re: re:depressed copydog
Copydog, competition ensures that comissions are kept in check. You will find (have you ever bought a property?) that a few years ago, agents in my area were charging 4-5% commissions where lately you could have got rates of 2.5%.
I think the bubble term is a bit rich personally. I have posted previously, but over a 15 year period in areas of Melbourne I have interest in, the increase per year has averaged 8%, nice but not over the top. Add in the high cost of transferring ownership and yearly inflation and its not such a big rise.
One factor you omit to consider is the supply versus demand scenario. In an increasing population, and greater demand for inner-city, there is only one way prices can go over time. Also, these other examples of bubbles you mention, have you researched the circumstances of the crashes? I don't know about the 1920's American situation (although being so long ago, how appropriate is it), but in Japan, they have gone through an extended depression period. If you're saying the Australian economy is in as precarious state, then Iwould agree with you, but it is not. In fact, the last time Australia property experienced an issue was when Keating insisted we had to have a depression. Even then, it was not so apparent in Sydney due to various factors. You really can't simplify the issue by taking the bits that you want to support your argument without taking into consideration the complexities involved, and the way it affects different areas, states, countries differently.
