What about the property bubble?

What property bubble? This is just media hype. The last true property bubble was 2000 to 2004 which produced much greater growth than we have seen in the past few years (or the last 10 years), and the recent growth has been limited to Sydney and Melbourne. My safety measure is to not get caught up in these 'emotional markets' where you are paying way too much to compete with the 'owner occupier' markets. I prefer to stick with affordable price points (the most rentable and most sellable) in markets that are just starting to turn and are yet to see the locals get all emotional about grabbing property. I'd also stick to areas that have strong employment (both short and long term), offer great rental yields (tough in VIC), and are over supplied (stay clear of the unit market). If you keep your holding costs to less than $20/week, even if it takes a few more years than expected to get substantial capital growth, there is no pressure.

Speak Your Mind


Time limit is exhausted. Please reload CAPTCHA.