Webinar Replay - Why Melbourne Makes More Sense Than Perth
Hotspotting
Want to get into a key market BEFORE prices start to take off? Feel that you may have missed the boat with media favourite Perth? In many ways, the answers to these questions are the essence of smart investing. Most property investors are herd animals, diving into markets when they read that prices have risen 15% or 20% in the past year – or 50% in the past three years. Buying in such a market means you are likely buying at – or after – the peak of the market. The smart money would have been there 2-3 years ago – and is now focused on places that are early in the growth cycle....
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Interviews with the 1% - Arjun Paliwal of InvestorKit
Hotspotting
Are you ready to take your investment journey to the next level? Look no further, because we have exciting news to share with you! We are thrilled to announce our new Hotspotting pre-recorded interviews with some of the top 1% of Australian investors who own 5 or more properties. As you may know, in the 2020-2021 financial year, only 0.87% of investors in Australia owned 5 or more investment properties. But what do these successful investors know that the majority don't? We have sat down with a number of them to get exclusive insights into their strategies, tips, and personal journeys. Our...
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Real Estate Influence on RBA
Hotspotting
Part of the obsession by economists with interest rates as the only thing that matters in the housing market is the notion that the Reserve Bank spends a large amount of time discussing the housing market before deciding what to do about interest rates. As with so many things, economists are wrong about that. One of the most popular definitions of insanity is doing the same thing over and over again, but expecting a different result. My own definition of insanity is the average Australian economist discussing real estate. In essence, those two definitions are essentially the same thing....
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First Home Buyer Activity
Hotspotting
If you tune into news media regularly, it’s easy to form the view that the prospect of young Australians buying real estate is remote, if not impossible. There are daily headlines telling us that it takes 10 or 15 years to save a deposit, or that most young Australians have given up on home ownership and that young adults are doomed to a life-time of renting. As is so often the case with mainstream media and their love of negative sensation, the reality is quite different. First home buyers are highly active in markets across Australia. But first, let’s look at some of headlines with which...
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Home Building Costs
Hotspotting
Want to know why housing affordability is so poor in this country? The answer, in simple terms, is because the cost of building new houses is so high – ridiculously, obscenely high. The cost of building the typical house in Australia has risen 53% in the past three years – and it now costs close to half a million dollars to build that home. And that’s just the cost of the house. It doesn’t include the price of the land. Who’s to blame for this situation? Primarily, overwhelmingly, it’s government. Politicians and bureaucrats. They keep...
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Regional vs. City Growth
Hotspotting
We’re constantly asked at Hotspotting whether it’s better to invest in the regions or the capital cities – and whether you get higher capital growth in the outer-ring suburbs of our cities or the so-called prime inner-city locations. Now, there’s no definitive answer to questions like that, because there are so many different scenarios to consider – and, at the end of the day, it comes down to the performance of individual local markets and you simply cannot generalise. But, based on the evidence of where the highest capital growth has occurred in the past four years, I would have to...
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Victorian Markets
Hotspotting
The smart money in real estate buys in key markets BEFORE prices start to take off. The essence of smart investing is NOT buying in over-heated markets like Perth but targeting locations that have the credentials for long-term growth but are currently at a low point in the cycle. And right now, the location that meets those criteria better than most is Victoria, particularly Melbourne. Most property investors are herd animals, diving into markets when they read that prices have risen 15% or 20% in the past year – or 50% in the past three years. Buying in such a market means you are likely...
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Interviews with the 1% - Matt Wilson
Hotspotting
Are you ready to take your investment journey to the next level? Look no further, because we have exciting news to share with you! We are thrilled to announce our new Hotspotting pre-recorded interviews with some of the top 1% of Australian investors who own 5 or more properties. As you may know, in the 2020-2021 financial year, only 0.87% of investors in Australia owned 5 or more investment properties. But what do these successful investors know that the majority don't? We have sat down with a number of them to get exclusive insights into their strategies, tips, and personal journeys. Our...
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How To Multiply Your Wealth With Subdivision
Hotspotting
Many Australians grow their wealth through passive investment in real estate: buy a property, install a tenant and wait for growth. There’s a better, and faster, way – without high risk. More and more investors are using development strategies to accelerate the wealth-creation process, with small subdivisions one of the most accessible and successful. Wealth mentor Brad Cassidy of The Kaizen Way teaches these strategies to investors across Australia, with notable results. Recently, our Hotspotting founder Terry Ryder hosted Brad on a webinar to discuss how to profit from small...
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Apartment Revolution in Real Estate
Hotspotting
At Hotspotting we’re always on the alert for evidence of CHANGE that will influence property markets. The great potential in residential real estate is that change is always happening, opening up new possibilities for growth. One of our catch-cries at Hotspotting is that THE PAST DOES NOT INFORM THE FUTURE. Poor performers of the recent past can become the nation’s leaders of the near future. One of the biggest trends we are tracking, under the general theme of change, is the rise and rise of apartments – challenging the dominant paradigm of real estate. That paradigm, still widely...
info_outlineSignificant changes have occurred in the Sydney property market in the early part of 2022, with a weakening at the top end of the market and a re-focus on locations and dwelling types that offer better affordability.
Most notable is the shift in focus to more affordable suburbs for houses and also an uplift in demand for locations with apartments at attractive prices.
There is strong buyer demand in precincts where houses are typically available in the price range from $900,000 to $1.5 million, and suburbs with median unit prices below the overall Sydney median of $830,000 (CoreLogic figures) – or, in some cases, slightly above it.
We expect this to be an ongoing feature of the Sydney market, with more buyers opting for apartments to achieve purchases in good locations at more affordable prices – in a city where the median house price is close to $1.5 million and many suburbs have median house prices above $1 million.
Against this backdrop, we have published our new edition of the Top 5 Sydney Hotspots report. It outlines five precincts which we think have good prospects for future capital growth in both the house and apartment markets.
https://www.hotspotting.com.au/product/top-5-sydney/