Panic Setting in Sydney

Discussion in 'Property Market Economics' started by sash, 13th Mar, 2017.

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  1. JL1

    JL1 Well-Known Member

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    I agree that prices are unlikely to tank considerably (albeit for slightly different reasons).

    What I do foresee though is a lot of peak cycle buyers getting caught out with their holding costs. Houses may not go up, but a low yield property with an equity-backed mortgage will suck up a lot of household spending money. Impact to consumer spending/GDP aside, that means a lot of people will be going backwards even in the case of property price increases in line with inflation (which may be an ask in itself over the next few years).
     
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  2. Zoolander

    Zoolander Well-Known Member

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    Hey folks quick question: what do ratios like 4:2:1 refer to? I see these alot but havent got a clue about their means.
    Thanks
     
  3. DaveM

    DaveM Well-Known Member

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    4 bedrooms, 2 bathrooms, 1 parking
     
    Last edited: 27th Apr, 2017
  4. Iamnumber5

    Iamnumber5 Well-Known Member

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    Not 4 bedrooms, 2 bathrooms and 1 garage?
     
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  5. sash

    sash Well-Known Member

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    1 is for garage not living
     
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  6. DaveM

    DaveM Well-Known Member

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    Argh transposed what I was reading into typing :(
     
  7. hash_investor

    hash_investor Well-Known Member

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    Many agents call 2 toilets 4/2/1
     
  8. c_west

    c_west Well-Known Member

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    Yep understand that argument as well with the extra equity, kudos to my friend for buying in at a time massive growth was about to occur in Sydney. He could now sell that house for 700k, come buy in Adelaide for high $300's with no mortgage and invest the extra $200-300k in some fully franked dividend paying shares and earn $10-15k per year. That would set up a nice relaxing lifestyle.

    It might be hard for me to convey 'the lifestyle' to you but being able to drive 20-30 minutes to either nice beaches or a microbrewery up in adelaide hills or barossa for wineries etc without having to deal with congested traffic and over population. In summary not everyone wants to live in Sydney, in my particular line of work there are opportunities to get posted to Sydney, it is generally considered the most undesirable posting to receive.

    Just providing another opinion :)
     
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  9. sash

    sash Well-Known Member

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    Yes guv know what you mean....that would mean another song..."Coward of the County" :p

     
  10. sash

    sash Well-Known Member

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    Yep....Sydney.....ain't the world.....
     
  11. RetireRich101

    RetireRich101 Well-Known Member

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    i just played this video a few times...lol

     
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  12. JDP1

    JDP1 Well-Known Member

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    Yea, Iin my view the main benefit if Sydney is nit lifestyle (quite the opposite - unless you are on big bucks, you will likely be living 30+km out or unless you bought pre-boom)...anyway..the main benefit I think is choice and opportunity especially with respect to jobs. This is worth an enormous value to a lot if people and one big reason why they put up with living 30+km out...
     
  13. sash

    sash Well-Known Member

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    No mate I reckon this bloke won it thumbs down.........I used to read these comics as a kid...

    Richie Rich (comics) - Wikipedia
     
  14. Tattler

    Tattler Well-Known Member

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    Wouldn't a powder room be classified as half bathrooms? Eg. One of my IP is 3/2.5/1.
     
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  15. RetireRich101

    RetireRich101 Well-Known Member

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    are you hitting on me again Sash? :D
     
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  16. sash

    sash Well-Known Member

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  17. RetireRich101

    RetireRich101 Well-Known Member

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    Sash hope it does come as a trolling comment..if it does I apologies..How come we didn't see any panic alert for Perth from you when it was tanking in the last 18-24months? Is it because you were heavily invested in H&L Perth in 2013/2014...or is it you didn't see it coming for Perth?

    As you said, any market can and will turn..Sydney is no exception..just why the harsh reality on Sydney alone. Where was that panic button when Perth needed the most..?
     
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  18. sash

    sash Well-Known Member

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    Let me see....3 properties in Perth out of 32 Australia wide...yep....heavily invested.....there....what can I say...you are absolutely correct.

    Saw if coming...but depreciation...was too attractive.......very little maintenance....on those.

    How many more to sell in Sydney......
     
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  19. RetireRich101

    RetireRich101 Well-Known Member

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    Interesting strategy Sash, buying Perth knowing it will fall?...for depreciation benefits??.. You could've done a H&L in Mt Druitt in 2013 and would be 10 times better outcome, no?

    Watch out for those sweet icing on the new stock...they may go like candle in the wind in the next few years, if not coming May...

    Interesting how you continue banging on, that I am selling more Sydney properties quietly...maybe if you're nice to me, I might consider selling you one at mate's rate..since you're so desperate? :p
     
  20. Whitecat

    Whitecat Well-Known Member

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    Yeah. No they shouldn't. That's 1.5.

    Also 3/1/1 doesn't necessarily mean a garage it doesn't even mean a carport it just means and available parking space
     
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