The Big Secret – The 18 Year Property Cycle

You probably have not heard of the 18 Year Property Cycle, right? Everyone knows about the 7-9 year cycle. Since the 1800’s in the older established economies like the US and UK, the property market has driven the economic cycle and it runs on an average 18 years. The last 3 cycles since the middle
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Residential oversupply leads to a switch to Commercial

When I asked a friend who is a developer 2 years ago, why they continue to build residential units in Parramatta when there is a massive shortage of commercial, the answer was rather simple. He said they could sell run of the mill residential units for $11,000 a square metre, while commercial would only fetch
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Important changes for depreciation affecting property investors

Important changes for depreciation affecting property investors. Purchasers of second hand properties including newly renovated properties will no longer be able to claim depreciation deductions for plant and equipment. For further details on the changes, click the link below https://www.bmtqs.com.au/documents/essential-depreciation-facts-2017-budget.pdf Share with a friend:
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Economists Explain Economy Crashes Every 18 Years

The U.S. economy has moved according to a set cycle for close to 200 years, and experts warn that if this pattern continues, we can expect another financial crisis starting this year, which will peak in 2019. https://www.theepochtimes.com/economists-explain-why-our-economy-crashes-every-18-years_2000510.html Share with a friend:
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Phillip J. Anderson Presenting on the 18 Year Property Cycle

We have always been big advocates of the 18-year property & economic cycle and the research and data insights by economist, Phillip J. Anderson. For those of you that haven’t read his book, “The Secret Life of Real Estate and Banking”, and find videos easier to digest, here is a recent presentation held in Australia
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Australian Property Market Update

The media is rife with the words ‘bubble’ to describe Sydney and to a lesser extent Melbourne’s property market. What many journalists, economists, real estate agents and investors don’t understand is the existence of the 18 Year Property Cycle. Most people recognise the 7-9 property and economic cycle, very few understand the real 18 cycle.
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Interstate Migration

Many property advisers are telling their clients that everyone is moving to Tasmania and that is the place to buy. What they fail to mention, is just as many are moving out. The net migration from interstate to Tasmania for year ended June 2016 was a measly 42 people! A great reason to invest there
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A Lesson in Supply and Demand – Wentworth Point vs. Newtown in Sydney

Selecting suburbs with superior capital growth potential is essential to pinpoint where the best opportunities are. You could’ve thrown a dart on a map of Sydney 5 years ago and bought where it landed and experienced capital growth. However, some suburbs have outperformed others. Supply and demand plays a major part. Wentworth Point in Sydney
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First Home Buyers Dry Up

According to Core Logic, there has been a drop in First Home Buyer participation in the property market, while there has been a surge in investor activity. The graph below clearly demonstrates this. Although this is a national trend, it has been accelerating since 1992, especially during periods of high growth where investors have been
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An Example of Limited Supply and High Demand – The Gap in Brisbane

A suburb we are targeting at the moment is The Gap in Brisbane, a leafy blue-chip residential suburb on the foothills of the Mt Coot-tha National forest and just 10kms from the Brisbane CBD. Why? It is best explained by an excerpt from an Urbis Research Report on the suburb: “The Gap’s shortage of new
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