo serious on this

 

[wayneL]

I'm bearish on any asset where (1) it is over valued by most or all measures and (2) there has been mass widespread public involvement speculating on further price rises and (3) the rug is being pulled out from beneath the asset's ongoing inflation.

Property fits all 3 of those with ridiculously low rental yields in many areas, public involvement to the point of being a TV ratings winner, rising interest rates and first home buyers simply unable to pay the asking prices.

When yields are high it's time to buy and I will.

What about this for a truly 1st rate, world class investment with an uncommonly high yield.

http://www.royweston.com.au/content...=&fa_range=&min_farange=&max_farange=&oid=171

Quick Quick! Before it's too late!

Oh bugger! Too late, it's sold.

Seriously though, you would have picked this up for $40k 3 years ago.

The higher current price tag doesn't mean that you'll actually get paid for the rent though.

 

[Bronte]

Instead of investing in super, astute investing at the same level in the right shares & when you have enough purchase your house for cash.
Super that gets taxed going in and coming out, annually feeéd to the max & invested in parts of the share market you wouldn't touch with a barge pole is a lazy alternative & a govt & financial industry rip off of the working man. Dont agree, hey it is compulsory.
pls dont take me tooo serious on this

Nice thinking OTS
We decided in 1999 to buy an investment property every year for 7 years knowing that property could double in value every 7 to 10 years.We could then harvest the equity every year in retirement.

 

[juddy]

Bears and bulls can fight over this one. lol

Daily Economic Round Up: All about Housing
http://www.financialstandard.com.au/index.php?id=8533
Friday, 15 Sep 2006 12:55PM

Australian Bureau of Statistics data just released showed that housing starts were down 2.3 per cent over the last quarter on a seasonally adjusted basis and this represented a 5.5 per cent fall over the last year. On this national basis new private sector houses were down 2.5 per cent although the other residential building category fell 10.3 per cent. The HIA said that if WA and Queensland were excluded from the analysis, housing starts would be down by about 9 per cent.

Western Australian Premier Alan Carpenter has announced the further $1.5 billion development of the Wagerup Alumina refinery south of Perth which will make it the largest such processing plant in the world. This is expected to take over two years and employ 1500 workers in the already stretched local labour market.

In other news from the west, a joint survey from the Western Australia Chamber of Commerce and BankWest has shown that business confidence fell to a 12 month low as a result of concerns about cost pressures especially those do to with wages which have reached record levels in WA.

Housing prices in the Perth region have increased 40 per cent a year with investor loans rising 200 per cent per year since 2003 compared to a 20 per cent reduction for the nation. The median house price in Perth of $411,000 now makes it the second most expensive city in Australia and the fifth on an internationally comparable basis when incomes are considered.

The IMF has just revised down its GDP forecasts for Australia from 3.3 per cent to 3.1 per cent and inflation up from 2.6 per cent to 3.5 per cent. In its latest report the US is expected to finish this year having grown 3.4 per cent although this is anticipated to fall to 2.9 per cent next year. The IMF has expressed concerns that world growth is threatened and some uncertainty is likely to continue in equity markets as a sharper than expected US slowdown scenario concern the market psyche.

Peter Bell

 

[tech/a]

Peter Bell

The Footballer???

 

[juddy]

The Footballer???

well why not? Scott Watters (ex Freo, WCE) is finding the bargain house buys on Today Tonight every Monday.

He certainly looks like a real estate rep. lol

 

[Bronte]

Nice thinking OTS
We decided in 1999 to buy an investment property every year for 7 years knowing that property could double in value every 7 to 10 years.We could then harvest the equity every year in retirement.

We enjoyed the process of buying quality property so much.....we bought more than we planned for

 

[wayneL]

We enjoyed the process of buying quality property so much.....we bought more than we planned for

Indeed

It has become a pastime for many folks. It is a part of the sociologically negative knock on effects of R/E bubbles. I observe this phenominum has destroyed community/social intercourse.

The bust will be a positive in this regard.