Here are just a few of the recent headlines now starting to occur, as the Australian Press do an abrupt "about turn" on their opinion on the Market (as many of our clients know, once the press "decides" the market has turned, the public tend to follow en mass) which is not good for those trying to secure a prime property.
September 08: Brace for the Boom-experts predict where and when. (Your Investment Property Magazine, Front Cover, Sept 2008) BRACING FOR THE "MOTHER OF ALL HOUSING BOOMS" -Savvy investors are already mapping out their Strategies to take advantage of the next upswing. 'For the doomsayers in the house, Paul Braddick, head of financial systems analysis at ANZ, has one message: THE BOOM IS COMING AND IT'S BIGGER THAN ANYTHING AUSTRALIA HAS EVER SEEN. If you're a sceptic like me, my initial reaction would be"Yeah, right!" "It's supply," says Braddick."The current housing shortage is set to reach unprecedented levels and is heading for a critical shortfall. The current surge in poulation- both from net migration and the naturall increase- drives underlying deamnd to 210,000 dwellinga year." This means the underlying demand is already outstripping new supply and the gap is set to widen sharply, driving pent up demand to record potentially intractable levels in all States, particularly NSW. "We're so far behind the eight ball that any building housing boom has to go for a a long, long time,to catch up to where we need to be." "Obviously, we all want to know if the boom will spark an explosive growth in prices. However, Braddick is quick to point out that the housing boom would entail recovery in building activities rather than soaring prices. Still, he reckons there is every reason to get excited about the prospects of Autralia's property markets...."when markets are this tight, it's a reasonable expectation that your'e going to get strong price moves on the back of improving yields and improving rentals" he says.'
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