Australian property market to rise to record highs this year

It's starting to happen in many places. While many others are seeing boom numbers. To the eternal pessimists and doomsayers I hate to say I told you so but....


Ahhh whom I kiddin, don't hate to say it at all


Out of control? Australian property market to rise to record highs this year

 

HELL YEAH!!!!!!!!!

 

Yay
Yes, its happening for sure everywhere from what I am hearing/seeing

Next question is how long will it last?
Who is buying in the main?

today lending criteria has tightened, some will be maxed out after 2/3 properties.
Why I say who is buying ???


I am certainly making hay while the sun shines

..... But Not going to live la la land, what goes up will also eventually go down. Boom cycles do not last forever. I need to be cash flowing to maintain my lifestyle

 

Nothing new here, I think everyone agrees property is going up in price because of cheap money and limited stock. This is happening all around the world. Interest rates will not be going anywhere significant for the next 3 years. I'm seriously considering to sell 2 properties over the next 2 FYs to take advantage of this current boom as I believe the market will stall when many have overextended themselves and interest rates start to go up

 

Wait until immigration starts again...

- Andrew

 

Manage risk ..... investing 101

 

Melb was once numero uno

 

No chance of this happening for a VERY very long time.

 

can you explain why, I am curious. Thx

 

How long it will last? No idea.

Who is buying? Looks like many types of buyers are entering the market.

FHB.
Sea Change.
Upgraders
New investors.

And who will most benefit? Those who already have large asset bases ( of course many others will too) in the high demand and growing areas. A whole chunk of new equity will be added.


And so the game contines. The ones willing to give it a go get richer and the obstinate bitterly watch from the sidelines.


The law of sowing and reaping has been around for centuries. No sew, no reap.

 

Yes

Trying to find out investor %% but no luck

 

82% of Australians believe property prices will increase in the next six months

82% of Australians believe property prices will increase in the next six months - OpenAgent

2020 started off strong, with 77% of respondents in February believing prices would go up. By May, and well into the pandemic, that number dropped significantly to 33%.

While consumer confidence dropped significantly at the start of the year, it recovered just as quickly, rebounding, and even exceeding, pre-COVID levels in just seven months.

In December 2020, 82% of respondents believed that property prices would increase in the next six months. This tops the previous high of 80% of respondents optimistic about property prices in December 2019.

 

@MTR
According to Corelogic it's owner occupier driven. Which is great imo.

 

So the other 45% are upgraders?

 

Thx

 

No idea but Corelogic went on to say it's likely that investor levels will greatly pick up in 2021.

 

Speaking from a rental vacancy point of view, I think there's 20K odd vacant properties across the Greater Sydney region.

Assuming open borders will bring in circa 40K students? and the same number of migrants, I reckon the rental market will go from cool to hot virtually overnight.

Of course, there will be some attrition as well, as expats return from wherever they came from.

 

Hence the 'wait' part...

(although the counter to that is that many people at first thought we wouldn't see a vaccine until the end of 2021/start of 2022 either)

Probably hard to predict in either case at this point. I do know through contacts that the government has advised the aviation medical regulator that restricted international travel isn't forecast to commence until end of 2022 with unrestricted travel not until end of 2024/start 2025.

- Andrew

 

And if Brisbane is crazy now imagine what it is going to be like once investors and upgraders pile in...anyone looking to buy do it now!