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RE: Dark Clouds Are Looming – Australian Property Market Update for the Week Ending 25 June 2017

in #realestate7 years ago

These prices are out of this world and the fact that the one girl would have been ok with $850,000 3 months ago and got $1,000,000. That is nuts!!!!!
Tucson real estate went up 8.9% last month but I don't expect results like that. Jeezzzzzzz

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It has been some crazy growth, although this girl probably underestimated what she could have sold the property for several months ago. Believe it or not, the buyer paid $1m to rent it out for about $2500 per month. About a 3% gross yield.

Hahahhaha, That is terrible. Has anyone ever told them about something called inflation?
I guess if their main play is capital appreciation they think they are going to rent it out and then resell it for a lot more but I just expect a lot of these people to get blown out of the water.

Good point about inflation. But as you say, when you assume infinite annual 12% growth, who cares?

"assume" is the key word. Hahahah

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