With all these bad news, should I invest in the property market.
“Although we note that volatile number of new home purchase loans jumped 5.1 per cent, with petrol prices high and – crucially – investors finally seeing that the sector has already had its best days, we expect this overall downtrend to continue.”
http://www.finance.news.com.au/story/0,10166,16869791-462,00.html
if you are prepared, then you can always invest in real estate. My motto is whenever there is a down market, there is somewhere in the world that the market is on up trend. Its a matter of finding and taking risk that you are comfortable with. Surround yourself with plenty of educations.
Always enjoy the journey
Cheers
JohnWanting financial freedom is not enough. Take some action TODAY. I have successfully built my own PART TIME business whilst still working in a Bank. If you want to know more, PM or email ME.
Clones,
Here we go again…
I reckon at least half of your postings have attached doom and gloom stories from “experts”.
I also reckon that if you spent half the time hunting down excellent investment properties that really ZING, as you do hunting down gloomy predictions from “experts”, you’d be well on your way.
You can’t spot juicy little morsels to consume when you are flying up there with eagles 4 miles up. However, while you are up there, have a detailed look around and really check out the qualifications of these “expert eagles” you are constantly quoting and listening to. Maybe – just maybe, some, not all, are little 22 yr old journo’s on 35K p.a. with no property experience at all.
To directly answer your question…”should I invest in the property market”…no…I think you should stay well out of it. I’m getting the impression you don’t have what it takes to tough it out and extract a fantastic return.
ho dazzling
why don’t you tell him what you really think.
he may be changing his mind and being positive this time.ops read the post again and it is negative so its the normhere to help
Originally posted by Dazzling:
Maybe – just maybe, some, not all, are little 22 yr old journo’s on 35K p.a. with no property experience at all.Funny you mentioned that, isn’t 35K p.a. and 22 years old the average salary and age of the real estate agents and mortgage broker?
Clones
The net result is not so much lies, damn lies and statistics but rather vendor dreaming, buyer wishing and agent glossing.
Hi Clones
Be positive! Take no notice of the doom & gloom merchants – do your own research & listen to the people on here who do this stuff every day of the week & know what they are talking about. They are all willing to help anyone with an open mind & not for their own personl gain so make the most of what is on offer here & lose the negative vibes!
sparky
Ditto to the positive attitudes. The most important thing is to learn as much as possible. The most positive attitudes books are Steve’s two introductory books but if you want more info, then Rich Dad Series offer many options but books by Peter Spann also make good reads.
Happy Investing
Cheers
JohnWanting financial freedom is not enough. Take some action TODAY. I have successfully built my own PART TIME business whilst still working in a Bank. If you want to know more, PM or email ME.
Has something bad happened to you Clones? You seem a bit hostile to people you don’t agree with?
Noone is disagreeing with you that the market as a whole is in a post boom phase of the cycle. Some areas are dropping, some are stagnating. But I think you might agree that studying the micro markets might find some properties with a chance of some CG in the short to medium term. Or do you deny that is possible?
There is plenty of negative press about RE atm.
The man on the street is moving money into the sharemarket.
Take a look at the Economic Clock – do you still think “This time it is different”?
I think we will see a build up of media attention on the stock market. Floats will become a flavour of the month even T3 will get a lot of publicity. People are and will make money there. That is a no brainer – even for me as a MB. Even I have a healthy part of my portfolio invested in equities both directly and in MFs.
Seasoned investors will also make money in the stock market and start looking for undervalued property and smart money will move back into the property market whilst taxi drivers will be giving us tips on hot stocks to buy.
Do you not see that this is the natural order of things? I may take 2 years, it may take 7 years but I will have a bet with you that we will see another property boom.
Can I ask how old you are? It is not to be rude – I just wonder how many cycles you have traded or lived through?
I made money in the late 90’s and 2000 in the stock market. I thought I was an expert. I thought that this tech bubble was something that was going to change the face of everything forever and so did many experts. I even said “This time it is different”.
It wasn’t then and I doubt it is now.
I am not trying to talk up the market for my own business, I am not the megolomaniac that imagines I can influence anything. [biggrin]
All the best to you mate and keep the clippings coming. Would appreciate your analysis as well to give us all something to discuss.
Cheers,
Cheers,
Simon Macks
Residential and Commercial Finance Broker
***NODOC @ 7.15% to 70% LVR***
[email protected]
0425 228 985Comments may not be relevant to individual circumstances. If you intend making any investment, financial or taxation decision you should consult a professional adviser.
Originally posted by clones:Originally posted by Dazzling:
Maybe – just maybe, some, not all, are little 22 yr old journo’s on 35K p.a. with no property experience at all.Funny you mentioned that, isn’t 35K p.a. and 22 years old the average salary and age of the real estate agents and mortgage broker?
Clones
I wish I was 22 again – wouldn’t be a MB either lol [biggrin]
Simon Macks
Residential and Commercial Finance Broker
***NODOC @ 7.15% to 70% LVR***
[email protected]
0425 228 985Comments may not be relevant to individual circumstances. If you intend making any investment, financial or taxation decision you should consult a professional adviser.
Only 22? I bought my first investment property at 19! and was retired by 32, that was just on capital growth, no thinking required!!!
With all this wealth of knowledge available today for free, nothing should be an excuse especially not your age!
We buy properties in Adelaide. Immediate Cash Settlements, No Real Estate Agents, No Fees.
[email protected]
phone 0412 437 582There will always be somebody who will tell you why not to invest in property!
I have been investing in property for over 30 years and there has always somebody, or some publication explaining why I should not invest in property.
At times their arguments seemed to make sense, but history has proved them wrong. The average price of a home in Melbourne, Sydney or Brisbane has just kept going up.
Who would not want to buy their parents home at the price the paid for it?
During the boom time commentators would say, “inflation is too high, don’t invest in property, tenants won’t be able to pay the rents.†I remember in the late 80’s the cry was “Our children will never be able to afford to enter the property market†or “Prices will never go any higher, don’t invest in propertyâ€.
During the recessions there was always someone who would say, “inflation is low, property values can’t rise†or “we are in a recession, money is tight – don’t buy propertyâ€.
Through this entire period someone would always find a reason not to invest but the value of good, well located properties has increased consistently, increasing about 10% per annum during that time.
The same suburban house that my family bought as an investment in the sixty’s for $12,500 is now worth over $600,000.
The first investment property that I bought in the 1970’s for less than $20,000 is now worth well over $550,000.Unfortunetly I sold it[angry2]
The rent from myproperties has helped pay down their mortgages and the capital growth has allowed me to pyramid myself into a huge property investment portfolio.
But you can’t just buy any property and hope it goes up. It does’t work that way
Michael Yardney
METROPOLE PROPERTIES
Author of Australia’s leading property e-magazine.
Join over 10,000 readers each month.
FREE subscription http://www.metropole.com.auHI Clones,
Following on from Michael’s comments – there is an excellent short story about Fred Johnson who reinforces the notion that there is always someone telling investors not to buy property. Fred didn’t listen and kept accumulating property and has done so since 1959 despite the many reasons people were telling him property is a bad investment.
The story is published in Jan Somers ‘Story by Story’ and I recommend it as a worthwhile read.
Saying property is not a good investment is like saying the stock market is not a good investment after its little hiccup of last week. Patently the stock market wasn’t a good point of entry early last week – but in the grand scheme of things a four percentage point drop in two days will be insignificant in the longer term. Short term maybe not.
The key is what sort of timeline are you working towards and how much research are you prepared to do.
Derek
[email protected]
http://www.pis.theinvestorsclub.com.au
0409 882 958Clones,
There is more than enough evidence out there that residential property prices (especially Sydney) are still correcting.
It is going to be some time before we see a general rise in the Sydney area, although there will be opportunities that arise in the interim.
Personally I am keeping my powder dry and keeping watch.
Keep posting your articles as it is good for debate.
K
Clones,
my last comments should not be seen as advice. Just a personal opinion from an observer who digs holes for a living.
k
hi clones
just to give a bit of eveness( probably the wrong word)I work on positives and as you know I only work on positives.
The market you are talking about I am just about to launch on a project with the next 4months (very early stage at the moment) for 43 mil gross realize here in sydney and I am working on selling all 93 units before I start to construct and the doomers haven’t changed my system at all.
developers develop its a matter of risk verse return. as for the best times, the best times for me are now as I make more deals.
swim fast in this market as we dohere to help
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