I hadn't bought an investment property 3 years ago for $150k. I've bought 4 over the past 5 years $140k $193k $137k and $400k.
If we see some panick selling soon, i'll be looking for more.
The cost of building a house will certainly increase, but the value of any house can certainly decrease over time due age and general wear and tear.
Fortunately the dirt under it appreciates in value.
One could mitigate any potential downside in the market now buy purchasing in areas which have experienced long term population growth and continually growing.
Brisbane 15ks CBD max, Ipswich, Sunshine Coast, Port Douglas, Gladstone, Mackay, anything on or with a water view. Sure there would be many other areas around the country with similar properties available, but enough in SEQ to keep me out of mischief for a while.
Investors that will be in real trouble are those who have financed lifestyle with equity. Lots of cheap cars, boats, jet skis could be going soon. Anyone who has bought in the last 3-5 years will be fine, provided they haven't taken the opportunity to finance lifestyle well beyond their means.
A massive hike in interest rates or another oil crisis will be about all that will upset the property market short term, but long term there is no better investment.
