Property investment is not easy. If someone claims it is easy, he is lying through his teeth and it might just be the worst property investment advice that he has to offer, says Michael Yardney for the Property Update.
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Fewer People Living Alone In Sydney
Society is changing and houses have become really pricey. Together, these facts have helped reverse the long-term Australian mindset of living alone. Matt Wade for The Sydney Morning Herald writes that the number of people living alone in Sydney had escalated in a big way between 2006 and 2011 but it has come down remarkably ever since. Except for the age group 55-74, the trend is ever so manifest all across Sydney.
There are various reasons for the shift in paradigm.
As a first, young Sydneysiders do not find ‘living alone’ to be aligned with the concept of independence.
Secondly, houses have become less and less affordable for first time home buyers and this has convinced many to continue to live along with their parents and save some money in the process. This has given rise to many a renovation, creating more personal bedrooms with attached bathrooms in parental homes. This has also contributed to the reduction in the number of first home buyers.
You can read the whole article here.
Get Rich with Property Investments
If you only work hard on your job, you’ll never get rich – that’s a fact! Michael Yardney, director of Metropole Property Strategists, discusses the importance of capital gains, how it can make you rich, and how to minimise risks. The US Internal Revenue Services reported that of the hundreds of big earners in America, 45.8% got their wealth from capital gains.
Yardney also shares his 4 strategic approach to property investing that’ll reduce risk and increase your chances of getting higher capital gain. His strategy includes choosing unique or special properties priced below their intrinsic value located in areas where there’s a long history of high capital growth and refurbishing them to maximize gain.
Although you can’t succeed most of the time, by following Yardney’s strategy, you can minimise risk and profit from your property investment. You can also try and revise other property investor’s advice to become your own. You can learn how to do it only if you do it.
You can read the whole article here.
What criteria do you use when choosing your property investments?
The least and the most trusted professions
In a survey undertaken a fortnight ago, 645 respondents gave their vote of confidence to different professions. The results once more reaffirmed our belief that the car salesmen are the most untrusted profession around, says Gareth Hutchens for the Sydney Morning Herald. While only 4 percent of respondents trusted car salesmen, the figure was 12 percent for the real estate agents, putting them at the 28th spot, just one ahead of advertising agencies.
FYI, nurses topped the poll closely followed by doctors and pharmacists.
More people have reposed their trust in the property market
The faith shown in the real estate agents has not taken a beating and there is an increase of 3% (compared to the previous poll) in the percentage of respondents trusting them. You can read the full article here.
Conflict of interest
Being a property agent is like walking on a tightrope. The public perception is almost always prejudiced because people do not associate fair-play with those who are expected to make a fortune out of selling you a plot (or selling your plot). It is not to say that the agents involved in the game are saints. Sometimes, they suffer from conflict of interest and facilitate a property sell-off simply because they typically need the seller to reduce their price and the buyer to increase their offer. At such times, some might argue they do not work in the best interests of either the seller or the buyer.
More transparency required
In my opinion, a little more transparency is required to win the public trust. For instance, off-the-shelf properties or pre-construction units promise a lot but more often than not fail to deliver even half of what is promised. At any rate, various hidden clauses emerge on a later day. This has to change and pretty quickly too.
Both Sydney and Melbourne throw up high auction clearance rates
Sydney and Melbourne both threw up very high success rates for the weekend auction clearance. While Sydney’s rate stood at 78.1%, Melbourne held itself in good stead with a figure of 71%. Jonathan Chancellor for the Property Observer writes that the Prestige Market has picked up considerable momentum when compared to the same time last year. Sydney’s auction clearance rate was rallying somewhere near the 60 % mark while Melbourne cut a sorry figure of 57% same time last year.
Some facts for this weekend:
- Sydney’s highest grosser- The Tamarama Duplex for 3 million.
- Melbourne’s highest grosser- The Henham Street property for 2.64 million
- For Melbourne, a few sales like the ones on Grace Street, Albert Park and Malvern may have brought more money than the Henham Street sale; however, they remain unreported till now.
- For Sydney, Maroubra listed 8 properties while Condell Park listed 7 of them.
You can read the whole article here.
Will the Melbourne Auction clearance rate close in on Sydney in recent future?
Small apartments may make great investments
Australia is living its dream of being the land of the largest properties but at the same time it is doing equally well for a horde of small one-bedroom units. Michael Yardney for the Property Update writes how such properties are appealing to the 4 chief types of buyers:
