Just What, Exactly, Is Australia Building?

Just What, Exactly, Is Australia Building?

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Well if you reside in NSW, you’d be excused for shaking your head in total disbelief. Not a case of where did they get the money for that? Rather, why is there no money for that? Public transport better in Mumbai than Sydney: PwC report Sydney ranks number four on the list of ‘worst major cities in the world for public transport’. Yet, Sydney the second most expensive city in the world which all sounds a bit rich (no pun intended) and for the record, Tokyo is the most expensive city in the world. If you look closely at NSW infrastructure, the general rule of thumb is that it is now twenty years behind best practice. So where then did all those billions of tax dollars go?

Housing shortage in NSW to reach 140,000 in four years which would explain statistics that show 30 percent of NSW dwellings are now rented. This just happens to be the highest recorded figure since 1958. Figures from RP Data show new rental listings dropped from 45,365 in the four weeks ending September 9 to 34,591 in the four weeks ending October 7. Rental listings down in every state in past month: RP Data NSW dropped from 12,390 to 9,018 – the figure was 11,560 this time last year.

Let’s be honest here – governments are not that smart. It’s almost impossible to entice property developers in NSW, when Mumbai offers better transport than NSW. Whilst Sydney on top of the property rich list with 19 of Australia’s most expensive 25 suburbs that don’t really rely on public transport. It should be noted that the federal government (in pursuit of a one – off surplus) which is scary, given Canberra’s big balancing act could hit negative gearing. Should this happen and investors bail, our rents will skyrocket. Real estate markets need investors as do the third of Australians who are currently in rental accommodation.

BUY PRINT

Housing demand on the rise as population growth at highest rate in three years: Tim Lawless which is a compound property dilemma considering our record low interest rates will (not could) create a ‘mini-Sydney’ property boom. Rents are escalating at the highest rate and that in turn, drives new purchasers into the marketplace – even though they may not want to be there. Adding air to a housing bubble. Forget the Global Financial Crisis. The ineptitude of Australian governments could well deliver a recession identical to that of the early 1990’s.

Two graphs I grabbed this week identify the problems Australia faces.

The Mosman housing market is going from strength to strength and Mosman houses today, are 22 percent down on the numbers offered this week last year. I predict that over the coming weeks, this figure will climb as high as 40 percent. Heaven forbid: after years of that horrible GFC, we are now seeing a vendors’ market for houses. Who would have thought?

Source: Domain Property Monitors

    MOSMAN – 2088

    • Number of houses on the market last week– 119
    • Number of houses on the market this week – 115
    • Number of houses on the market this time 2011 – 147
    • Number of apartments on the market last week – 102
    • Number of apartments on the market this week – 104
    • Number of apartments on the market this time 2011 – 100

    CREMORNE – 2090

    • Number of houses on the market last week– 15
    • Number of houses on the market this week – 14
    • Number of houses on the market this time 2011 – 15
    • Number of apartments on the market last week – 25
    • Number of apartments on the market this week – 22
    • Number of apartments on the market this time 2011 – 39

    NEUTRAL BAY – 2089

    • Number of houses on the market last week – 14
    • Number of houses on the market this week – 18
    • Number of houses on the market this time 2011 – 15
    • Number of apartments on the market last week – 43
    • Number of apartments on the market this week – 65
    • Number of apartments on the market this time 2011 – 87

    For this week’s sales in Cremorne real estate, Cremorne Point real estate, Mosman real estate, Beauty Point real estate, Clifton Gardens real estate, Balmoral real estate, Neutral Bay real estate, Cammeray real estate.
    • Click Here

    For this week’s open for inspections
    • Click Here


Take a moment to look at this graph. It is a map of our future and exactly how we see the future. Why Apple is making an iPad mini – Quite simple – its tablet market share in the USA fell by 29 points in the past year. In 2011, 81 percent of tablet computers owned in the USA were Apple iPads. In 2012, this number fell to just 52 percent.

Google shaking Apple to the core which is great given high tech companies are raking in the profits whilst driving competition.Australian governments are drowning thanks to pork – barrelling and a dork mentality to seeking re-election.

I may be missing something with this week’s blog: Why is Australia spending $55 billion with the NBN Co – where the Global Internet Device Sales identify the opposite trend?

In Australia, the global financial crisis was inherited, yet, it could be suggested that Australian governments are creating our very own crisis. We keep hearing “Building a better Australia” – I for one am mystified. What exactly are we attempting to build?

Cheers ^__^

One Response to “Just What, Exactly, Is Australia Building?”

  • Ann says:

    Hi Robert,

    Could not agree with you more on the Global Internet Device Sales comment.

    Also, the people who rated Mumbai over Sydney in public transport, cannot have gone to Mumbai in the last 150 years. They must be joking.

    Yes public transport can always improve, but depending on where you live its not that bad now.

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