Redmond, again it is your reliance on stats they has you justifying your views.
it seems that your chart based on raw stats is driving force.
As to affordability, it is the best it has been for a long time.
redmond, you have a very simple view to towards property and investing in property and how to make money from. Whether it is base don your training or idealogical not sure.
But while statistics are useful, the majority of property investors have no idea. they invest based on what they know and that is their community. while some of us talk about other cities, few actually do anything as it moves us outside the knowledge area.
I have a liking to invest in Montenegro as i beleive that the current slump there do the russian collapse sees bargins. but to actually visit let alone invest there is a big risk, so on the balance i will proably only visit.
the point is that if you do your research and pick the right property you can make money in a bad market.
also you dont see the relationship between inflation and property as being a positve thing andif you understand then you can make money from this.
As to your 105 falls reference. Do you actually know what propertion of homes have actually sold for the 10% less and what propertion they are of the total number of houses. we have 550 sold in sydney out of some 1m plus homes and you class this as a collapse.
The US is totally different as a foreclosure in a suburb, causes the banks to revalue all houses down to this level thereby causing a foreclosure stampede as people use this as the benchmarket for valuation purposes, hence to millions and millions of homes being left to the bank.
but agian redmond, look at your stats and really understand what they are telling you, not what you want them to tell.
As a matter of interest, I am looking at an abandoned building with a view to converting into 1 bedroom apartments. I know what I can sell/rent them in this market, I am working out costs to see if the deal stacks up, at least 50%. If it does, whether i keep and rent or sell will depend on the market but either way i will be able to pay off with the rent
