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The future of Australian property prices

Discussion in 'Business, Investment and Economics' started by Joe Blow, Nov 15, 2009.

  1. sptrawler

    sptrawler

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    I think you are right, oops don't take that the wrong way.:laugh:
     
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  2. luutzu

    luutzu

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    Seems they prefer a bushfire as a way to clear deadwood.

    Firesales aren't bad for those with the cash though.
     
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  3. sptrawler

    sptrawler

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    I've never liked the idea of holding property in the SMSF, however if the crash is big enough, my mind could be changed.:roflmao:
    No CG in the super, oh well there is more than one way to skin a sausage (bit of PC)
     
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  4. tech/a

    tech/a No Ordinary Duck

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    Have quite a bit but not Domestic.
    Commercial one of which is my place of business.
    Returning $100K a year into the fund.

    You get to a point where you cant put any more in /year!
     
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  5. sptrawler

    sptrawler

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    It's fat ducks like you, that are giving the rest of us SMSF retirees, look bad. :D
     
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  6. satanoperca

    satanoperca

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    This is smart and logical for anyone who runs their own business and needs premises to work out of.
    Business needs premises and has 3 choices, lease for X, lease for business owners where property is help under SMSF or buy property.

    The preferred option is available and feasible, is option 2.

    Why? When business owner wishes to return, they sell the business, but the property still returns a rental income for their retirement.

    In many situations that I come across, the asset that a business has built up for the owners is the premises they worked from, in most small business cases, the business is not sell-able when the business owner decides to retire
     
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  7. sptrawler

    sptrawler

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  8. luutzu

    luutzu

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    Yea, pretty tough to make a case for property in super. Especially when you're a decade away from retirement. I reckon it's just another scam those property spruikers want the gov't to let us hand over our cash to them today.

    I told my siblings that at our current rate of contribution and my geniuses, we would retire with at least $30M [$10M a pop]... but then even I don't believe that so yah, gotta check the compound calculator a few time to still not believe it :D
     
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  9. satanoperca

    satanoperca

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  10. sptrawler

    sptrawler

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  11. sptrawler

    sptrawler

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  12. luutzu

    luutzu

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    She'll be right, mate. She'll be right.

    I know of people who bought apartment four years ago and still haven't made any money. Paper-based or otherwise. And to add insult to injury, the apartment need a reno if its standard is to be above a slump or a rundown rental.
     
  13. satanoperca

    satanoperca

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    From above article :
    "“The company believes that confidence is being suppressed by a combination of political uncertainty (especially federal tax policy), sensationalist press commentary about the outlook for residential markets and the relatively sudden tapering of residential property lending appetite of banks,” company directors told shareholders."

    So everyone is tapped out on debt and debt is harder to get. Result : prices decline.

    The masses are starting to see that property is not always an instant path to riches, given that the same sensationalist press who are now painting a doom picture, in the past have painted the opposite.
     
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  14. satanoperca

    satanoperca

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    upload_2019-2-11_12-38-11.png

    Melbourne catching up to Sydney fast.

    The apartment market in Sydney starting to follow, I believe it will be in this market segment (apartments) we will see the largest falls.
     
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  15. moXJO

    moXJO menace to society

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    House next to me selling for $890-990k.
    A year ago it would have fetched $1.4 mill. Good block, big house..... been on the market 2 weeks so far. The one across the road is trying to get $1.2mill, but good luck with that. Been on the market 4 months now.

    I'm seeing a slide of $300k plus on some houses in my area from the peak about a year ago.

    Building is starting to slide. Once it goes here, Sydney will be affected.

    But keeping a watch on immigration and how many dwellings are available will be important. Every time you think housing is going off a cliff, they let more rich immigrants in. And its an endless supply to tap.
     
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  16. sptrawler

    sptrawler

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    A relative who was a real estate agent, told me if it has sold in 6 weeks, it is priced wrong.
    The immigrant thing is true, but I think from what I've read, Sydney and Melbourne are at capacity regards infrastructure.
     
  17. sptrawler

    sptrawler

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    That should read, has not sold in 6 weeks,
     
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  18. moXJO

    moXJO menace to society

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    Yeah, he wants way too much for it. He missed the top.

    Immigration and government intervention is what can throw you. They have been ramping "big australia" for years. We are probably only halfway of where they want to be.
     
  19. sptrawler

    sptrawler

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    That's true, but because they used housing as a buffer, when the mining boom bust, they didn't put limits on where migrants could go to.
    So now they have everybody fighting to get into Sydney and Melbourne, but the infrastructure obviously can't keep up, so they have to take a breather.
    Next year in my opinion, is going to be really interesting. IMO
     
  20. qldfrog

    qldfrog

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    There will be not limit..the more the better..more voters for labour, cheaper labor for the liberals
     
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