When a market is booming there are often record numbers of homes listed on the market as everyone gets confident to buy, upgrade etc. At the moment people will be wondering whether or not to sell, if they do no think the market is good they wont list. There is no need for listings to keep increasing as the unemployment is low and as you know a home purchase is most peoples biggest investment. Thy wait for a good sale.
Have you been to home opens? Did you get a response to your low ball offers?
Its exactly how the market works.
Prices fall because supply rises and demand falls.
That is precisely what is happening now.
On the way up, prices can rise because vendors elect to hold off in anticipation of higher prices later.
In the downswing, its sell up before prices drop further.
You are totally forgetting that for many vendors its about taking profit now while the going is good.
Property acquisition as a topic was almost a national obsession. You couldn't even call it speculation as the buyers all presumed the price of property could only go up. That’s why we use the word obsession. Ordinary people were buying properties for their young children who had not even left school assuming they would not be able to afford property of their own when they left college- Klaus Regling on Ireland. Sound familiar?
The evidence of nearly 40 cycles in house prices for 17 OECD economies since 1970 shows that real house prices typically give up about 70 per cent of their rise in the subsequent fall, and that these falls occur slowly. Morgan Kelly:On the Likely Extent of Falls in Irish House Prices, 2007
But ... but... mike and that guy pretending to be a girl! they said that's wrong! lol
So I was 2k off. Ah well... I must be an idiot haha.
I do still know where to buy to make money ;-) but I'm not going to share that one haha CAPITALISM BABY!
For my next trick land sales have TANKED I see Perth losing at least another 15% now off its medium. at least 30% off 'premium' homes and 30% off units, apartments and villas.
If you don't know how to negotiate don't touch Perth for at least 6 months. Around mid year next year.
The government will probably step in. But not where you think. They know the budgets tight and they will most likely introduce macro rules to squeeze investors out. Perth doesn't have a big a problem as Sydney or Melbourne BUT the macro rules will still mess up Perth. It would be wonderful if they had sector and state specific rates but it doesn't work like that. Once the macro rules are in it will effect Perth even though it doesn't need it since its already in a dive without them. Their effect will be to further exacerbate falls. Unfortunate but its what happens when you only have 1 leaver.
We all know the mining booms over. The 'cliff' everyone spoke of us well and truly jumped off.
The king hit so to speak on WA will be the US
The US will start its rate rises in June next year signalling recovery. POW. Money moves overseas and investors leave Australia. Why get 3-4% yield in Perth when you get 10-20% in the US.
Thats a Left (stamp duty) Right (Macro rules) Left (Mining cliff) Uppercut KO (US rate rise)
Thats it. Game over. Nice knowing you Perth.
Its crazy still, I had a lady walk in yesterday, give me 10k and buy an off the plan unit, even after I showed her vacancy rates, price collapses in units (WOoooo we look at 580 hay street. 30-50% losses!) and she still said 'gimmie gimmie gimmie off the plan at last years prices' lol I mean... seriously Perth mom and dad investors aren't really investors lol. Her justification was 'my dad made money this way so all she has to do is buy as much as she can'. Why take the advice of the 28 yr old dude driving a merc. Its not like he's smart or knows what he's doing. Looks out the window and she was in a 90's Toyota camry with no assets bar a house with a 20 year loan left and living on a couple of hundred a week. lol I've already started moving clients investments overseas because its about building real wealth not speculating.
Perth... You guys are so crazy.
Nice post. Why would you advise the woman not to buy if you are in the business of selling units?
Veritas
4 Nov 2014, 03:39 PM
Its exactly how the market works.
Prices fall because supply rises and demand falls.
That is precisely what is happening now.
On the way up, prices can rise because vendors elect to hold off in anticipation of higher prices later.
In the downswing, its sell up before prices drop further.
You are totally forgetting that for many vendors its about taking profit now while the going is good.
It's a logical argument skamy. Volumes drop off after prices have crashed.
There are some people who seem angry and continuously look for conflict. Walk away, the battle they are fighting isn't with you, it's with themselves.
The first lesson of economics is scarcity: There is not enough of anything to satisfy all who want it. The first lesson of politics is to disregard the first lesson of economics. ~ Thomas Sowell.
Who was the fool, who the wise man, who the beggar or the Emperor? Whether rich or poor, all are equal in death.
But ... but... mike and that guy pretending to be a girl! they said that's wrong! lol
So I was 2k off. Ah well... I must be an idiot haha.
I do still know where to buy to make money ;-) but I'm not going to share that one haha CAPITALISM BABY!
For my next trick land sales have TANKED I see Perth losing at least another 15% now off its medium. at least 30% off 'premium' homes and 30% off units, apartments and villas.
If you don't know how to negotiate don't touch Perth for at least 6 months. Around mid year next year.
The government will probably step in. But not where you think. They know the budgets tight and they will most likely introduce macro rules to squeeze investors out. Perth doesn't have a big a problem as Sydney or Melbourne BUT the macro rules will still mess up Perth. It would be wonderful if they had sector and state specific rates but it doesn't work like that. Once the macro rules are in it will effect Perth even though it doesn't need it since its already in a dive without them. Their effect will be to further exacerbate falls. Unfortunate but its what happens when you only have 1 leaver.
We all know the mining booms over. The 'cliff' everyone spoke of us well and truly jumped off.
The king hit so to speak on WA will be the US
The US will start its rate rises in June next year signalling recovery. POW. Money moves overseas and investors leave Australia. Why get 3-4% yield in Perth when you get 10-20% in the US.
Thats a Left (stamp duty) Right (Macro rules) Left (Mining cliff) Uppercut KO (US rate rise)
Thats it. Game over. Nice knowing you Perth.
Its crazy still, I had a lady walk in yesterday, give me 10k and buy an off the plan unit, even after I showed her vacancy rates, price collapses in units (WOoooo we look at 580 hay street. 30-50% losses!) and she still said 'gimmie gimmie gimmie off the plan at last years prices' lol I mean... seriously Perth mom and dad investors aren't really investors lol. Her justification was 'my dad made money this way so all she has to do is buy as much as she can'. Why take the advice of the 28 yr old dude driving a merc. Its not like he's smart or knows what he's doing. Looks out the window and she was in a 90's Toyota camry with no assets bar a house with a 20 year loan left and living on a couple of hundred a week. lol I've already started moving clients investments overseas because its about building real wealth not speculating.
Perth... You guys are so crazy.
I was 28 once apon a time.
Being smart and sharp is great.
I think you are that.
Depth is what you need.
Your chosen job is to represent the property you have for sale.
Not to council the prospective buyers.
Lead by example.
Good luck.
Peter House do not make money for the owners, so one day the owners will wake up.
That house just cost me what??
As i say if there was money in renting houses large companies would buy them all and we would all rent from an estate.
In the spirit of the thread title, property sale listings on the market up almost 20% yoy.
Spin that bulls
According to SQM :Perth specifically has recorded an 18.9% yearly increase in stock levels – a capital city which we believe has been experiencing a downturn for some time now.
That doesn't sound too good eh Skamy?
Its up almost 15% from last month alone. Unbelievable
Look at the other capitals, Sydney, Brisbane, Perth ,Adelaide, Canberra all up over 10% from last month.
Looks like investors are either cashing out, or, rushing for the exits.
Look at the reality.....look at your post..... Just because you recently leveraged your daughter into possibly one of the worst and most risky real estate markets on the planet, we know suffer the delusion.
Look at the facts buddy, not the fantasy in your head.
Its up almost 15% from last month alone. Unbelievable
Look at the other capitals, Sydney, Brisbane, Perth ,Adelaide, Canberra all up over 10% from last month.
Looks like investors are either cashing out, or, rushing for the exits.
Look at the reality.....look at your post..... Just because you recently leveraged your daughter into possibly one of the worst and most risky real estate markets on the planet, we know suffer the delusion.
Look at the facts buddy, not the fantasy in your head.
I worry about the poor young ones who listen to bitter people like you Ted and have not bought a home over the past few years. They are in for a big shock if they think the real price of houses in Perth is going down. They have lost out on FHOG money and stamp duty deductions and have seen prices rise and distressed sales shrink.
Wait and see the next set of figures for land prices in Perth.
My daughters house is getting paid off for her by tenants, while others sit on the sidelines too greedy for lower prices.
Definition of a doom and gloomer from 1993 The last camp is made up of the doom-and-gloomers. Their slogan is "it's the end of the world as we know it". Right now they are convinced that debt is the evil responsible for all our economic woes and must be eliminated at all cost. Many doom-and-gloomers believe that unprecedented debt levels mean that we are on the precipice of a worse crisis than the Great Depression. The doom-and-gloomers hang on the latest series of negative economic data.
I worry about the poor young ones who listen to bitter people like you Ted and have not bought a home over the past few years. They are in for a big shock if they think the real price of houses in Perth is going down. They have lost out on FHOG money and stamp duty deductions and have seen prices rise and distressed sales shrink.
Wait and see the next set of figures for land prices in Perth.
My daughters house is getting paid off for her by tenants, while others sit on the sidelines too greedy for lower prices.
Quote:
I worry about the poor young ones who listen to bitter people like you Ted and have not bought a home over the past few years. They are in for a big shock if they think the real price of houses in Perth is going down. They have lost out on FHOG money and stamp duty deductions and have seen prices rise and distressed sales shrink.
They don't have to think it; its already happening.
Quote:
Wait and see the next set of figures for land prices in Perth.
I thought we were discussing the price of houses and apartments?
Quote:
My daughters house is getting paid off for her by tenants, while others sit on the sidelines too greedy for lower prices.
Lets hope they don't take your advice and buy. Your daughter might find it very difficult indeed to get new tenants in the current climate.
My mother used to wait for the sales to be in to buy new clothes. Lower prices you see. Was she greedy?
Property acquisition as a topic was almost a national obsession. You couldn't even call it speculation as the buyers all presumed the price of property could only go up. That’s why we use the word obsession. Ordinary people were buying properties for their young children who had not even left school assuming they would not be able to afford property of their own when they left college- Klaus Regling on Ireland. Sound familiar?
The evidence of nearly 40 cycles in house prices for 17 OECD economies since 1970 shows that real house prices typically give up about 70 per cent of their rise in the subsequent fall, and that these falls occur slowly. Morgan Kelly:On the Likely Extent of Falls in Irish House Prices, 2007
I worry about the poor young ones who listen to bitter people like you Ted and have not bought a home over the past few years. They are in for a big shock if they think the real price of houses in Perth is going down. They have lost out on FHOG money and stamp duty deductions and have seen prices rise and distressed sales shrink.
Wait and see the next set of figures for land prices in Perth.
My daughters house is getting paid off for her by tenants, while others sit on the sidelines too greedy for lower prices.
Always a whiff of pleading desperation in your posts skamy. As of somehow that's a decent substitute for facts.
"It were not best that we should all think alike; it is difference of opinion that makes horse races." - Mark Twain on why he avoids discussing house prices over at MacroBusiness. "Buy land, they're not making any more of it." - Georgist Land Tax proponent Mark Twain laughing in his grave at humourless idiots like skamy that continually use this quip to justify housing bubbles.
They don't have to think it; its already happening.
I thought we were discussing the price of houses and apartments?
Lets hope they don't take your advice and buy. Your daughter might find it very difficult indeed to get new tenants in the current climate.
My mother used to wait for the sales to be in to buy new clothes. Lower prices you see. Was she greedy?
Cheap clothes from a retailer is not the same as waiting on your neighbour's to hit hard times and buy their homes from them at less than market value.
Lets face it Veritas, the bears want to buy homes and they want to do that and get the same capital gains as others before them.
However, they saw dreadful situations occur in the US and Ireland when some people were forced to let homes go for much less than what they were worth. Some internet goons sold you some nonsense that the same thing would happen here and bears too would get this once in a lifetime opportunity to buy in cheap.
In Perth house prices did drop but that was not good enough for some of the Perth bears and here they sit to this day on their keyboards jumping on every piece of news from China to the Himalayas if they think it will result in a bargain home in Perth.
You were on here a couple of weeks ago saying you were making some low ball offers, you have been very silent on the result of this. So I take it the bargain homes are NOT YET there for you. This crash you are always on about is still just around the corner hey?
The truth is that there are some phenomenal good buys out there right now, you can get a two bed brand new unit in the city at ridiculously low prices, that is a market that is struggling. However, you want what everyone wants so you will not get good buys in those markets.
John Frum
5 Nov 2014, 12:37 PM
Always a whiff of pleading desperation in your posts skamy. As of somehow that's a decent substitute for facts.
Miles you are the one in despair, no home in Sydney and prices have rocketed, while you told all and sundry you were predicting some huge silly crash.
Definition of a doom and gloomer from 1993 The last camp is made up of the doom-and-gloomers. Their slogan is "it's the end of the world as we know it". Right now they are convinced that debt is the evil responsible for all our economic woes and must be eliminated at all cost. Many doom-and-gloomers believe that unprecedented debt levels mean that we are on the precipice of a worse crisis than the Great Depression. The doom-and-gloomers hang on the latest series of negative economic data.
Cheap clothes from a retailer is not the same as waiting on your neighbour's to hit hard times and buy their homes from them at less than market value.
Lets face it Veritas, the bears want to buy homes and they want to do that and get the same capital gains as others before them.
WTF?
Answer this question: why would I buy something today which I think will be cheaper next week if I am happy to wait a week to have it?
Property acquisition as a topic was almost a national obsession. You couldn't even call it speculation as the buyers all presumed the price of property could only go up. That’s why we use the word obsession. Ordinary people were buying properties for their young children who had not even left school assuming they would not be able to afford property of their own when they left college- Klaus Regling on Ireland. Sound familiar?
The evidence of nearly 40 cycles in house prices for 17 OECD economies since 1970 shows that real house prices typically give up about 70 per cent of their rise in the subsequent fall, and that these falls occur slowly. Morgan Kelly:On the Likely Extent of Falls in Irish House Prices, 2007
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