Property Investors are Back

I've noticed a pretty big influx of investors on the properties I have been eyeing. I mentioned this on here even back in late Feb/March that I could see investors coming back and was hit with some people saying I was making it up.

I've seen now numerous articles stating the fact from numerous sources including my broker and most recent below from today and now the stats are slowly coming out.

Property investors look to return to the market as pandemic fear disappears - realestate.com.au

Obviously the investors can not ignore what is happening out there in terms of the huge capital growth that is happening and the record low vacancy rates (except Melb) everywhere seems to be going extremely strong even the Sydney apartment/unit market has ticked up now.

I have a feeling once more and more investors all rush back, this market is going to go absolutely berserk pushing prices everywhere higher and higher. The rest of 2021 is going to be extremely interesting and if investors grow exponentially we are set for 30%+ price rises easily.

I think we will be easily 20% very soon if not by the middle of the year seeing the crazy prices I'm seeing. 30% on the horizon doesn't seem to far off especially if 1000s and 1000s of investors jump back in.

 

I think you will find investors have been buying properties before they hit the market and you see them, you have to put your ear to the ground and listen.

 

OK, you've seen articles......but have you actually been out looking yourself? Because the media always tells it like it is, right?

The below is a quote directly from your article that you linked.

That is hardly a huge influx of investors.

While I can't answer for you, every experienced investor that I know is treading very carefully. I know of more selling than buying, and others waiting a little before selling.

I've actually been out and seen first hand what is happening. Many, many first home buyers. There's a few upgraders too, but not a lot of investors.

 

Its still better than under 10% which is what it was sitting at not long ago. As I said just wait until July/August I'm 100% sure the pace of investors back will be big. I'll donate $100 to any charity you wish if by September we dont reach 35-40% of loans given by banks taken out by investors.

Of course I have. You know I've been in the lookout for another property both in Sydney and Brisbane for the last 5 or so weeks. I've been VERY active on the ground and I can see more and more investors coming out and I've even lost to some investors.

I know some sellers as well. But there is NO WAY repeat NO WAY investors can ignore the capital growth. Are you saying $100k - $500k+ above asking is something so called "experienced" investors are simply ignoring? I dont think so.

At this rate buying something for $1M and holding for 6 months and selling for $1.25-1.3M is not something anyone can ignore im my books.

Some more articles that have come out within the last week.

Investors return as cash flow improves

Even Michael Yardney which sooooo many ppl on here listen to his advice is acknowleding it. It might still be early days but its 100% going to happen. Everyone I talk to with skin in the RE game has been saying they simply cant sit and watch the huge capital growth. Its like dangling a piece of cheese in front of a mouse.

Property Investors are back in the market | Property Insiders

 

Investors is a VERY loose term as there are A/B/C grade investors

 

Why does this matter at all? An investor buying their 1st property or an investor buying their 100th property is still an investor.

I for one, as a fellow investor with a significant portfolio LOVE seeing all these investors (A grade or Z Grade) jump back in. Its just going to push prices higher with more competition and with that the number of days to my early retirement becomes closer and closer.

 

But you're still quoting articles and now MY, who has a vested interest.

There are markets within markets & MY would not touch the areas you like and even if these articles that you like have some truth to them, don't really address the issue of which markets are booming and which is cooling.

 

I agree the investors are back.

For some reason those that love a spreadsheet and a mathematical algorithm need to see 6 months of backdated data before they will give a nod. OK when things move really slowly.

Investors are back. But first home buyers are very LOUD and OBVIOUS.

Huh? what special super power do you have that allows you to make these sorts of judgements? 'like' and 'invest in' might be different things in the first place ...... but can you really play two third parties against one another like that? can you read minds?

 

OK then. Lets have a friendly bet then? Put your money where your mouth is as they say.........you seem very doubtful but cant answer the very basic question about why would investors ignore the crazy amounts of capital growth that is happening? That is a very serious question because I for one CANNOT ignore the huge growth.

$100 like I said to any charity you want. If I win you contribute $100 to any charity I wish? Deal?

I'm that confident - I've been seeing it since end of Feb/Start of March. Investors coming back into the game has NOTHING to do with the areas I invest or you invest or anything.

 

Cool idea. You should be giving odds @thunderstrike888 cos it is a bit unfair on poor old @skater

 

Unless I'm mistaken, MY has a history of preferring investment properties near to a capital city. @thunderstrike888 has been ramping up the St Mary's are in NSW, and has also made mention of looking into some areas of QLD, that are further out of the city than MY has previously recommended. Of course, I can't read every post, so there's a chance that I may be wrong, but no super powers involved, just my understanding of what I've heard from each individual.

 

Maybe I should clarify, because I can't be everywhere at once. In the areas that I'm currently following, I have seen few investors. Not saying there's none, but there's not a lot.

I'm not really tracking much in Qld, and there's probably a LOT more investors sniffing around, since it's been such a long time that Qld had much real growth. Plus, yield's tend to currently be better than Sydney.

 

Well now i am disappointed.

So if you 'can't be everywhere at once', you 'may be wrong', you can't read minds, you 'don't know much about Qld' ......... you are sounding more and more like a mere mortal.

Come to Qld where mere mortals are warm and happy.

 

Investors are not ignoring it. But there's not crazy interest from investors. There maybe plenty of investors that may like to buy, but don't have the serviceability anymore. That doesn't mean they are not out and about. Might even be counted as the stats of investors at opens, but they're not actually buying, but trying to judge when the right time is to sell something. I personally know a couple doing that as we speak.

I'm also keeping a close eye on the market as I have a sub-dividable property that I'm in the process of splitting. I've a vested interest in the market keeping up this pace, because I'm keen to sell, but not in a declining market, so keeping tabs on what's going on as if the market starts to move in the wrong direction for this particular property will sell something else in another market instead.

I've also got a couple Agents that I know quite well who have stated that they can 'feel' an undercurrent that this surge we're currently seeing is not going to last. Less at opens, but still significant numbers, a few less making offers, etc. One putting his money where his mouth is & selling now.

BTW, I'm speaking of Western Sydney at the moment, and I know that's your favourite area to ramp up, but let's not confuse this with Qld, Vic, or any other markets.

 

Once again what does this have to do with investors coming back into the market and none of my questions again have not been answered? WTF are we talking about here seriously. The stats DO NOT show investor numbers per city or location or suburb. It just shows the numbers steadily increasing and at a significant rate by the types of loans the banks are giving. This thread is about how investors are coming back into the Real Estate game.

Why are we even talking about investing in certain areas blah blah blah?????? Sometimes I think some older members on here think they are the guru's yet have no substance in what they are saying, making assumptions on things that have nothing to do with this thread at all and just completely off topic.

This thread is not about where should I invest. I know exactly where I invest and have done extremely well from it probably better than most investors but we are not here to discuss that.

Anyway to all the buyers out there investor or FHB things are going to get interesting in the next 6 months as investor numbers continue to climb.

FYI, I just came back from an open home in Winston Hills this morning before lunch. (yes the hills is my hood these days I live in the hills area now) Heaps of groups through I think probably 30+. Had a chat to the agent and he mention approx half of the groups were investors. Lets see come August/September.

 

Aren't we all?

Bought a new PPOR in Qld last year. We've got things to do here before we make the move though.

 

It does not matter at all that's why I mentioned it... Seriously you put all investors into the same category is hilarious. Let me make a note that there is no such think as different grade of investors and applies to everything in life. Oh and that group of 40 ppl go through a house there were heaps of investors, as Borat say's NOTTTT!!!!

I for one as a fellow investor with an ok portfolio but know a handful of seasoned investors with large portfolio's i.e one that pays 120k land tax year just quietly, know that there is a clear difference from A to Z grade investors and what they do. In regards to prices sure prices are going up now which you have stated MANY TIMES OVER, and does not require a new thread.

 

It has a LOT to do with it. Investor activity will be completely different in different markets. How can you not see that?

Wow! Just wow! No need for personal attacks just because someone doesn't agree with your opinion, you know.

To be honest, I don't give a flying fig where you invest. You do you, & I'll do me, OK? My above comments are based only on what I've seen you post previously, and I've never once told you where you SHOULD invest.

 

Of course. But how can you conclude which areas are heating up with investors and saying things like MY does not advise on not to invest in XXXX when NONE of these stats or links or articles even mention anything about that? That is just pure assumptions without any substance at all.

Anyway I dont really care what you or Mickyyy think. I'm just sharing my facts I'm seeing on the ground and real statistical figures from the banks and the types of loans they are giving showing a clear uptick in investor loans. There is no better indicator than the banks loans they are actually giving out.

Believe it or not doesnt concern me but I'm sure there are many on here that would appreciate that information.

 

You are showing news articles. Not facts.