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Perth Market

Discussion in 'Property Market Economics' started by HD_ACE, 19th Jun, 2015.

  1. HD_ACE

    HD_ACE Game-Changer Premium Member

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    I am interested to hear peoples opinions and thoughts. The market has slowed, vacancies are up, buying oportunities are surley around every corner.

    Whats your take on the changing Perth market?
    Where will you be putting your money in the next 18 months?
    Which strategies will you be implementing to maximise returns?
     
  2. Biz

    Biz Well-Known Member

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  3. thatbum

    thatbum Well-Known Member

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    Its getting to be a very hard to read market. Overall my guess its going sideways, and I think there would be more micro-markets trending down rather than up.

    I still think there's some buyer demand on the ground, but listings are really high so I don't think prices are going up except in really specific markets.
     
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  4. Oshawott

    Oshawott Well-Known Member

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    feels like prices have corrected already and will trend sideways. don't think its a crash.

    will be waiting for bargains once some people get desperate =P
     
  5. Be Developer

    Be Developer Property Developer Business Member

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    @HD_ACE ,

    my 2 cents

    Whats your take on the changing Perth market?
    sit back, relax and watch for 12-18 months.

    Where will you be putting your money in the next 18 months?
    Eastern seaboard state

    Which strategies will you be implementing to maximize returns?
    Buy well, Buy properties that have potential to manufacturer growth.. try n buy unique property i.e Golf front, ocean front,bigger block, closer to school,etc..i,e, buy location.
     
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  6. HD_ACE

    HD_ACE Game-Changer Premium Member

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    On the same page. Thats good.


     
  7. MTR

    MTR Well-Known Member Premium Member

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    Perth market is soft and I think its a sit and wait game depending on a number of factor ie if unemployment continues to rise etc. we may be in for a rocky road. My plan is not to develop in Perth until there are some signs of improvement. Sit tight, in no rush to lose money, or add stress to my life.

    Its much easier to make money in a rising market I have been investing East and will continue to do so over the next 18 months, Melbourne and closely watching the Brisbane market.

    MTR:)
     
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  8. rhinsor

    rhinsor Well-Known Member

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    I only know my NOR suburbs but I see lots of rentals and for sales in places I've been looking over the past year.
    A couple of suburbs that sold really well at the start of the year are dead at the moment.
    I guess most people will start buying in Perth when the rest of the east coast gets to expensive.

    I'm sorting out my finances at the moment but going to sit and wait unless a bargain comes up.
     
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  9. JDP1

    JDP1 Well-Known Member

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    I will be buying shares in fortescue metals group   ..lol
     
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  10. thydzik

    thydzik Well-Known Member

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    "Some 6.7% of resold homes across Perth in the March 2015 quarter were sold for less than the previous purchased price.

    The compared to 5.5% the previous quarter and 4.4% a year earlier, according the CoreLogic RP Data pain gain report.

    The 6.7% of resales at a loss is the highest for the city since February 2013.

    The East Fremantle and Peppermint Grove council areas recorded no resales at a loss over the quarter while Belmont (1.7%) and Gosnells recorded less than 2% at a loss.

    But the highest proportion of loss-making resales occurred in the Perth (23.8%), Cottesloe (22.2%) and Mandurah (18.6%) council areas."


    [​IMG]

    http://www.propertyobserver.com.au/...-perth-council-regions-corelogic-rp-data.html
     
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  11. MTR

    MTR Well-Known Member Premium Member

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    Thanks for sharing these stats. Not a pretty though.
     
  12. Perthguy

    Perthguy Well-Known Member

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    It depends where you are looking. I know there is discounting in some areas. Other areas are flat. Some areas have not recovered since the GFC. I would not expect discounting in those areas. I agree with the above. I don't see this as a "crash", it is more of a correction of areas that got overheated.

    Developing an existing land holding in Perth. Melbourne will be sold late this year/early next year or developed early next year. I haven't decided yet but I am leaning towards development.

    I will watching the Perth market but once I get the feeling it is starting to move up, my investment partner and myself would like to try a buy, renovate, resell strategy. Could be interesting. That probably won't be happening until later next year but will depend on the market and how the developments go.
     
  13. HD_ACE

    HD_ACE Game-Changer Premium Member

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    Good stuff.
     
  14. paper

    paper Well-Known Member

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    watch and wait
     
  15. Aaron Sice

    Aaron Sice Well-Known Member

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    Jarrad and I had a lunch last week and came to the conclusion you kind of have to "create your own" workable site to churn a profit.

    Hopefully I'll be working on that sooner rather than later....
     
  16. Aaron Sice

    Aaron Sice Well-Known Member

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    looking at that chart above, Cottesloe looks prime for a buy in.

    22% is not quite Dalkieth/Peppy Grove discounting - but Cott has much more upside to it than either of those.
     
  17. Westminster

    Westminster Tigress at Tiger Developments Business Member

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    +1 on this.
    I'm going to keep powering through. I'll be going to site over the next 12-18mths and thankful to be building when the construction industry is not hot.
    By the time I finish construction who knows what the market will be doing. I don't see a crash, I simply see stable flat or small growth depending on the area. Most of what I do is non vanilla so there is little market comparables - a good development will stand out I hope and create it own market.
     
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  18. Big Daddy

    Big Daddy Well-Known Member

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  19. Aaron Sice

    Aaron Sice Well-Known Member

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    Probably because it yields 10-12 apartments....still smoking something, though.
     
  20. sanj

    sanj Well-Known Member

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    That's always been the case in flat markets, central ave and MPC prime examples of that.

    Find something others dont/can't see
     
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