Prices may drop to 2013- 2014 level?

Hi,

Does anyone think/expect prices to go back to 2013-14 level?

Cheers

 

No, no I don’t.

In one respect I wish they would so I could go on a big buying spree. But wishing doesn’t make it so ..... back to stupid reality again.

 

No! Why do you ask?

 

So that would mean an average of 50% drop?? Doubt this
It has happened in mining towns, but thats because its one industry....

 

Like Perth?

2013/14 level pffft aim for 2006 levels.

 

Also Qld
Mining towns dropped as much as 60% rents nose dived
Going to take years for recovery

 

I was being a little droll that so many Australians see Perth as a one horse town.

Perth property prices fall no one cares. Sydney and Melbourne correct a little and everyone loses there mind.

I think Port Hedland might have done even better than a 60% drop.

 

Must be the folks who bought near peak to peak prices. The folks who bought pre to early boom times are still laughing all the way to the bank. Have values dropped 10-15% in some areas? Sure. But if you're still 60-70%+ ahead, big whoop.

Then we have some Syd folks who completely missed investing in the recent boom. OUCH!

 

Do you mean in Mount Druitt? Seems like a touchy subject with quite a few people on here.

 

The people who invest in Mt Druitt are more than happy. It's the ones that DONT that stir the pot.

 

Anyone that don't need to sell ... won't sell. It's that simple.

 

Where: Hobart, Darwin?

 

But there is no shortage of people selling in Sydney and Melbourne ,even more in Perth.

 

Sydney gross rental yields are 3%. is that fair value? Or are adjustments required to get yields to fair value? Rents are still dropping, so if yields are going to go up, prices have to drop. A 5% gross yield is a 40% fall in prices.

 

so i can plan my next entry point. seeking experts views.

 

you are right.
but there will always be buyers and sellers.
if house next door sells for 20% less than peak then other sellers may not be in position to ask peak prices.

 

Melbourne

 

I doubt it, I think the tax cuts may have some positive effect on the housing market

 

and that 40% fall from peak is equivalent of losing 85% of all gains from peak.

 

Not all have to even a few is enough to accelerate the downward momentum along with those who have to.
not sure what is labour's position on CGT discount grandfathering, would be interesting if its not gfd.

FOMO can become FONGO.
Fear is a powerful emotion, there is a reason why we have booms and busts