Brian linked back to this thread so I thought I’d revive it. I was just in Sydney again for 5 weeks Oct-Nov. I’ll say this, the general economy there was worse. The mining and export sectors were doing well but it was spotty. For instance The large miners were doing pretty well, but employment was harder to come by in general. IT seems to be holding up pretty well there, again based on the small sample size of friends of mine. The food court at the QVB is just as crowded as I remember!

All in all I was too premature. Sydney has remained surprisingly frothy. My close friends who I counseled not to buy, jumped in and bought a rental in Adelaide. Even if its fully rented they’ll be losing 400 a month, yikes!

Real estate bubbles die hard. Ours certainly is, and I was surprised at how resilient the Aussie bubble has been. I still feel that the points I made two years ago are valid, just as much so now. My timing however was wrong.
Josh