How many more years of pain for the Perth market?

What parts of this specific article do you not believe is factual information?

 

Reiwa stats as of yesterday...

9333 properties listed for rent, 14 per cent lower than the same time last year.

13300 properties listed for sale, 1139 less than the same time last year.

 

Good to see the downward trend continuing for rentals and listings.

 

It’s at a snails pace but they are positive indicators that things are slowly getting better...

 

I just got a call from a Perth agent asking if I wanted to sell my development block in next 6 months. I think that's a positive sign too!

 

Development sites in Kingsley and Padbury are selling well. This was a big one Kingsley address available on request - House for Sale #126480118 - realestate.com.au

 

Over 40k jobs added in 2017, unemploymetn down to 5.7% sharp increase in resource related capex and job ads, properties on market slowly trickling down,


At what stage do some people stop denying there are any signs of improvement?

 

Mining Bitcoins?

 

When they see actual results?

 

Every single thing I.posted is an actual result. There actually were a lot of.jobs created,unemployment rate is actually significantly lower and is.also now nearly half a percent less than Victoria, wa actually created close to 14 percent of Australia's jobs last year despite being 10 percent of population, there actually are less properties on the market, I'm not sure what else needs to occur to point to the local economy improving, which is what I'm saying is happening but some are disagreeing

 

When the economy strengthens further, there is a good chance the RBA will hike interest rates in the next year or so. In fact the money market is now expecting 2 rate hikes in the next 18 months.

Guess what's the effect of rate hikes on property prices? especially of there is no underlying demographic positives.

I remember a decade ago the WA-mining boom forced the RBA to hike rates, burning the eastern seaboard. Recent east-led economic boom will now force the RBA to hike rates, and will now burn the mining states. Role reversal hmmmm...

 

I was referring to actual results in the property market.

 

So you responded to a post about the wa economy by discussing a separate topic ?

 

They are all related.

Also, what type of new jobs are being created? Baristas? Age care workers? Shopping centre attendants? Are they similar in pay to the jobs lost from mining?

Remember, to be counted as "employed" by the ABS you only need to work 1 hour a week.

 

22 Hammond Street West Perth WA 6005 - House for Sale #127280626 - realestate.com.au

This sold in less than a week. Priced a smidge high per sqm for my liking but was snapped up for $785k. Even though the price per sqm was higher than I like, the psqm does tend to be higher on smaller blocks and is a very good buy in price for the area. Achievable for quite a few people I'd say.

 

Go find the data and.answer your pointless ramblings, I.have no interest in engaging if you simply jump from point to point and asking.questions that a 30 sec google search would answer so I suspect you're more focused on justifying a pre determined opinion or ideology than a simple unbiased look at numbers,

The jobs were mostly full.time ones created so again I don't know why you'd mention it. also, the methodology of calculating unemployment could use some work I agree, but for the purpose of comparison and discussing trends, the important thing is that the methodology is the same which it is


It is an absolute and simple fact that there are more jobs in perth today than 12 month ago, less people out of work looking.for work, more job ads and more expenditure in the resource industry. This is not a theory or opinion or even debatable, it's a simple fact

 

time will tell. in the meantime, Perth property market (and Perth itself) is not exciting to me. it doesn't have the "X-Factor".

 

Of course more people get new jobs every year (naturally that happens when population grows), but the trend WA unemployment rate is still 6% which is waaaay higher than the 2012 boom days of 3-4%. If you want some perspective, don't just use absolute numbers, look a the whole picture and what period you're comparing it to. It's a looong way before you're going back (if ever) before you get to those 2012 magic numbers of 3-4% unemployment and High Salaries.

5% "sharp" increase in Capex - do they always translate to jobs? Many of the capex stuff are actually job killers, they're machines to make work more automated and more efficient, not necessarily a plus factor for jobs.

Ans let's not forget the "X-Factor" - the demographics, the local vibe, culture, dining, tourism, etc. These are very important when pricing a market.

 

I am not currently playing in Perth market as a developer I see profits are too skinny at the moment.
My g/friend is playing and developing, I believe she has a good handle on what is happening. She feels the market has bottomed and that development sites are getting snapped up.

The only way her end product is working is because she imports everything from China from frameless stairs, windows, tiles, kitchens etc. and high quality. She also said buyers are low balling... why ??? because they can, its still a buyers market.

I will jump in when the numbers make sense and not before...

We sold a development site recently that got snapped up in 3 weeks, in 2014 it would have sold for $900,000 today it sold for $865,000. This was a triplex site.

The question is are buyers paying the same price as they were paying for product in 2013/14??? I don't believe so

Lets see what happens in 2018, I am hoping we may see things pick up just watching

MTR

 

I don't mind west Perth