Just listed my new Perth investment property last Wednesday.
70 views, and 4 bookings, already at 5.4% yield , hopefully get into the 10% in a week or two. Prices haven't really moved for 10 years..... but if I can manage 5% with no effort..... good times ahead ! Perth market prime for the picking,
Onya Chopper - Continue ta be a bit selective I reckon - There's plenty a speculative cnts out there these days wot flit in 'n outa home ownership hopin' ta make a quick buck - Wot gambles on all sortas other shit too while sittin' 'round as ya tenants - Shares 'n gold 'n currency 'n wotever ...
Wouldn't give ya pinch a poop for 'em personally.
Oh, 'n by tha way, on tha off chance ya should have any trouble spottin' 'em, they typically seems ta be maybe 35 ta 45 yos wot got good edumacations 'n pretty high expectations given how cluey they reckons they just naturally are - Oh 'n bits a attitudes problems abouts hows 'n ifs theys just not necessarily always getting wot they reckon theys entitled to ...
Yeah, keep a lookout for them dudes I reckon mate - I'd just hafta be pretty iffy 'bout rentin' ta none a them cnts ...
A Professional Demographer to an amateur demographer:"negative natural increase will never outweigh the positive net migration"
Just listed my new Perth investment property last Wednesday.
70 views, and 4 bookings, already at 5.4% yield , hopefully get into the 10% in a week or two. Prices haven't really moved for 10 years..... but if I can manage 5% with no effort..... good times ahead ! Perth market prime for the picking,
Ok... but with no capital gains in sight, have you calculated your net annual return?
Property sales are mainly people moving from one house to another. 2500 sales a month does not remove 2,500 properties from the 20,000 construction starts. Have you not considered that housing starts are related to demand? Fewer people wanting to buy house and land packages, fewer starts. If demand picks up, more house and land packages will sell and soak up that demand.
Why do you feel the need to state the obvious.
Quote:
You are basing this on a very flawed logic Mike. Stock on the market fell last winter as well before climbing sharply in the spring. Same thing happened in 2014. Realestate.com.au added over 2000 listings in October 2014 & 2015.
Comparing with this time last year, there are more properties listed for sale than there were in the same week.
Do your home work better, stock on market has been falling steadily since end of November, meaning it has fallen over Summer, Autumn and now winter. That is a trend over 9 months. In a weak or slow market we should be seeing the opposite and a large spike in housing stock, this is not happening. Perth did not even get close to the last peak in 2011 which peaked at over 18,000 properties for sale.
Quote:
Sorry Mike, you have lost me there? Are you saying people will be forced to rent as houses for sale run out? Are you saying that there will be twice as many people looking to buy houses than there are houses available? So an annual population growth rate of 20,000 (latest ABS numbers) can't be met with 15,000 construction starts?
Don't be sorry, you are just wrong. You need to read my posts carefully and stop making baseless assumptions.
Quote:
I'd like to see your math's on this Mike. Are you saying that everyone who rented in Perth this week has never rented a property before in Perth?
Not sure how you reached this conclusion, please explain as I don't talk about this. Are you trying to tell everyone that renters are just constantly moving house every few months as a way to keep rental stats looking good. I talked about Perth having about 10 weeks of rental stock on market, which it does. I very much doubt the same person will rent two separate properties in that time frame.
What everyone needs to look for is if the stock on market continues to fall over spring. Normally we should see a large pickup of supply coming to market in the next few weeks as sellers attempt to sell prior to the Christmas holidays, happens every year. If stock continues to fall over spring and into summer Perth could be back to a tight market supply of properties for sale by Autumn 2017. This in turn will also begin to effect rental stock as the supply of housing decreases which is the normal market response to decreased demand. Like all markets though they nearly always overshoot or undershoot. The slowdown in construction and supply falling is a normal reaction and always occurs after some delay to a change in market conditions due to construction and contracts already in the pipeline which causes over supply then it is slowly eaten away as construction levels adjust to the new reality. Perth is now in the latter stages of this process with construction levels falling off a cliff and been slowing rapidly for the past 18 months.
This is the main driver of the fall in stock on market and it is why we will continue to see a steady decline over the coming months. We will see a few spikes for the normal seasonal change however the trend is obvious, a steady decline in housing stock. What buyers need to watch is as Perth approaches 12,000 properties, the market begins to move back in favor of sellers as competition for each property increases due to decreased options.12,000 is considers Perth neutral point, a balanced market.
I'm not concerned with sales volumes. Look at the snapshots over the past 9 months and it shows a steady decline in housing stock, which is down nearly 16% and will likely hit 20% over the full 12 months.
Perhaps if you were concerned with sales volumes, you might see the bigger picture.
Do your home work better, stock on market has been falling steadily since end of November, meaning it has fallen over Summer, Autumn and now winter. That is a trend over 9 months. In a weak or slow market we should be seeing the opposite and a large spike in housing stock, this is not happening. Perth did not even get close to the last peak in 2011 which peaked at over 18,000 properties for sale.
Don't be sorry, you are just wrong. You need to read my posts carefully and stop making baseless assumptions.
Not sure how you reached this conclusion, please explain as I don't talk about this. Are you trying to tell everyone that renters are just constantly moving house every few months as a way to keep rental stats looking good. I talked about Perth having about 10 weeks of rental stock on market, which it does. I very much doubt the same person will rent two separate properties in that time frame.
What everyone needs to look for is if the stock on market continues to fall over spring. Normally we should see a large pickup of supply coming to market in the next few weeks as sellers attempt to sell prior to the Christmas holidays, happens every year. If stock continues to fall over spring and into summer Perth could be back to a tight market supply of properties for sale by Autumn 2017. This in turn will also begin to effect rental stock as the supply of housing decreases which is the normal market response to decreased demand. Like all markets though they nearly always overshoot or undershoot. The slowdown in construction and supply falling is a normal reaction and always occurs after some delay to a change in market conditions due to construction and contracts already in the pipeline which causes over supply then it is slowly eaten away as construction levels adjust to the new reality. Perth is now in the latter stages of this process with construction levels falling off a cliff and been slowing rapidly for the past 18 months.
This is the main driver of the fall in stock on market and it is why we will continue to see a steady decline over the coming months. We will see a few spikes for the normal seasonal change however the trend is obvious, a steady decline in housing stock. What buyers need to watch is as Perth approaches 12,000 properties, the market begins to move back in favor of sellers as competition for each property increases due to decreased options.12,000 is considers Perth neutral point, a balanced market.
Probably because you have made a glaringly obvious mistake but didn't seem to notice it.
Whenever you have an argument with someone, there comes a moment where you must ask yourself, whatever your political persuasion, 'am I the Nazi?'
Not sure how you reached this conclusion, please explain as I don't talk about this. Are you trying to tell everyone that renters are just constantly moving house every few months as a way to keep rental stats looking good. I talked about Perth having about 10 weeks of rental stock on market, which it does. I very much doubt the same person will rent two separate properties in that time frame.
You are basing your 10 weeks of rental stock on the fact that 1100 people rent a property every week and there are 11,000 available rentals.
You ignore the fact that the vast majority of the 1100 people are simply moving or renegotiating so there is no net reduction in the number of available rentals.
Mike
16 Aug 2016, 11:05 AM
Do your home work better, stock on market has been falling steadily since end of November, meaning it has fallen over Summer, Autumn and now winter. That is a trend over 9 months. In a weak or slow market we should be seeing the opposite and a large spike in housing stock, this is not happening. Perth did not even get close to the last peak in 2011 which peaked at over 18,000 properties for sale.
It all depends on where you get your numbers from Mikey.
A realestate.com.au search reveals 18,554 properties for sale in Perth metro. This is up from 17,300 in January and 17,100 in November 2015.
From where I am looking, there is no reduction in stock on the market.
Matthew, 30 Jan 2016, 09:21 AM Your simplistic view is so flawed it is not worth debating. The current oversupply will be swallowed in 12 months. By the time dumb shits like you realise this prices will already be rising.
You are basing your 10 weeks of rental stock on the fact that 1100 people rent a property every week and there are 11,000 available rentals.
You ignore the fact that the vast majority of the 1100 people are simply moving or renegotiating so there is no net reduction in the number of available rentals.
It all depends on where you get your numbers from Mikey.
A realestate.com.au search reveals 18,554 properties for sale in Perth metro. This is up from 17,300 in January and 17,100 in November 2015.
From where I am looking, there is no reduction in stock on the market.
I use SQM, it may be nearing a peak as incremental increases have narrowed significantly.
Mike uses whichever source suits his argument at the time. In this case it is the REIWA weekly snapshot. Mike has access to SQM, he has mentioned his many subscriptions to various data providers but SQM numbers are not reporting a fall in listings.
I look at every source with the most "real time" being a listings search on the various realestate websites.
I am not saying that REIWA are telling fibs, but they can be a bit slow when it comes to updating numbers which don't look so good. They are a vested interest body after all.
Matthew, 30 Jan 2016, 09:21 AM Your simplistic view is so flawed it is not worth debating. The current oversupply will be swallowed in 12 months. By the time dumb shits like you realise this prices will already be rising.
Mike uses whichever source suits his argument at the time. In this case it is the REIWA weekly snapshot. Mike has access to SQM, he has mentioned his many subscriptions to various data providers but SQM numbers are not reporting a fall in listings.
I look at every source with the most "real time" being a listings search on the various realestate websites.
I am not saying that REIWA are telling fibs, but they can be a bit slow when it comes to updating numbers which don't look so good. They are a vested interest body after all.
Not being from WA I don't ever look at REIWA data. It probably doesn't matter which source is used, as long as it's the same source consistently used.
Not being from WA I don't ever look at REIWA data. It probably doesn't matter which source is used, as long as it's the same source consistently used.
Matthew was talking about an Easter turning point. Assuming no catastrophe, he could be right. I wouldn't expect much upturn at the at Easter, though things may stop dropping quiet as fast. We may have lost another 10% by then.
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