Biggest Regrets in the last 5 years?

Discussion in 'Investor Stories & Showcase' started by willister, 21st Nov, 2018.

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  1. jins13

    jins13 Well-Known Member

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    Not buying in Tassie prior to the massive boom. My calculations and analysis was spot on but didn't push for it and went with a 'safer' option of an area which I already knew.
     
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  2. charles luo

    charles luo New Member

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  3. KinG3o0o

    KinG3o0o Well-Known Member

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    not really, they are lucky cause all the attention the media gave it, for a "bad" investment this is as good as it gets.

    now all stakeholders probably held responsible for it.

    if no media around it then the owners would really be screwed.
     
  4. samiam

    samiam Well-Known Member

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    on my way
  5. BuyersAgent

    BuyersAgent Well-Known Member Business Member

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    I wonder if all the previously angry millenials are rushing in to buy now or are they smugly pointing at falling prices saying "see - who would want to own property anyway" and carry on with life as renters until the "angry renter" becomes a page 1 story when rents start rising again.

    Millennial anger on housing costs could have huge Australian impact
    How can Gen Y actually get into a home?
     
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  6. MWI

    MWI Well-Known Member

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    Probably not 5 years ago but I know what you mean about Coogee NSW....

    Mine would be that I offloaded IP house in VIC before it went up by $200K (I considered a sub standard suburb for future CG and thought would use money as opportunity elsewhere).
    Did just that bought in Coogee NSW, renovated and created more than $200K, and increased the rent, so I suppose this was not such a bad deal, right?
    Sometimes we think the IP is not costing us much to hold or even looks after itself or may generate some income, but income will not make you wealthy, CG in the long term will.
    At least I learned a valuable lesson.
     
  7. Coota9

    Coota9 Well-Known Member

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    The killer though is at the time I was doing research into area's for the property education course I was doing and I picked Blacktown as my suburb to bring back to the group as a suburb to buy into.....this was late 2013 and I should have gone with my gut I suppose..
     
  8. Perthguy

    Perthguy Well-Known Member

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    How much further would prices have to fall to be considered "affordable"?

    I mean prices in Perth are lower than 12 years ago (in some areas) and people are still whinging they can't afford to buy. One guy has calculated that when prices revert to the average income multiple of 1990 (reversion to the mean), the median house price in Perth will be $157,000. People seriously believe this stuff. We are in the era of the gullible with no critical thinking ability.
     
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  9. MarkJ

    MarkJ Member

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    I have held 2 IPs in Adelaide (units 5kms from the CBD) from 2007 with capital growth being less than out of pocket expenses over 12 years. So if I sell, I pay CGT with a net loss over the period.
     
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  10. Beano

    Beano Well-Known Member

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    Biggest regret is not realising land appreciates and buildings depreciate
    Second biggest regret is not realising rental profit in the long term makes you extremely wealthy, Capital Gains in the long term will not (it is purely a number). It is the net profit that brings home the bacon, pays off the mortgage that compounds to incredible useable wealth .
    At least I learnt 2 valuable lessons
     
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  11. VB King

    VB King Well-Known Member

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    Simple.

    Didn’t buy more in Sydney.

    Isn’t it funny ... the headlines ... how much Sydney dropped in %age terms over the last month on average.

    Yet not a single headline today on any of the ASX20 blue chips that dropped more than that in 1 day ... today. NCM -2.5%, SUN -2.1%, WPL -2.1% ....

    Then let’s put it into a property context of “peak to trough”.

    Yesterday’s high for example on Newcrest was $25.33. Today’s low was $24,53. -3% in 24 hours.

    And yet in property, a pull back of ... let’s call it 10% ... in a year as a normal part of the cycle - is diabolical.
     
  12. PMC Property

    PMC Property Sydney, Brisbane, Newcastle, Toowoomba Business Member

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    Yep. Even if they were dud purchases that didn’t go up in value (or even backwards a little bit) they would still have all made a lot of money in AUD by now.
     
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  13. E than

    E than Member

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    I think the more important question is - 'How did you guys get over 'Not taking the deal?''
     
  14. Beano

    Beano Well-Known Member

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    By doing another deal twice as large :)
     
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  15. willister

    willister Well-Known Member

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    I actually had a debate about the first point once with a colleague (he is Irish and lived through the bubble/bust in Dublin). A lot of factors are very different to the Australian real estate bubble/landscape but nonetheless he was used to the idea of "apartments appreciate". Having grown up here I've never quite accustomed myself to living in apartment let alone owing one. So I was like to him if you buy an apartment, you have no land and land - I did a economics 101 spiel and all only appreciates not the building (depreciate asset) because you use it up. He kept referencing how some apartments appreciate, I said yeh but that's only because its riding on the real estate bubble. I had always grown up listening to my migrant folks about how land appreciates...

    Your second point, I totally agree with and was a lesson I learnt 3-4 years back when my folks were semi retired and an uncle and aunty in the same boat 1-2 years ago. Strangely it's what you're used to really that defines your belief. My folks and them ran a small business, made money and dumped the profits into property and saw the suburbs sky rocket but once they had enough coin, they didn't believe in cheap properties in less desirable areas or properties types that generated more rent profits but didn't historically enjoy as much capital gains and probably still don't.
     
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