In this video, I would like to explain to you what it is that makes housing markets boom.
To find out, we’ve come to Canberra. The reason that we came to Canberra to find out what makes markets boom is that during 2008, Canberra’s median house price was highest in Australia. It was higher than Sydney or Melbourne. Right now, Canberra’s median house prices is about half of that in Sydney and three quarters of that in Melbourne.
As a property market analyst, I’m constantly on the lookout for tips and tricks that can help investors find areas with growth potential before the growth actually occurs. Did you know that there’s a very simple way you can find areas like this?
There’s been a dramatic increase in the number of so-called ‘experts’ hitting my email inbox recently. I’ve never heard of them. However, they’re making unbelievable claims about their ability to help me get rich quick. They’re people whose track record seems to consist of a recently created web presence. They have no credible background whatsoever. They think it’s a safe bet for them to strut their stuff because prices have been rising in most areas and interest rates are at record lows.
I’m often asked about the impact that new housing developments have on housing prices. It’s really interesting, because there are winners and losers in each case.
I’m standing here in the outskirts of one of Brisbane’s new suburban housing markets. What’s happening in Brisbane generally is that the supply of new housing—especially to new-time buyers—is exceeding the demand.
Hello, it’s John here. This month’s video is about why sometimes it’s better to buy with your heart than with your head.
You see, most experts tell us to always buy with our head. That is, we’re looking for capital growth, and we’re looking for cash flow. So we’re buying properties with an intent of getting some value out of them—I’m one of those too. But occasionally, it might be better to buy with your heart instead of with your head. You might go to a beautiful place: a beach, or a bay, the riverside area, or even up in the mountains—like I am now—and fall in love with the area.
Every major Australian City has had areas that have been entirely transformed and rejuvenated especially the old inner urban areas, the wolves and warehouses such as Docklands and South Bank in Melbourne, or Brisbane South Bank and in Sydney Barangaroo.
Now, I’m right here at the heart of Perth by the Swan River and at the development called “Elizabeth Quay.” Elizabeth Quay is now located in an area between the river and the CBD which is vastly underutilized and is being transformed by a massive $2.6 billion development, 150,000 square meters of office space, 39,000 square meters of retail space and over 1,700 apartments, yet over 65% of the land will be kept as open space for the people of Perth.(Read More…)
It seems simple enough in theory. You respond to an online ad for a new property development which seems to have excellent growth prospects. You pay a small deposit bond, sometimes before construction has even started, and settlement could be years away. As time passes, the price of your investment property rises and you sell, and walking away with a tidy profit even before you have actually settled.
This is called flipping, and it’s one of the most commonly relied on investment strategies for investors who buy properties off the plan. Developers also offer incentives to those investors who intend to hold their properties after settlement, such as generous rental guarantees that ensure your investment generates positive cash flow, paying for itself while the guarantee is in place.(Read More…)