There are more and more property investors in the market each year. How many of them know what they're doing? At last count there were now 2.05 million property investors in Australia. That's 348,000 more investors than the last time there was a head count six years ago. That means that Australia is creating 60,000 new property investors a year! You might be thinking... ooh. 60,000 a year. That's a pretty crowded market. It's going to be hard to carve out my niche in all of that. Maybe I better stick to shares. But this is the thing. How many of those 60,000 investors actually know what they're doing? How many know how to research performance properties How many know how to analyse markets and find where the hottest deals are? How many know how to turn dud
Imagine getting up from where you are right now. (I'm assuming you're not one of those people who reads things while they’re walking. If that's the case I can't help you. You're already a god.) So imagine you have to get up and walk somewhere. How does that seed of thought land with you? Are you like, sure, no worries. I'm ready to bounce up and move. No story at all. Or are you like, oh man. Come on Spiro. I'm tired. Getting up is going to be a hassle. And then walking somewhere? Seriously? Do you know how sore these feet are? Or what about if I asked you to hold on to this 10kg box of apples for me. (I'm making pie.) What's your instinctive reaction? Is it, no worries Spiro. I've got you. I can hold up that box of apples for you, no worries. Or is it mor
For a while now, APRA has had its foot on the brake of the Australian property market. (Not that you would have noticed in some markets! Melbourne, anyone?) And this wasn't because they wanted property prices to fall, or even grow slowly. It's more they were worried that the market was growing too quickly. Think of them like a little old woman in a car, the car is going down the hill. It's a clear day and there's not a car in sight, but the old lady still has her foot on the brake, just to keep things at a 'comfortable' level. (That's how I think about it anyway. APRA probably paint themselves in a more heroic light.) Anyway, the first wave of brake tapping came back in late 2014, when APRA introduced a 10% speed limit on investor lending growth. That is, banks could
You know me, I'm never one to go easy on the government. We're like chalk and cheese. I go well with wine. The other is good for explaining things on the blackboard, but not much else. But credit where credit is due. Last year the NSW government scrapped stamp duties for first home buyers, and it worked. We've seen a mini-boom in first time buying. In last year's State Budget, the Berejiklian Government eliminated stamp duty for first home buyers purchasing a new or existing homes valued up to $650,000, and gave discounts purchases valued between $650,000 and $800,000. And it did see first time buying pick up. NSW Premier, Gladys Berejiklian, is calling it a win for housing affordability. From The AFR: On Sunday, Premier Gladys Berejiklian said there had been 5400 mo
The key to building a successful career in property is finding your niche. There are dozens of different strategies when it comes to property, and they all work. (Except for buying negatively geared rubbish and hoping for the best. That strategy is a dud.) Maybe your angle is subdivisions. Maybe its granny flats. Maybe its renos. Maybe its boarding houses. Whatever tickles your fancy, you're probably going to be better off finding what works for you, and mastering it. I don't really know anyone in the game who doesn't have their preferred play. Sure, they might dabble in different strategies now and then. And it certainly pays to have a few more arrows in your tool kit if the economics of a deal changes and you have to pivot in a different direction. But I don't reall
Most of the herd don't realise it yet, but the 2018 lift off we've been expecting has already begun. It's not showing up in the official data yet. The official data is still throwing up shadows on the wall that frighten the young children. Prices are consolidating, sure. But they're not losing their footing And as the effect of credit restrictions pass, prices will begin to surge. That's the inside word from the economists at Macquarie Bank. "It is now looking very likely that housing prices at the national level are again rising modestly," the analysts said in a note to clients. Their analysis is based on an assessment of seasonally adjusted house price data from Domain's APM and CoreLogic's RP Data. "Dwelling price growth and activity are quite seasonal so the da
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