There is one place in Australia that I would hate to be invested...

There is one place in Australia that I would hate to be invested post this property/commodities boom.

PERTH

The Gen Y's fell for the property bubble in the Eastern States and now they are falling for the Resource Bubble in WA/Qld.

All the under 40's have no idea what a recession or asset price correction looks like.

The bravado on the way up will be replaced with panic and disbelief as we return to normal long term trends for housing prices across Australia.

Perth/WA boomed and busted in the early 1970's on the back of mining. That cycle is repeating itself once more. Too bad so many think that the latest 'tweet' from twitter or email from gmail is a definative oracle for investing.

Ten years ago I bought 2 homes in Perth after selling my house in Nth Balwyn. Now I couldn't do that.

Tomorrow and in the future I expect that Perth real estate will return to long term trends and that there will be plenty of construction workers looking for a place to find work.