And UT ,
I dont argue property can be great investments, I myself have few investment properties in emrging world and seen them grow multifold in few yrs, bought it on heavy leverage, and after 2 yrs it was positive cashflow(this was only bcoz my entry price was low).
During 2008 it fell 30%, but i couldn't care less as I was deep in money and rent was paying mortgage and expenses.
If I have to buy same property, I dont see value there anymore, it has already went up multifold and rental yields are no where near what it was when I purchased, so for someone to purchase it now and be positive cash will take quite a few years atleast 10 yrs, provided no crash like 2008 occurs and capital gains is consistent yoy, which is not imposible for a developing country with yoy growth of 8% with very young population.
Whereas in Assuie land we are not growing that fast and we have a huge headwinds of ageing population (http://www.hotcopper.com.au/post_single.asp?fid=273&tid=1234895&msgid=6938305) we already had a huge increase in housing from 2002, 2 times across the board and 3/4 times in cities (ofcourse there would be some exceptions) this is not normal growth for a developed country with huge poulation on verge of retirment within next decade.
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