Poll: How much do you think the Sydney market will correct

Please vote on the poll

 

Just because you want Sydney to get cheaper doesnt mean it will.

 

Problem for me is; different areas will do different things.... way outer probably most affected, though anybody who bought at peak is at risk.

 

wheres the option for growth / flatline?

 

Which Sydney market?

 

I take all my investment advice from a free public forum poll so will watch this very closely.

 

I couldn't find the appropriate box however based on previous cycles, current interest rate projections, foreign debt, GDP, CPI, SFA, Unemployment, FIIK, North Korea, outcome of the plebicite and a few other well known metrics I have come up with the following range:

+7.33% to -6.88% +/- 15% based on a 95% incontinence limit.

I trust my projections hold water.

 

otp apartments and gws - 15-20%

Houses in the inner and middle rings and apartments in blue chip suburbs 5-10%

Currently selling an apartment in inner city and market has significantly cooled (less people at opens, less contracts out, auction could be pulled and offers invited etc) will be interesting during spring when more stock comes on and even more interesting if RBA rates rise.

 

No but sentiment is powerful. Hence the bank bashing / 4 corners episode etc

Ireland crash was blamed on mainstream media constantly talking about a bubble before it happened!!

 

Yep, the primary market driver that overrides all logical fundamentals.

And as John Keynes once said:

“The market can stay irrational longer than you can stay solvent.”

 

And just because you want Sydney to keep rising doesn't mean it will ,

Remember price stagnation for few years, if bought in peak, when compounded, is still a decent loss in real terms especially with poor yields that Sydney currently is

 

Ahh yes the classic leading question, which only has response options that support the OP's viewpoint.

OP, Sydney is more than one market. And there are more possible outcomes than what you have listed (e.g. "It will continue to grow" or "No decline, but price stagnation while incomes catch up").

Your poll is totally spurious and cannot be used for anything useful unfortunately.

 

I read a piece the other day that suggested that there's less diversification in real estate markets than is traditionally claimed, although I haven't been able to find it again.

If you got a drop of (say) 10% in Sydney, I wouldn't be surprised if some suburbs fell by as much as 15 or 20%, whereas others were only down by 5%. I would be if the median for the entire city was down that much, but some neighbourhoods were up by 10%.

Then there's the problem of identifying the growth markets ahead of time. That's always the hard part.

 

Today I received 2 emails from an RE agent regarding 2 props where prices have dropped to secure a sale. This is for 2126, Sydney. Both are about 1 km away from popular Cherrybrook tech high school.

Townhouse: 3/2/2 on 450 sqm. 6 weeks ago owners rejected offers of 1.2 Mn. Today they are willing to take 900k.

House with pool: 4/2/2 on 750 sqm. For 2 months RE agent was stuck on 1.5 Mn. Today he advertises a buy now price of 1.3 Mn.

Both props taken off RE.com after advertising for more than 3 months. I am seeing cooling on the ground as above.

 

Parts of Sydney have already dropped from the peak of the investor fueled FOMO buying frenzy of mid 2016. Markets within markets.

I believe its going to just stagnate and coast without further huge gains until economy and consumer sentiment picks up... then off it will go again

 

Theres your 20+% drop already! Put some more options in your poll?

 

@sash !!!

 

I waiting for this one!

Any case it depends on which part of Sydney...some are going well some are correcting......but I know someone in Blue Mountains who wanted $1.3m....no chance....nuttin in their part has sold more than 924k...in the last 6 months.

Also...in places like Cherrybrook...people wanting $1.45m....are now settling for $1.3...that is about a 10% drop. Their neighbours got the higher figure only 8 months ago....

 

Boom!

 

...Boom....Boom.....