world markets about to collapse, page-29

re: property about to collapse (not the markets) Sabre,

With all due respect your post shows a simplistic and anecdotal view of property investment.

Property price movements are cyclical and it is a cycle which is well established. There is nothing new here and the sort of things you are saying are not new either.

I've been reading about property crashes now for nearly 20 years and still haven't seen one like you are fortelling.

Have a look at home formation rates and vacancy rates in rental properties and you will see that things are not as dramatic as some will have you believe.

The trends we are part of are slow moving and easy to see. The number of people per household, the available metro land, the immigration rates all these factors combine to determine demand.

Like so many markets the property market is self correcting and the number of apartments moving past the planning phase has already dropped and will continue to drop as off-the-plan sales are not achieved (financiers don't let it go ahead). This slow down in development means that underlying demand will not be met after only a coupe of years and then when that demand is sufficient, new developments will move past the planning phase but will take 18 months to 2 years to be completed and in the meantime prices will be rising as supply does not meet demand.

Like I said there is nothing new here, the property clock is ticking away as it always has done.