NSW Sydney Price Correction 2019 - post examples

Property market is different. Stocks are not synchronised as properties, so when overall index moves down, certain companies can still grow, and vise versa.... simply because company performance is not correlated to economy, it's highly correlated with success of their products. E.g. IT giants like Apple, Intel, Microsoft, Amazon, Nvidia grew much faster than their index (NASDAQ). So sophisticated stock investor can make money any time. And even when prices are flat, they often get bonus - dividends. With properties, regardless of what you bought... if whole property market goes down and then flat for many many years, how can you make profit from it if you bought at top or close to top? And holding / purchase / sale costs are much higher.

 

Disagree. If we let "capitalism rip", banks would compete on who is the most prudent, not the most reckless. Interest rates would be higher, and fewer asset bubbles.

The only reason NINJA loans came about is precisely because central banks and governments intervened to take away the banks' risks. Remember the "Greenspan put"?

Banking is where capitalism goes to die. No free market in banking.

 

We will have to agree to disagree.

 

I love the northern beaches. Will be buying there at some point with a view to living out my days (not Dee Why). Dee Why was always going to be hit the hardest in that neck of the woods. So many units, always the worst rep on the beaches.

 

not really. concept is same, main problem with property is leveraging, and the interest is higher than its yield. most mom and dad investor pay zero investment loan when investing in shares. most funds are Cash wholesale or not. so you only have holding/purchase cost if you borrow money. if you have property that have yield higher than your holding cost, holding become easy.

thats why is dont make sense to land bank unless your a developer..or really REALLY know what your doing..

same with property.. people buying for "NG" With IO for capital appreciation. your fundamentals are wrong for lack of a better word.. different maybe is better choice of word ?

 

The problem with these graphs is that they only track sale prices.

They don’t take into account (probably have no way of calculating) the huge amounts spent every year on renovations and extensions.
Marg

 

not sure if this counts as an example 900k target price for 600 Sqm block . Does not seem busy road and a park in the back. Though it fibro with only 1 bath, doesn't look that they wanted to spend anything on build.
116 Victoria Road, West Pennant Hills, NSW 2125

 

Was interesting to see that a lot of the property drops have been shown via independent valuations, as follows (change from Jun 18):
Enmore, NSW: -2.99% (Unit 1 bed)
Mosman, NSW:+10.00% (Unit 2 bed) - Unobstructed, 180 degree harbour views
Double Bay, NSW:-6.90% (Unit 2 bed)
Bondi, NSW: -10.71% (Unit 2 bed)
Darlinghurst, NSW: -4.76% (Unit 1bed)
Surry Hills, NSW: -11.54% (Unit 2bed)
Potts Point, NSW:-9.60% (Unit 1 bed)
Darlinghurst, NSW:-6.10% (Unit 1 bed)
Balmain, NSW:-2.73% (House 3 bed)
Reference: Link

Worst performers are 2 bed units.

 

That Mosman purchase saves them from a fair bit of anguish

 

The harbour views what saved Mosman unit. Otherwise, it would have followed the trend. Shows that if the property has something unique it does well in downturn as well.

 

Auction guide now $750,000

6/82 Dee Why Parade, Dee Why, NSW 2099

This is one of the worst I've seen. 17% drop excluding purchasing & selling costs. Will be 20% + net loss

 

They over........paid to begin with....+ dee why is crap.

 

Could say that about any Sydney purchase in the last few years really.

 

Any ay?

 

I personally love Dee Why

Nice beach, some nice cafes and bars on, as well as some off, the beachfront, Woolworths, Coles, great new B Line buses and a decent plan for Dee Why town Centre/Pittwater road improvements

 

I think "park in the back" is the other half of the subdivided block (116's previous backyard), and someone will build a house on it.

 

Might also have strata problems if they are having that much trouble selling.

I'll bet a first time landlord owns it and is panicking. They'll be put off property for life losing almost $200,000.

 

The start of mortgagee sale?

14 Anzac Avenue, Denistone NSW 2114 - House For Sale | Domain

 

Looks like a bargain! Being unliveable makes finance difficult

 

price guide please ?

agent have yet to reply to my enquiry !