Rents are falling off some huge highs - they will pick up again as the economy transitions.
Yes, but why are they falling? In your own words please. Why would landlords offer cheaper rents to tenants than last year and the year before.
"As the economy transitions" You should get a job in the Government press office.
What is the economy transitioning too Skamy? What are the new engines of growth?
Quote:
We have had no problems with any of ours we took a haircut of $30 a week on one and it was empty for a couple of weeks but good well priced rentals still rent out no bother.
Plenty of people were not murdered by terrorists in Paris in November so whats the problem?
Quote:
If you were an investor what would you do?
Undercut other vendors and sell.
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
Yes, but why are they falling? In your own words please. Why would landlords offer cheaper rents to tenants than last year and the year before.
"As the economy transitions" You should get a job in the Government press office.
What is the economy transitioning too Skamy? What are the new engines of growth?
Plenty of people were not murdered by terrorists in Paris in November so whats the problem?
Undercut other vendors and sell.
No you would not sell - only an eejit sells their good property in a slowdown.
According to the abs there were almost 600,000 households in Perth in 2006 so if 30% of those are rentals there are ~180,000 rental properties in Perth, 10,000 advertised for let is only 5 % of rentals. It is likely that this figure is an even smaller today.
The other 95% of the rentals are tenanted, plus the yields are not too bad - other big Australian cities do a lot worse than we do.
You bears are such drama queens thinking everyone will be throwing away their good Perth properties during a slow period. Most IP owners are way ahead of the game after the years of great rents during the investment boom.
Drop the doomsters Veritas
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.
The other 95% of the rentals are tenanted, plus the yields are not too bad - other big Australian cities do a lot worse than we do.
Sure...
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
No you would not sell - only an eejit sells their good property in a slowdown.
According to the abs there were almost 600,000 households in Perth in 2006 so if 30% of those are rentals there are ~180,000 rental properties in Perth, 10,000 advertised for let is only 5 % of rentals. It is likely that this figure is an even smaller today.
The other 95% of the rentals are tenanted, plus the yields are not too bad - other big Australian cities do a lot worse than we do.
You bears are such drama queens thinking everyone will be throwing away their good Perth properties during a slow period. Most IP owners are way ahead of the game after the years of great rents during the investment boom.
Drop the doomsters Veritas
Unless they are forced to sell, or they suddenly open their eyes.
Whenever you have an argument with someone, there comes a moment where you must ask yourself, whatever your political persuasion, 'am I the Nazi?'
Unless they are forced to sell, or they suddenly open their eyes.
Skamy doesn’t understand the notion of profit taking in relation to real estate.
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
Well let's have a little round up. BHP RIO FMG WPL all looking very poorly. These are the main companies on our stock market. If they can drop 50% in a few months, what could happen to our economy?? Our house prices?? Then anyone carrying debt will get a call from the bank?? No. Peter
Well let's have a little round up. BHP RIO FMG WPL all looking very poorly. These are the main companies on our stock market. If they can drop 50% in a few months, what could happen to our economy?? Our house prices?? Then anyone carrying debt will get a call from the bank?? No. Peter
By market capitalisation:
BHP is 6th largest RIO is 14th largest WPL is 11th largest FMG is 54th largest
Their combined market cap ($102bn) is less than that of CBA (135bn) and WBC ($105bn) alone.
These are not "the main companies" on our stock market.
You are mistaking share price with market capitalisation. That is a common mistake that fuckwits with no idea what they are talking about make.
BHP is 6th largest RIO is 14th largest WPL is 11th largest FMG is 54th largest
Their combined market cap ($102bn) is less than that of CBA (135bn) and WBC ($105bn) alone.
These are not "the main companies" on our stock market.
You are mistaking share price with market capitalisation. That is a common mistake that fuckwits with no idea what they are talking about make.
Credit where credit is due.
Looking at the recent rises on rp data, and looking at the breakdown of prices to volumes on landgate, it looks like the arse has fallen out of the bottom of the market.
Lots of mum and dad investors who bought in ellenbrook are going to have a little bit ofnpiss dribbling down their legs.
They are soon to be in the shit.
Well done.
Whenever you have an argument with someone, there comes a moment where you must ask yourself, whatever your political persuasion, 'am I the Nazi?'
Skamy doesn’t understand the notion of profit taking in relation to real estate.
Reminds me of the old truism/warning about stocks. Easy to buy, difficult to sell. A lot of people end up hanging on for more gains or hanging on to try and recover losses. Either way, they end up never selling, losing liquidity and often finding themselves eating baked beans on toast in the dark unwilling to offload investments so they don't have to realize a massive loss.
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