Or lessons from Perth. Most agree that property goes in cycles,...

Or lessons from Perth. Most agree that property goes in cycles, so what happens to spark and then deflate cycles. Case study Perth.
2006-7 huge boom every property owner became a hero with prices doubling. Reasons mining boom, shortage of houses, relatively cheap prices.
2008 GFC hit confidence hard, human sentiment , fear paralysis. Supply increase, luxury properties hit hard, holiday destinations dumped.
2012 pick up, rental shortages led to increases. Lot of people that should never have property investments start buying off the plan units, suburban houses etc.
2013 price rises, low number of listings under 9000 properties for sale. I started selling my motto sell into strength, sold one house probably too early as prices kept rising through 2013.
2013/2014 Seems like everybody and their dog was talking property Number of listings on market still low but rentals increasing and vacancy rate rising. Sold 2 properties one a commercial and one non development site Sold before going online friends said I sold too cheap and too early.
2014 till now. Huge numbers of units and villas in CBD for rent same time as off the plan units coming on market. Government changed home buyer grants in 2013 now biting the rental market as people buying house and land packages in burbs.
2015 Looking grim, my sentiment is good properties will hold value but I agree with the bears Perth prices will fall in 2015.
Mind you I think Melb and Sydney will slow as well, maybe 6 months or maybe 12 but the cycle will turn.
What to do.
Any property you have that is not performing or heavily financed. SELL
PPOR hold
Investors Not a time to be heavily borrowing and buying at the top.
Wanting to buy a house, have your money ready and study the market, research and know everything about your suburb of choice, if a good buy comes up then buy it, otherwise wait.
The laws of supply and demand and human nature mean we will always have cycles in property. Investors need to adapt to whatever the market is doing at the time.