NSW Sydney prices going too far?

2nd auction report - this is NOT in tech catchment but closer to Pennant Hills side. Great looking house but too close to very busy Boundary road.

A lot bigger crowd than the other auction and most people couldn’t even fit into the front yard. House ultimately sold for $2.23m.

4 Rosewood Place, Cherrybrook, NSW 2126
https://www.realestate.com.au/property-house-nsw-cherrybrook-135742798

 

There is something seriously wrong with Sydney at the moment.

A 2 bed older unit listed for $1.56m in Crows Nest (has a RP data valuation of $900k). It appears that top end of the town has moved 60-70% and suburbs are catching the fire quickly.

3/9 Macarthur Avenue, Crows Nest, NSW 2065
https://www.realestate.com.au/property-apartment-nsw-crows+nest-135969522

 

Can someone explain $1,750,000 price tag for this crappy house:
https://www.realestate.com.au/property-house-nsw-baulkham+hills-135727562

Is it just because of MP catchment area?

 

What the hell? Could've got into Castle Hill/Baulko for this (or a raft of better suburbs for that matter).

Sold 13 Norfolk Street, Blacktown NSW 2148 on 27 Mar 2021 - 2016867296 | Domain

 

Probably not ... but this is unreal for Blacktown

 

Did it feel like this in 2016? This feels even crazier.

 

Yes walking distance to MP catchment via the park and 750sqm block

 

And how about this one - $3.9mill...in Stanmore. I thought maybe the church next door bought it for expansion or perhaps it was a large block but no.

138 Albany Road, Stanmore NSW 2048 | Domain

 

Surely not. I keep a close eye on this area, and something like this can’t go for more than $1.1 even with the latest craziness.

More like 9-950 in more sensible times.

 

Gockie,

This is Scape accommodation, they provide student accommodation. Why do they need to sell?

 

The flow on from Sydney is pushing other, commutable, markets into the "crazy" zone, now that many have realised they can work remotely - or two days a week in the office - yet still retain their Sydney wages ... sell the dog box in Sydney and buy something amazing elsewhere.

Had lunch with a friend, who's husband is an IT contractor in Sydney. He works from home but has to remain local for meetings etc. When I asked why he didn't get a similar job on Newcastle and move back up, she replied that it would mean a $100,000 pay reduction - but many can move and retain the wage

Nearly fell of my chair. No wonder the remote location locals are getting priced out of the markets

RBA have indicated they will continue to manipulate the cash rate to remain steady for the next four years - which only adds to buyer confidence. Following, I don't see a crash (have lived through many boom cycles) but rather a slight drop and then stagnation as wages catch up

 

You would think so but that’s not what’s happening out there currently .. it’s still the absolute distance to Sydney CBD that’s driving prices up no matter how small of a dog box people can afford, they are bidding the inner middle rings into an absolute chaos and frenzy.

 

I'm loving the way prices are going. Keep moving fellas.

 

Yes. This is what happens when there is a perceived duopoly (Sydney and Mel) in a free market.

 

I always through money flew outward from Sydney and Melbourne but met a building contractor last year who sold his house and motel in Gold Coast in 2020, started a building business and bought a house in Botany last year. He is surely going to be very happy at the moment with his business benefiting from building boom and his recent purchase going up 40-50%. Economy is everything and that’s what pulls money into Sydney/Melbourne.

 

Umm. They can ask for your first born child if they like. Unrealistic (can't guarantee that there won't be that mad someone who hands over the cash)

 

Indeed. Economy from a demand side and supply (or lack of) all types, from a supply side.
Sydney and Mel just needed to get over some covid fears and once they did we knew their economies would flex their muscles with jobs and high paying ones at that.
Internationally, the overriding perception would be (to a generalised and large perspective) that syd and mel are the 2 most investable cities. Whether this is right or wrong, can be debated for years -but this is the perception amongst wealth in foreign countries..and perception is reality as many examples of crappy houses and dog box apartments going for large sums show.
In my view, the main risk to Sydney and Mel from here, at least for the remainder of this year, is not high prices, its going to be re-emergence of covid or variants that may not be effectively combated by the vaccines.

 

inspection by appointment usually says the seller isn't that motivated to sell. So they put a high price on it. Maybe they can find someone to pay that in this market.

 

They don't, its all new though and I was curious as to what would be built. Glad it's generally low rise!

 

Not too sure what you mean? I have intel on this project. You seem to claim based on its appearance??

Is there any reason why student accommodation can’t be new. Have you heard the company name Scape?