Hi Mr Steve,
rather a bold prediction - depends on a number of factors, some sectors of the market may take a nose dive of varying proportions
- outer metropolitan suburban areas with a high proportion of highly geared owners comes to mind.(sic 1989)
- regions that suffer a general economic decline, or some event that has an effect on household income.
- declining migration and to a lesser extent declining birth rates
- rising unemployment
We are on the Hume Freeway corridor in north east Vic. We have had a few significant economic and natural events in recent times - demise of the tobacco industry - around $35m farm gate plus multiplier effect, drought, bush fires affecting wine grape production and forest industries, bummer of a ski season in 2006.
The frenetic days of real estate in our region during the period 2003 - 2005 are over for the time being. Gains during that period were generally 120 - 150%.
Dwelling prices have come back 5% - 10%. Demand is generally quite good.
Residential rent yields are 5% - 6% gross (Eat your heart out Perth !) Demand for rental property has softened in past 4 months - the vacancy rate had been less than 1%, now around 1 - 2%
High value lifestyle rural properties - with a stand out point of difference are well sought after as are higher rainfall districts and access to water rights.
Rural land prices are not affected at this stage - although another year or two of drought could be a worry for the cropping guys to the west.
Overall business as usual - difficult to get a tradey, supply and demand for residential land is generally matched in larger centres.
I attended an NAB outlook conference last year - general consensus was that the Hume Freeway corridor between Melbourne and Sydney is solid across all market segments.
Cheers
OA
- Forums
- Property
- housing survey
Hi Mr Steve,rather a bold prediction - depends on a number of...
-
- There are more pages in this discussion • 40 more messages in this thread...
You’re viewing a single post only. To view the entire thread just sign in or Join Now (FREE)
Featured News
Featured News
The Watchlist
TON
TRITON MINERALS LTD
Adrian Costello, Executive Director
Adrian Costello
Executive Director
Previous Video
Next Video
SPONSORED BY The Market Online