Australian (ASX) Stock Market Forum

The future of Australian property prices

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hello,

i wouldnt take to much notice of information from economists, most of them are just social commentators now, they run with the handout crew

they are like Alan Kohler on the abc news, great at pulling up a graph after the event has occurred

the true purveyors of forward thinking are onboard here

thankyou
robots
 
You have a point Robots. But I still prefer a good argument ( which it was, and was well researched) over the hyperbole that is often presented on forums and media.


The only forward thinking I can see is the market itself. For example, why is there distribution in CBA right now? It does not correlate to a mortgage market that is undersupplied.
 
satanoperca said:
With another small rates rise yesterday, thank our govnuts that they didn't create the mess with mortgages like in the US.

DRUS12-17-09-9.gif

Cheers
Click to expand...
ARMS can be nasty little suckers - some of the more devious lenders in the US used fine print that was smaller than some of their customers could accurately read, with 4-5% jumps as of the reset date.

Say what you will about Australia; for all our flaws our consumer safeguards are miles ahead of those in the US.

FWIW I'd love a pullback in prices.
 
hello,

good afternoon fellow members, superb day

forgot about this research website:

http://www.morrellandkoren.com.au/topend/

good data from a down on the ground crew instead of the closet bloggers

beautiful weather today, great to be alive and cycling around the streets,

great mix of architecture in The Economist rated, 3rd most liveable city in the world

thankyou
robots

ps. clearance rate coming to you around 7.30pm brothers
 
It is interesting that in two out of the last three years demand and results from residential auctions have improved in the two months after Easter, the only exception was in 2008 when demand cooled as a result of oversupply and interest rates. There is no indication of any softening of demand this year.
Click to expand...

Hey Enzo, what I do find interesting is that you have said that there was an oversupply in 2008, and never mentioned it back then. I wonder why.:rolleyes:

Common perception may be for buyer’s interest to cool off in the face of projected interest rate increases however that perception does not take into account the underlying factors driving the market – a significant gap between the housing needs of our growing population and our ability to provide them the homes they need to live in.
Click to expand...

Enzo, you seem concerned about something. Was you analysis really necessary? I guess you are saying 'buy, buy, buy (please).
 
hello,

good night everybody, sleep well and will catch up with you in the morning

dreamtime

thankyou
robots
 
that links to an article about melbourne-style coffee shops in new york... what does that have to do with property prices? :eek:
 
hello,

we give the clowns in America a taste, holy cow, this is it man, lets get over to Australia

sun, surf, trees, beaches, way of life that floats a mile high above any other joint

then they stay, rent a place, buy a place become one with all the other brothers, fantastic

also realise they dont need to keep a 9mm in the console of the car or a tayser near the back door

paradise and plenty of room for others to join us on the ride

thankyou
robots
 
Hey damien275x. Enjoyed your post. If you're young and earning good money, my advice would be to have as much fun as you can, while you still can. Save up and travel and party! Sleep with lots of beautiful young women who don't care about your income and assets. When you're older and got commitments & dependents & health problems, you'll look back on those times as the best of your life.

You will be constantly bombarded with crap like "life begins at 50", to which you should reply "yeah but it ends at 75" (the funniest things are the TV commercials which shows a retiree going surfing --- yeah right). This is just garbage from people trying to make money from you. Retirement is the beginning of the end of your life, not something to waste your youth on.

It depends on how much freedom you want in your youth but only consider buying an investment property if it is positively geared. Otherwise, do you really want to be paying a mortgage while you are backpacking around the world? But if you can find one that is near break-even, then the additional expense will be very beneficial in the long run. If not, and you've got some savings, consider diversifying. Keep some in term deposits, buy some speculative shares, some growth shares and some dividend shares. And maybe some gold. Make your capital more productive. Educate yourself in financial matters. There are easier ways to financial independence than being a wage slave and paying a huge mortgage.
 
hello,

does anybody actually have any NEW research as to why property prices will fall?

anyone?

thankyou
robots
 
Why is obvious. That economic history lesson will not change.

When as always is the more difficult question. Perhaps when China takes a stumble along its path of economic growth.

As with all bubbles most won't see a problem until the punch bowl is empty. When it is there will be a rush for the exit and the government take from new party goers coming through the entry door will be severly reduced.
 
hello,

what bubble though

the legend Shadow continually provides evidence that aus does not have the highest price/income ratio in the world, many more countries have way higher prices and far less to offer

just appears to be all normal to me, non issue, got some $ buy a place, no $ then do something else

plenty of joints around to rent or buy

thankyou
robots
 
i agree with those that say they rather live their life then be stuck paying 95% of their pay towards a house that they might call their own when they are 60.

Back 10 years ago the property market was a great thing to get into. With the price of houses being quiet affordable, working hard it was possible to pay off a house in 5 - 10 years. Now the story is totally different. Buy some half ruin for 400k, spend 90% of your pay on bills and repayments and call the house "yours". The truth is you are paying rent either way, to the bank (interest) or the landlord.

You are either paying 40% or 90% of your wage, paying maintenance or having somebody else pay maintenance, sitting home eating instant snacks and not being able to afford to go to the pub constant in stress of meeting repayments, or living life being young, but wise!

You only live once and you are young once, like it was said before you are not going to be surfing at 50 or sleeping with beatifull 20 something women.

Its such a propaganda machine for the young thesedays, get yourself a fulltime job, get locked into a mortgage which you can barely pay off and live life 9-5 until your 50. Go on your annual holidays to queensland for 2 weeks each year and do the same thing with the same people for xmas.

This is what you are told by those that need this whole scheme going in order for their own investments to be sustained. The trends are slowly turning, alot of young people are not materialistically motivated, they prefer to travel and see the world, meet other cultures, experience real adventures and simply live their life! Its just not the same as having your Clubsport Hsv on credit in your house on credit taking it for a spin on a Sunday lol.

Anyway my point is the housing market might not crash, it might not correct (unlikely) but in the end we are all born with nothing and leave with nothing. It makes me laugh and saddens me at the same time when I see another 20 year old fho saying how they plan to make 100k in 5 years or 10 years from their investment. Little do they realise the only people that benefit from them are their future kids and the ones who bought in to the property market 5 - 10 years ago.

Lets face it property prices might of went up 300% yet wages did not. If you buy a house for 600k today who in their right mind is going to be able to afford it and buy for 750k in 2 years? Investors from china? thats everobody's response. If I was to invest 750k id want to get more then 500 bux per week return on it lol. Its all about group mentality, its 2010 wonder if the next decade will still be stuck in the thinking of "the aussie dream"

please don't misunderstand its not a attempt at downramping the property market, I know heaps of people have a very big stake set on it including many honest families! It is my observation of the changing mentality of the new generation to come and the emerging bubble.
 
hello,

thanks treeman, wonderful writings brother

and spot on, make a choice in life man, no big deal, it will be neither right nor wrong

i picked a path and the tingly feeling i get everyday is just amazing, its an aura that lifts me high into the sky,

thankyou
robots
 

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