Petals

Cheaper to buy an older established than land and new house these days. Renovators delight always popular

DownUnderPaddy

From todays Age.

http://www.theage.com.au/victoria/de...206-1aihd.html

"MAJOR builders and developers on Melbourne's urban fringe are selling up to half of some new housing estates to overseas investors and those hoping to migrate to Australia."

Kapri

My thread is celebrating it's 4 year anniversary this month



(but I'm still in the UK )

Buzzy--Bee

hee hee hee

BB

mpgrewal

Melbourne is run by China. It started with restaurants and petty businesses like dry cleaning,stitching, then they took over manufacturing of all retail goods and now all new homes goto China.

Petals

Happy Birthday

DownUnderPaddy

Well, in fairness MP, Australia is just a demographic blip in the effective Asia region.
We have a pop of approx 22 million people, while India and China both have over 1 BILLION !
I knew this coming out in '02 and have always thought of myself as a citizen of Australasia to be honest.

You may be interested to know that Indias population is set to overtake Chinas within the next 20 years.
http://geography.about.com/od/obtain...population.htm

You can't blame the Indians and Chinese (or the populations of any other 3rd world countries) wanting to emigrate to a country in the region like Australia in oder to provide better opportunities for their families, not to mention the massive increase in human/civil rights they get to experience by moving. It is a big drawcard

mpgrewal

Indo-chinese migrants coming here is right thing, thats seprate. But selling properties to those overseas (who may never come to australia) is controversial. This is how property prices of Melbourne have reached impassable heights. All due to foreign demand and local australians are beaten by overseas riches of China

ozzieeagle

First time I've heard about Chinese buying up in new estates.... they usually buy apartments in the inner city Outer burbs is more an Indian trait.

So needs more checking out IMO.

mpgrewal

Now they expanding their footprints in posh areas like Brighton, Berwick and Point Cook too. What I wonder how come they bought in Cranbourne and Frankston

Phlanger

Total shite.

Growing local population and an obsession with half acre blocks is as great, if not greater, a driver for increased housing prices than overseas buyers. Melbourne 2030, the state's key planning document is wholly predicated on the needs of local population growth.

It does contribute - every sale does - but to say it's "all due to foreign demand" is nonsense.

Second home ownership, investment properties, a lack of inner urban redevelopment, land banking and artificial inflation of property prices, cartel practices in the housing market, etc, etc all have an impact.

mpgrewal

Have you seen the size of new estates in outer suburbs like Pakenham, Epping, Cranbourne. Average size is 300 sqm now, with 4 BR houses are to be built on max 450 sqm. Half acre or even 600 sqm plots are now history. I agree with you on IPs. Investors have made it impossible for average Joe Bloggs to own a house.
VicUrban policies are investor friendly and foreign friendly and are against 80% of the local population who have no choice but to be rent.

Phlanger

About 35% of the "local population" rent as opposed to about 67% who either own outright or are living in a mortgaged property according to ABS.

These are figures for occupied dwellings, not IPs.It can be inferred that a good many of the IPs are taken up by the rental sector.

According to a recent Age article - most of the land/property banking takes place in Toorak and Prahan - properties that are not likely to have an impact on the mass market anyway.

I've been throught the likes of Pakenham and Cranny, I'm aware of the McMansion densities and the shrinking backyards, but its still an inefficient use of space compared to European style townhouses. I use the "half acre plot" example to illustrate the Australian attachment to space hungry detached properties - but that's really a different argument.
.

Petals

One of the larger blocks up my road has been sold and they are going to build 14 dwellings on it, probably 3 acres not sure on the size. They will be town houses no doubt.

Will not bother us as the zoning changes and the road is blocked off.

A lot of Australians buy new homes for investment as well, had quite a few clients when I was working who did it. Also my daughter's friend builds on spec and sells.

Another friend lived in an upmarket block in the city for 12 years and has recently sold and moved back to Brighton as the demographic of the owners was changing and they were beginning to feel that the body corporate could not longer operate to the benefit of the resident owners. Who did they sell to Indian people who were resident overseas for a residence for their children whilst at Uni. It was not a cheap apartment six figures.

DownUnderPaddy

Dude, you need to let go on the Chinese thing. You are starting to come across as a touch racist/xenophobic !