A selection of quotes about the Australian Property Crash being discussed from 2001…
From the Jenman website in 2001
Boom & Bust.
Since then the real estate market has continued to boom. Our real estate critics have laughed. You were wrong. The prices are still going up. ? Really? Then go back and read what we said. You’ll realise that it’s more dangerous than ever to be investing in real estate today. In most areas today ?? especially Sydney and Melbourne ?? property is overpriced. Its peak will probably turn out to be late 2001 to mid 2002, around the time we issued our first warnings.
From an article on the SBS:
PROPERTY BUBBLE PANEL DISCUSSION (September 22, 2002): RICHARD ACKLAND: Quite suddenly, everyone is being told that the current housing bubble is soon to pop. Maybe it has been a little slow in arriving, since housing prices in Australia have climbed 50% in the last five years in real terms, and nearly 20% in the last year. In Melbourne it has been more giddy, where the boom has pushed prices up 80% over the last five years. Adelaide 33%, Canberra 28%, Perth about 26% and Brisbane 20%. The gloomy old Commonwealth Bank has wagged its finger at people who have forgotten that price rises don’t always go on for ever.
Sydney Morning Herald, 30.1.2003
“The completion of another 4000 CBD apartments next financial year will flood an already oversupplied market, putting more pressure on prices”
“Prices of investment apartments in the inner city will fall 10% by 2006, after inflation”
The Age November 5, 2003
Australia’s bubble may burst, warn experts
Australia’s housing market has been identified as one of the most vulnerable in the world, with international bankers warning that rising interest rates could trigger a collapse in residential property prices.
Brisbane Property price discussions
What about all those [unfortunate people] who bought at the [B]top of the boom[/B] – on an investment of [B]$250,000[/B].
Did anyone think this capital growth could last forever?
House prices in freefall
I’ve changed my guidance from an expected 35% fall to a 40-45% fall over the next 5 years.