we are just reverting to the mean !, page-9

Les,
You need to buy close to water or close to a capital city. This is where your capital growth will come from. Yeild will also continue to grow as the shortage becomes greater.

I think everyone needs to remember that in the recession we had to have, unemployment hit 12% & rates hit 18% and what happened to property - it still more than doubled every 7 -10 years.

A lot of investors on this thread have lost lots of money & therefore are dark on everything. They can't understand how shares have droped by 50% & yet (if we look at the Adelaide property market for instance, last Quarter if fell by .7%. This doesn't make sense to them but they will keep on arguring not to but in.

I personally have many properties & am looking to buy another. In this market you can negatiate a good price & add value by renovations. Then if the market drops by another 1%, it really wont matter as you have created capital growth. Always have a buffer in case rates go again or for an emergency & when you have enough equity, go again.

It's not rocket science but it can be slow. Never sell as it is very expensive to trade property. Just borrow against it.

Hope this helps!