Buy in Sydney Australia?

[barnaby33]

Still after my comments last night at least I can sympathize with the OP desires to buy. Manly is nice. (Shameless plug) I liked Bondi better!

If I remember correctly and this is something I’m not real sure of, and exchange rate of 1.5 AUD : 1 USD is pretty average historically. Nominal prices in OZ are much higher. Its only since the US went on its latest leverage binge that the AUD strengthened significantly. If it gets closer to 2:1 then I would consider jumping in for currency arbitrage investment reasons as much as real pricing in AUD terms. Of course it would still have to be at least a reasonable deal (of which there aren’t any yet) in AUD terms.

Josh

[Anonymous]

Apart from residex there is also rpdata.

And if you are searching for homes for sale in Australia, check out the site PropertyNow which caters for private sellers.

The PropertyNow address is http://www.propertynow.com.au

Since the sellers on their aren’t paying anything to an agent you may find some real bargains, especially given the exchange rate right now.

[Anonymous]

Apart from residex there is also rpdata.

And if you are searching for homes for sale in Australia, check out the site PropertyNow which caters for private sellers.

The PropertyNow address is http://www.propertynow.com.au

Since the sellers on their aren’t paying anything to an agent you may find some real bargains, especially given the exchange rate right now.

[Anonymous]

Apart from residex there is also rpdata.

And if you are searching for homes for sale in Australia, check out the site PropertyNow which caters for private sellers.

The PropertyNow address is http://www.propertynow.com.au

Since the sellers on their aren’t paying anything to an agent you may find some real bargains, especially given the exchange rate right now.

[Anonymous]

Apart from residex there is also rpdata.

And if you are searching for homes for sale in Australia, check out the site PropertyNow which caters for private sellers.

The PropertyNow address is http://www.propertynow.com.au

Since the sellers on their aren’t paying anything to an agent you may find some real bargains, especially given the exchange rate right now.

[Anonymous]

Apart from residex there is also rpdata.

And if you are searching for homes for sale in Australia, check out the site PropertyNow which caters for private sellers.

The PropertyNow address is http://www.propertynow.com.au

Since the sellers on their aren’t paying anything to an agent you may find some real bargains, especially given the exchange rate right now.

[4826monongahela]

Real Estate – thx for the link. Am checking it now.

PatientRenter – < patience & logic >. Thx for the reminder. I need to hear these things. Often!

Josh/Barnaby – I have followed many topics on this blog site & respect your opinion. But a couple of points you raise, not sure I concur. We’ve been here just over 2 yrs. The Sydney area is very locale specific e.g. you mention Mosman being crazy, NSW Housing put out a report in 2007 looking at North Sydney and as whole it grew 3% from 2001 to 2007, however Hunters Point (near Mosman) and in North Sydney grew a whopping 67% over same time period. So you seem right there.

I’m looking for data, but it’s hard to find. However, Manly has been flat since at least 2003 maybe a little down on the high end. That’s 6 years of CPI to catch up with 2003 highs. I’ve polled friends who own & live in the area and gotton some admittedly small samples sizes, but that’s the consensus. No swings since the high of 2003, just flat.

I honestly think the lending criteria is tougher here. Yes, fixed rates are unusual – most folks go with ARMS, but they are used to it and they remember the 80’s with double digit interest rates. Also banks hang on to the mortgages themselves and do verify. I’ve had 3 banks come to me to verify my employees salaries over the yrs. They want 2 yrs worth of payslips to verify and peel out any commission or bonus (they don’t count bonus/commission – base salary only.) Most folks put 20% down. No non-recourse loans.

How come you reckon Sydney trails USA on realestate by 1.5yrs? And/or that it’s a huge bubble here (in Sydney, Perth, Brisbane different story.)

I’d like to chase up that article you mention (ANZ CEO or something talking real estate) – can you give me something to go on?

I still can’t get away from the calculation that if I keep my 1mil AUD invested, it still just pays my rent after taxes. Same amount gets me apartment I’m happy in for 5-10+ yrs.

I suspect AU will weather the upcoming storm *relatively* well. Yes commodities are way down, but Au has a shitload of them, lock on iron ore, lots of uraneum, lots of other minerals, more cows/sheep/wheat than people and abundant gas & coal and at some point, the World will start building again. Banks down here didn’t engage in the shaningens to the same extent as US & EMEA. However, I still do see a very, very tough year or 3 and the unemployment train ain’t stopping. I’m just wondering if this will be enough to force the Manly area market down significantly.

I worry about inflation screwing me on my conservative investments, mostly term deposits in USD/EURO/AUD.

Manly is a great place. The sunglassed keen eye finds topless beauties on the beach every day, nice warm but not hot climate by the sea, good surf, clean & safe area, great wine (if you like big flavors) & food, sport, nice people, strong rule of capitalist law, efficient government & easy ferry shot to downtown Sydney.

[4826monongahela]

Real Estate – thx for the link. Am checking it now.

PatientRenter – < patience & logic >. Thx for the reminder. I need to hear these things. Often!

Josh/Barnaby – I have followed many topics on this blog site & respect your opinion. But a couple of points you raise, not sure I concur. We’ve been here just over 2 yrs. The Sydney area is very locale specific e.g. you mention Mosman being crazy, NSW Housing put out a report in 2007 looking at North Sydney and as whole it grew 3% from 2001 to 2007, however Hunters Point (near Mosman) and in North Sydney grew a whopping 67% over same time period. So you seem right there.

I’m looking for data, but it’s hard to find. However, Manly has been flat since at least 2003 maybe a little down on the high end. That’s 6 years of CPI to catch up with 2003 highs. I’ve polled friends who own & live in the area and gotton some admittedly small samples sizes, but that’s the consensus. No swings since the high of 2003, just flat.

I honestly think the lending criteria is tougher here. Yes, fixed rates are unusual – most folks go with ARMS, but they are used to it and they remember the 80’s with double digit interest rates. Also banks hang on to the mortgages themselves and do verify. I’ve had 3 banks come to me to verify my employees salaries over the yrs. They want 2 yrs worth of payslips to verify and peel out any commission or bonus (they don’t count bonus/commission – base salary only.) Most folks put 20% down. No non-recourse loans.

How come you reckon Sydney trails USA on realestate by 1.5yrs? And/or that it’s a huge bubble here (in Sydney, Perth, Brisbane different story.)

I’d like to chase up that article you mention (ANZ CEO or something talking real estate) – can you give me something to go on?

I still can’t get away from the calculation that if I keep my 1mil AUD invested, it still just pays my rent after taxes. Same amount gets me apartment I’m happy in for 5-10+ yrs.

I suspect AU will weather the upcoming storm *relatively* well. Yes commodities are way down, but Au has a shitload of them, lock on iron ore, lots of uraneum, lots of other minerals, more cows/sheep/wheat than people and abundant gas & coal and at some point, the World will start building again. Banks down here didn’t engage in the shaningens to the same extent as US & EMEA. However, I still do see a very, very tough year or 3 and the unemployment train ain’t stopping. I’m just wondering if this will be enough to force the Manly area market down significantly.

I worry about inflation screwing me on my conservative investments, mostly term deposits in USD/EURO/AUD.

Manly is a great place. The sunglassed keen eye finds topless beauties on the beach every day, nice warm but not hot climate by the sea, good surf, clean & safe area, great wine (if you like big flavors) & food, sport, nice people, strong rule of capitalist law, efficient government & easy ferry shot to downtown Sydney.

[4826monongahela]

Real Estate – thx for the link. Am checking it now.

PatientRenter – < patience & logic >. Thx for the reminder. I need to hear these things. Often!

Josh/Barnaby – I have followed many topics on this blog site & respect your opinion. But a couple of points you raise, not sure I concur. We’ve been here just over 2 yrs. The Sydney area is very locale specific e.g. you mention Mosman being crazy, NSW Housing put out a report in 2007 looking at North Sydney and as whole it grew 3% from 2001 to 2007, however Hunters Point (near Mosman) and in North Sydney grew a whopping 67% over same time period. So you seem right there.

I’m looking for data, but it’s hard to find. However, Manly has been flat since at least 2003 maybe a little down on the high end. That’s 6 years of CPI to catch up with 2003 highs. I’ve polled friends who own & live in the area and gotton some admittedly small samples sizes, but that’s the consensus. No swings since the high of 2003, just flat.

I honestly think the lending criteria is tougher here. Yes, fixed rates are unusual – most folks go with ARMS, but they are used to it and they remember the 80’s with double digit interest rates. Also banks hang on to the mortgages themselves and do verify. I’ve had 3 banks come to me to verify my employees salaries over the yrs. They want 2 yrs worth of payslips to verify and peel out any commission or bonus (they don’t count bonus/commission – base salary only.) Most folks put 20% down. No non-recourse loans.

How come you reckon Sydney trails USA on realestate by 1.5yrs? And/or that it’s a huge bubble here (in Sydney, Perth, Brisbane different story.)

I’d like to chase up that article you mention (ANZ CEO or something talking real estate) – can you give me something to go on?

I still can’t get away from the calculation that if I keep my 1mil AUD invested, it still just pays my rent after taxes. Same amount gets me apartment I’m happy in for 5-10+ yrs.

I suspect AU will weather the upcoming storm *relatively* well. Yes commodities are way down, but Au has a shitload of them, lock on iron ore, lots of uraneum, lots of other minerals, more cows/sheep/wheat than people and abundant gas & coal and at some point, the World will start building again. Banks down here didn’t engage in the shaningens to the same extent as US & EMEA. However, I still do see a very, very tough year or 3 and the unemployment train ain’t stopping. I’m just wondering if this will be enough to force the Manly area market down significantly.

I worry about inflation screwing me on my conservative investments, mostly term deposits in USD/EURO/AUD.

Manly is a great place. The sunglassed keen eye finds topless beauties on the beach every day, nice warm but not hot climate by the sea, good surf, clean & safe area, great wine (if you like big flavors) & food, sport, nice people, strong rule of capitalist law, efficient government & easy ferry shot to downtown Sydney.

[4826monongahela]

Real Estate – thx for the link. Am checking it now.

PatientRenter – < patience & logic >. Thx for the reminder. I need to hear these things. Often!

Josh/Barnaby – I have followed many topics on this blog site & respect your opinion. But a couple of points you raise, not sure I concur. We’ve been here just over 2 yrs. The Sydney area is very locale specific e.g. you mention Mosman being crazy, NSW Housing put out a report in 2007 looking at North Sydney and as whole it grew 3% from 2001 to 2007, however Hunters Point (near Mosman) and in North Sydney grew a whopping 67% over same time period. So you seem right there.

I’m looking for data, but it’s hard to find. However, Manly has been flat since at least 2003 maybe a little down on the high end. That’s 6 years of CPI to catch up with 2003 highs. I’ve polled friends who own & live in the area and gotton some admittedly small samples sizes, but that’s the consensus. No swings since the high of 2003, just flat.

I honestly think the lending criteria is tougher here. Yes, fixed rates are unusual – most folks go with ARMS, but they are used to it and they remember the 80’s with double digit interest rates. Also banks hang on to the mortgages themselves and do verify. I’ve had 3 banks come to me to verify my employees salaries over the yrs. They want 2 yrs worth of payslips to verify and peel out any commission or bonus (they don’t count bonus/commission – base salary only.) Most folks put 20% down. No non-recourse loans.

How come you reckon Sydney trails USA on realestate by 1.5yrs? And/or that it’s a huge bubble here (in Sydney, Perth, Brisbane different story.)

I’d like to chase up that article you mention (ANZ CEO or something talking real estate) – can you give me something to go on?

I still can’t get away from the calculation that if I keep my 1mil AUD invested, it still just pays my rent after taxes. Same amount gets me apartment I’m happy in for 5-10+ yrs.

I suspect AU will weather the upcoming storm *relatively* well. Yes commodities are way down, but Au has a shitload of them, lock on iron ore, lots of uraneum, lots of other minerals, more cows/sheep/wheat than people and abundant gas & coal and at some point, the World will start building again. Banks down here didn’t engage in the shaningens to the same extent as US & EMEA. However, I still do see a very, very tough year or 3 and the unemployment train ain’t stopping. I’m just wondering if this will be enough to force the Manly area market down significantly.

I worry about inflation screwing me on my conservative investments, mostly term deposits in USD/EURO/AUD.

Manly is a great place. The sunglassed keen eye finds topless beauties on the beach every day, nice warm but not hot climate by the sea, good surf, clean & safe area, great wine (if you like big flavors) & food, sport, nice people, strong rule of capitalist law, efficient government & easy ferry shot to downtown Sydney.

[4826monongahela]

Real Estate – thx for the link. Am checking it now.

PatientRenter – < patience & logic >. Thx for the reminder. I need to hear these things. Often!

Josh/Barnaby – I have followed many topics on this blog site & respect your opinion. But a couple of points you raise, not sure I concur. We’ve been here just over 2 yrs. The Sydney area is very locale specific e.g. you mention Mosman being crazy, NSW Housing put out a report in 2007 looking at North Sydney and as whole it grew 3% from 2001 to 2007, however Hunters Point (near Mosman) and in North Sydney grew a whopping 67% over same time period. So you seem right there.

I’m looking for data, but it’s hard to find. However, Manly has been flat since at least 2003 maybe a little down on the high end. That’s 6 years of CPI to catch up with 2003 highs. I’ve polled friends who own & live in the area and gotton some admittedly small samples sizes, but that’s the consensus. No swings since the high of 2003, just flat.

I honestly think the lending criteria is tougher here. Yes, fixed rates are unusual – most folks go with ARMS, but they are used to it and they remember the 80’s with double digit interest rates. Also banks hang on to the mortgages themselves and do verify. I’ve had 3 banks come to me to verify my employees salaries over the yrs. They want 2 yrs worth of payslips to verify and peel out any commission or bonus (they don’t count bonus/commission – base salary only.) Most folks put 20% down. No non-recourse loans.

How come you reckon Sydney trails USA on realestate by 1.5yrs? And/or that it’s a huge bubble here (in Sydney, Perth, Brisbane different story.)

I’d like to chase up that article you mention (ANZ CEO or something talking real estate) – can you give me something to go on?

I still can’t get away from the calculation that if I keep my 1mil AUD invested, it still just pays my rent after taxes. Same amount gets me apartment I’m happy in for 5-10+ yrs.

I suspect AU will weather the upcoming storm *relatively* well. Yes commodities are way down, but Au has a shitload of them, lock on iron ore, lots of uraneum, lots of other minerals, more cows/sheep/wheat than people and abundant gas & coal and at some point, the World will start building again. Banks down here didn’t engage in the shaningens to the same extent as US & EMEA. However, I still do see a very, very tough year or 3 and the unemployment train ain’t stopping. I’m just wondering if this will be enough to force the Manly area market down significantly.

I worry about inflation screwing me on my conservative investments, mostly term deposits in USD/EURO/AUD.

Manly is a great place. The sunglassed keen eye finds topless beauties on the beach every day, nice warm but not hot climate by the sea, good surf, clean & safe area, great wine (if you like big flavors) & food, sport, nice people, strong rule of capitalist law, efficient government & easy ferry shot to downtown Sydney.

[barnaby33]

4826monongahela, by no means am I an expert on Oz. I lived there for two months. I will say that given the metrics I know of Sydney in particular is 18 months behind us (or was when I left in December) in terms of denial, volume of sales and prices.

When I left volume of real estate sales had declined significantly for residential and had started in commercial. I talked to several commercial and residential agents at parties.

Second, Aussies do not have fixed rate mortgages, they are almost unheard of. Everyone gets what Americans know as an ARM, though I have no idea if they have lock in periods like ours do. These are basically pre-payment penalties.

Third volume preceeds price. When you see the drop off in volume which mimics our RE market of 12-18 months ago, and you start to see prices coming down in the outer suburbs as we saw 12-18 months ago, you start to see the pattern. What makes it all the more obvious is the fact that its a different country with a supposedly different economy.

Fourth, denial is not a river in Egypt. Aussies were so quick to jump on the “its different” here bandwagon it made my head spin with deja vu. They would do anything to claim that their economy was diversified. Its not and I can prove it. Its banks are getting crushed based on alot of foreign shenanigan investments. Aussie banks bankrolled quite a bit of downtown condos here in San Diego. Furthermore the strength of the AUD is directly dependent on people buying lots of commodities. At least in the near term that bubble has popped. “But but but, we sell to China, not the US!” Well who the hell do you think that China is selling to?

Finally its all about salaries. Sydney is WAY to expensive for most people who live there and has gotten measurably so over the last few years. I know, because I’m a software dev and the people I hung out with were either in IT, finance or recruiting. Ok one is professional photographer. None of these people could by any stretch of the imagination afford the places they lived. Most rented and scraped by. One I do know owns two condo’s and he is already deeply underwater and trapped. When people start losing their jobs, they’ll return to the places they are from, Brisbane, Adelaide etc.

As to that paper Link.

Josh

[barnaby33]

4826monongahela, by no means am I an expert on Oz. I lived there for two months. I will say that given the metrics I know of Sydney in particular is 18 months behind us (or was when I left in December) in terms of denial, volume of sales and prices.

When I left volume of real estate sales had declined significantly for residential and had started in commercial. I talked to several commercial and residential agents at parties.

Second, Aussies do not have fixed rate mortgages, they are almost unheard of. Everyone gets what Americans know as an ARM, though I have no idea if they have lock in periods like ours do. These are basically pre-payment penalties.

Third volume preceeds price. When you see the drop off in volume which mimics our RE market of 12-18 months ago, and you start to see prices coming down in the outer suburbs as we saw 12-18 months ago, you start to see the pattern. What makes it all the more obvious is the fact that its a different country with a supposedly different economy.

Fourth, denial is not a river in Egypt. Aussies were so quick to jump on the “its different” here bandwagon it made my head spin with deja vu. They would do anything to claim that their economy was diversified. Its not and I can prove it. Its banks are getting crushed based on alot of foreign shenanigan investments. Aussie banks bankrolled quite a bit of downtown condos here in San Diego. Furthermore the strength of the AUD is directly dependent on people buying lots of commodities. At least in the near term that bubble has popped. “But but but, we sell to China, not the US!” Well who the hell do you think that China is selling to?

Finally its all about salaries. Sydney is WAY to expensive for most people who live there and has gotten measurably so over the last few years. I know, because I’m a software dev and the people I hung out with were either in IT, finance or recruiting. Ok one is professional photographer. None of these people could by any stretch of the imagination afford the places they lived. Most rented and scraped by. One I do know owns two condo’s and he is already deeply underwater and trapped. When people start losing their jobs, they’ll return to the places they are from, Brisbane, Adelaide etc.

As to that paper Link.

Josh

[barnaby33]

4826monongahela, by no means am I an expert on Oz. I lived there for two months. I will say that given the metrics I know of Sydney in particular is 18 months behind us (or was when I left in December) in terms of denial, volume of sales and prices.

When I left volume of real estate sales had declined significantly for residential and had started in commercial. I talked to several commercial and residential agents at parties.

Second, Aussies do not have fixed rate mortgages, they are almost unheard of. Everyone gets what Americans know as an ARM, though I have no idea if they have lock in periods like ours do. These are basically pre-payment penalties.

Third volume preceeds price. When you see the drop off in volume which mimics our RE market of 12-18 months ago, and you start to see prices coming down in the outer suburbs as we saw 12-18 months ago, you start to see the pattern. What makes it all the more obvious is the fact that its a different country with a supposedly different economy.

Fourth, denial is not a river in Egypt. Aussies were so quick to jump on the “its different” here bandwagon it made my head spin with deja vu. They would do anything to claim that their economy was diversified. Its not and I can prove it. Its banks are getting crushed based on alot of foreign shenanigan investments. Aussie banks bankrolled quite a bit of downtown condos here in San Diego. Furthermore the strength of the AUD is directly dependent on people buying lots of commodities. At least in the near term that bubble has popped. “But but but, we sell to China, not the US!” Well who the hell do you think that China is selling to?

Finally its all about salaries. Sydney is WAY to expensive for most people who live there and has gotten measurably so over the last few years. I know, because I’m a software dev and the people I hung out with were either in IT, finance or recruiting. Ok one is professional photographer. None of these people could by any stretch of the imagination afford the places they lived. Most rented and scraped by. One I do know owns two condo’s and he is already deeply underwater and trapped. When people start losing their jobs, they’ll return to the places they are from, Brisbane, Adelaide etc.

As to that paper Link.

Josh

[barnaby33]

4826monongahela, by no means am I an expert on Oz. I lived there for two months. I will say that given the metrics I know of Sydney in particular is 18 months behind us (or was when I left in December) in terms of denial, volume of sales and prices.

When I left volume of real estate sales had declined significantly for residential and had started in commercial. I talked to several commercial and residential agents at parties.

Second, Aussies do not have fixed rate mortgages, they are almost unheard of. Everyone gets what Americans know as an ARM, though I have no idea if they have lock in periods like ours do. These are basically pre-payment penalties.

Third volume preceeds price. When you see the drop off in volume which mimics our RE market of 12-18 months ago, and you start to see prices coming down in the outer suburbs as we saw 12-18 months ago, you start to see the pattern. What makes it all the more obvious is the fact that its a different country with a supposedly different economy.

Fourth, denial is not a river in Egypt. Aussies were so quick to jump on the “its different” here bandwagon it made my head spin with deja vu. They would do anything to claim that their economy was diversified. Its not and I can prove it. Its banks are getting crushed based on alot of foreign shenanigan investments. Aussie banks bankrolled quite a bit of downtown condos here in San Diego. Furthermore the strength of the AUD is directly dependent on people buying lots of commodities. At least in the near term that bubble has popped. “But but but, we sell to China, not the US!” Well who the hell do you think that China is selling to?

Finally its all about salaries. Sydney is WAY to expensive for most people who live there and has gotten measurably so over the last few years. I know, because I’m a software dev and the people I hung out with were either in IT, finance or recruiting. Ok one is professional photographer. None of these people could by any stretch of the imagination afford the places they lived. Most rented and scraped by. One I do know owns two condo’s and he is already deeply underwater and trapped. When people start losing their jobs, they’ll return to the places they are from, Brisbane, Adelaide etc.

As to that paper Link.

Josh

[Author]

Posts