1.93's A$ to the Pound!!!
Oct 17th 2009, 7:12 am
#616
has lost The Game
Joined: Apr 2005
Location: Chippendale, Sydney
Posts: 8,735
Re: 1.93's A$ to the Pound!!!
Most people, when told that the current rates were very low emergency rates, would have known that they would head back up to average at some stage.
However, not everyone listened. There will be some who may need to sell up, but not enough, at my guess, to make much difference to property prices in general.
There will be some bargains, but you may have to be quick to get them, as the property investors appear to be moving in again.
Bottom line is: Do NOT 'rely' on prices dropping.
However, not everyone listened. There will be some who may need to sell up, but not enough, at my guess, to make much difference to property prices in general.
There will be some bargains, but you may have to be quick to get them, as the property investors appear to be moving in again.
Bottom line is: Do NOT 'rely' on prices dropping.
No that's pretty much what I was trying to say.
The nature of housing supply and demand here is very different to that of the UK. Despite inflated prices and the recent financial rollercoaster, there simply aren't enough houses to go around in the areas that people want to live in.
It appears to be the same in the rental market - There are often reports of 20-30 people showing up to look at one apartment.
S
Oct 17th 2009, 7:27 am
#617
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Joined: Sep 2008
Location: newbury
Posts: 943
Re: 1.93's A$ to the Pound!!!
No that's pretty much what I was trying to say.
The nature of housing supply and demand here is very different to that of the UK. Despite inflated prices and the recent financial rollercoaster, there simply aren't enough houses to go around in the areas that people want to live in.
It appears to be the same in the rental market - There are often reports of 20-30 people showing up to look at one apartment.
S
The nature of housing supply and demand here is very different to that of the UK. Despite inflated prices and the recent financial rollercoaster, there simply aren't enough houses to go around in the areas that people want to live in.
It appears to be the same in the rental market - There are often reports of 20-30 people showing up to look at one apartment.
S
Oct 17th 2009, 7:35 am
#618
poole ,dorset . love it
Joined: Mar 2007
Posts: 1,281
Re: 1.93's A$ to the Pound!!!
I dont think it will matter that much to me anyway or others who have a house in uk (south east) with no morgage. This is because i can see the prices riseing here as fast if not faster. I would think north of uk would be a problem as houses will stay low for some time.The ones coming over with there shirts on there back have the real problem or could i say the boat has sailed for them.
I dont think the uk is out of the woods yet by any means .I guess we will find out a bit more next friday when uk GDP figures come out to inregards to wether the resurgance of the pound can continue against the Ozpeso .
Obviously as many posters have stated its in the brit governments interest to a certain degree to have a weak pound at the moment .
Oct 17th 2009, 7:48 am
#619
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Posts: 943
Re: 1.93's A$ to the Pound!!!
Interesting you should say that inregards to housing in the uk . I do know from friends of mine that houses are selling resonably quickly now in the uk with modest price rises .But Rightmove i think had an interesting article saying thats because there is lack of housing for sale , once the houses flood on the market then the prices may drop a touch beacuse banks just arnt giving out credit yet .
I dont think the uk is out of the woods yet by any means .I guess we will find out a bit more next friday when uk GDP figures come out to inregards to wether the resurgance of the pound can continue against the Ozpeso .
Obviously as many posters have stated its in the brit governments interest to a certain degree to have a weak pound at the moment .
I dont think the uk is out of the woods yet by any means .I guess we will find out a bit more next friday when uk GDP figures come out to inregards to wether the resurgance of the pound can continue against the Ozpeso .
Obviously as many posters have stated its in the brit governments interest to a certain degree to have a weak pound at the moment .
Oct 18th 2009, 3:59 am
#620
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Joined: Dec 2006
Location: Mt Martha, Melbourne
Posts: 1,199
Re: 1.93's A$ to the Pound!!!
Yep, prices haven't dropped in our suburb and one surrounding suburb which had been quite cheap is now starting to go up - as it's been discovered!
I guess it's like in the UK - depends on the area, the house, etc etc as to whether it easily keeps it's price up during a downturn.
We did okay selling our UK property, sold quite quickly (summer season by the sea!) accepted a reasonable price for it in the current market - the most you can hope for!
Again, I can't see prices falling in our area because it's a seachange place and they'll always be downsizers moving in plus it's just about commutable to the CBD and it's by the sea....anyway that's what I'm hoping!
I guess it's like in the UK - depends on the area, the house, etc etc as to whether it easily keeps it's price up during a downturn.
We did okay selling our UK property, sold quite quickly (summer season by the sea!) accepted a reasonable price for it in the current market - the most you can hope for!
Again, I can't see prices falling in our area because it's a seachange place and they'll always be downsizers moving in plus it's just about commutable to the CBD and it's by the sea....anyway that's what I'm hoping!
Oct 19th 2009, 5:13 am
#621
Lost in BE Cyberspace
Joined: Oct 2008
Location: Perth
Posts: 6,761
Re: 1.93's A$ to the Pound!!!
No that's pretty much what I was trying to say.
The nature of housing supply and demand here is very different to that of the UK. Despite inflated prices and the recent financial rollercoaster, there simply aren't enough houses to go around in the areas that people want to live in.
It appears to be the same in the rental market - There are often reports of 20-30 people showing up to look at one apartment.
S
The nature of housing supply and demand here is very different to that of the UK. Despite inflated prices and the recent financial rollercoaster, there simply aren't enough houses to go around in the areas that people want to live in.
It appears to be the same in the rental market - There are often reports of 20-30 people showing up to look at one apartment.
S
Big question is can folk afford to pay the inflated prices being asked? And how much rent can be charged that folk can actually pay?
Australia is possibly the nation with the most inflated property in the world at the moment that has yet to experience a correction.
Anyone who thinks house prices can continue heading upwards is not being realistic.
Would not take too much for the bubble to burst. Best thing would be slow growth just covering the rate of inflation for at least the next six years and possibly a decade....
Oct 19th 2009, 7:17 am
#622
Banned
Joined: May 2007
Location: Sydney
Posts: 564
Re: 1.93's A$ to the Pound!!!
No that's pretty much what I was trying to say.
The nature of housing supply and demand here is very different to that of the UK. Despite inflated prices and the recent financial rollercoaster, there simply aren't enough houses to go around in the areas that people want to live in.
It appears to be the same in the rental market - There are often reports of 20-30 people showing up to look at one apartment.
S
The nature of housing supply and demand here is very different to that of the UK. Despite inflated prices and the recent financial rollercoaster, there simply aren't enough houses to go around in the areas that people want to live in.
It appears to be the same in the rental market - There are often reports of 20-30 people showing up to look at one apartment.
S
Like the law of demand, the law of supply demonstrates the quantities that will be sold at a certain price. But unlike the law of demand, the supply relationship shows an upward slope. This means that the higher the price, the higher the quantity supplied. Producers supply more at a higher price because selling a higher quantity at a higher price increases revenue.
These are the basic rules of Economics which are the same worldwide. They will NOT differ. It's human nature!!!
There are plenty of houses to go around. The problem is that no-one can afford them. The reason 20-30 people turn up to to a auction is that everyone is looking and hoping for a bargain. The market has been inflated recently by the stimulus and low interest rates therefore increasing demand and price for lower priced properties. Properties in the higher bracket have seen price drops as there is not much demand for these due to affordability and price.
Take away the low interest rates and stimulus, demand drops and therefore so will price, no matter how many immigrants or investors there are.
Australia is NOT unique. It will suffer the same as the rest of the world within 18-24 months if not sooner!
Oct 19th 2009, 7:36 am
#623
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Joined: Sep 2008
Location: newbury
Posts: 943
Re: 1.93's A$ to the Pound!!!
The law of demand states that, if all other factors remain equal, the higher the price of a good, the less people will demand that good. In other words, the higher the price, the lower the quantity demanded. The amount of a good that buyers purchase at a higher price is less because as the price of a good goes up, so does the opportunity cost of buying that good. As a result, people will naturally avoid buying a product that will force them to forgo the consumption of something else they value more.(Affordability)
Like the law of demand, the law of supply demonstrates the quantities that will be sold at a certain price. But unlike the law of demand, the supply relationship shows an upward slope. This means that the higher the price, the higher the quantity supplied. Producers supply more at a higher price because selling a higher quantity at a higher price increases revenue.
These are the basic rules of Economics which are the same worldwide. They will NOT differ. It's human nature!!!
There are plenty of houses to go around. The problem is that no-one can afford them. The reason 20-30 people turn up to to a auction is that everyone is looking and hoping for a bargain. The market has been inflated recently by the stimulus and low interest rates therefore increasing demand and price for lower priced properties. Properties in the higher bracket have seen price drops as there is not much demand for these due to affordability and price.
Take away the low interest rates and stimulus, demand drops and therefore so will price, no matter how many immigrants or investors there are.
Australia is NOT unique. It will suffer the same as the rest of the world within 18-24 months if not sooner!
Like the law of demand, the law of supply demonstrates the quantities that will be sold at a certain price. But unlike the law of demand, the supply relationship shows an upward slope. This means that the higher the price, the higher the quantity supplied. Producers supply more at a higher price because selling a higher quantity at a higher price increases revenue.
These are the basic rules of Economics which are the same worldwide. They will NOT differ. It's human nature!!!
There are plenty of houses to go around. The problem is that no-one can afford them. The reason 20-30 people turn up to to a auction is that everyone is looking and hoping for a bargain. The market has been inflated recently by the stimulus and low interest rates therefore increasing demand and price for lower priced properties. Properties in the higher bracket have seen price drops as there is not much demand for these due to affordability and price.
Take away the low interest rates and stimulus, demand drops and therefore so will price, no matter how many immigrants or investors there are.
Australia is NOT unique. It will suffer the same as the rest of the world within 18-24 months if not sooner!
Oct 19th 2009, 7:47 am
#624
Lost in BE Cyberspace
Joined: Feb 2005
Posts: 15,526
Re: 1.93's A$ to the Pound!!!
Havent seen any comments on my visits to my London board on this as yet.
Looks like the climb is back on. Time to stop procrastinating if people are going to take advantage of this unusual real estate price differential between the UK and Aus.
http://www.dailymail.co.uk/news/arti...ise-month.html
Looks like the climb is back on. Time to stop procrastinating if people are going to take advantage of this unusual real estate price differential between the UK and Aus.
http://www.dailymail.co.uk/news/arti...ise-month.html
Are you sure it's not you that's on a record high?
Oct 19th 2009, 8:04 am
#626
Banned
Joined: Aug 2008
Posts: 22,348
Re: 1.93's A$ to the Pound!!!
Havent seen any comments on my visits to my London board on this as yet.
Looks like the climb is back on. Time to stop procrastinating if people are going to take advantage of this unusual real estate price differential between the UK and Aus.
http://www.dailymail.co.uk/news/arti...ise-month.html
Looks like the climb is back on. Time to stop procrastinating if people are going to take advantage of this unusual real estate price differential between the UK and Aus.
http://www.dailymail.co.uk/news/arti...ise-month.html
Oct 19th 2009, 8:08 am
#627
Frequent Flyer Member
Joined: Jun 2007
Location: Melbourne
Posts: 10,994
Oct 19th 2009, 8:11 am
#628
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Joined: Sep 2008
Location: newbury
Posts: 943
Re: 1.93's A$ to the Pound!!!
Havent seen any comments on my visits to my London board on this as yet.
Looks like the climb is back on. Time to stop procrastinating if people are going to take advantage of this unusual real estate price differential between the UK and Aus.
http://www.dailymail.co.uk/news/arti...ise-month.html
Looks like the climb is back on. Time to stop procrastinating if people are going to take advantage of this unusual real estate price differential between the UK and Aus.
http://www.dailymail.co.uk/news/arti...ise-month.html
Oct 19th 2009, 11:21 am
#629
Banned
Joined: May 2007
Location: Sydney
Posts: 564
Re: 1.93's A$ to the Pound!!!
Hardly think there at record highs. Just increased from their lowest last year!!!
Buyers obviously believe prices will not go any lower so are starting to buy. Increased Demand= price rise!!!
Completely different here where buyers can't believe prices will go any higher!!
Work the rest out!
Buyers obviously believe prices will not go any lower so are starting to buy. Increased Demand= price rise!!!
Completely different here where buyers can't believe prices will go any higher!!
Work the rest out!
Oct 19th 2009, 12:59 pm
#630
Lost in BE Cyberspace
Joined: Feb 2005
Posts: 15,526
Re: 1.93's A$ to the Pound!!!
Hardly think there at record highs. Just increased from their lowest last year!!!
Buyers obviously believe prices will not go any lower so are starting to buy. Increased Demand= price rise!!!
Completely different here where buyers can't believe prices will go any higher!!
Work the rest out!
Buyers obviously believe prices will not go any lower so are starting to buy. Increased Demand= price rise!!!
Completely different here where buyers can't believe prices will go any higher!!
Work the rest out!
It's well reported that the average wage in London is now circa 40,000 pounds per annum which is quite high, it works out to 10 times the average wage to reach the median house price in London @ 412,000 pounds.. The Median in Melbourne is just over 500,000 Dollars, which is supposedly around 4.5 times the average wage, @ a reported 71,000 dollars.
All these figures that get banded about dont exactly equate to what is actually happening in the market. Certainly not in London post global economic turndown, neither here in Melbourne.
