Quote:
Originally Posted by sonofsam
What do you do when the market is too hot? I feel like all properties are extremely overpriced here currently. Is it better to stay out when it's red hot, or do you still buy/renovate/sell in these market conditions?
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Best to ask those investing in your local market.
Interest rates are going to go up and I'd guess quiet sharply with Trump policies in place in the USA.
USA is spending a lot of money they don't have, and about to blow another trillion.. while reducing tax income ^^ and that's all being done in the hope that big business go further into debt, to grow and increase jobs. And that's all being done when the very regulations to prevent another crash are being rolled back. What all this does is sucks a huge chunk of cash out of the international money industry.. which in itself raises interest rates before any other variables come in to play.
Its fiscal insanity.. but its not going to play out in 6 months, 24 and it will be biting.
The good news is most countries from what I see upgraded their own banking protections after the last crash and most have become less dependant on the USA, so this time around they fall on their own sword... mostly.
Keeping all that in mind, 2018 for me will be about paying down debt, but I'll still pick up a bargin if I see it, Sydney property market has been ballistic for the past 20 years, I can't see that changing much but certainly can see it stalling.