Pete Wargent blogspot

Co-founder & CEO of AllenWargent property buyer's agents, offices in Brisbane (Riverside) & Sydney (Martin Place), and CEO of WargentAdvisory (providing subscription analysis, reports & services to institutional clients).

4 x finance/investment author - 'Get a Financial Grip: a simple plan for financial freedom’ (2012) rated Top 10 finance books by Money Magazine & Dymocks.

"Unfortunately so much commentary is self-serving or sensationalist. Pete Wargent shines through with his clear, sober & dispassionate analysis of the housing market, which is so valuable. Pete drills into the facts & unlocks the details that others gloss over in their rush to get a headline. On housing Pete is a must read, must follow - he is one of the better property analysts in Australia" - Stephen Koukoulas, MD of Market Economics, former Senior Economics Adviser to Prime Minister Gillard.

"Pete Wargent is one of Australia's brightest financial minds - a must-follow for articulate, accurate & in-depth analysis." - David Scutt, Business Insider, leading Australian market analyst.

"I've been investing for over 40 years & read nearly every investment book ever written yet I still learned new concepts in his books. Pete Wargent is one of Australia's finest young financial commentators." - Michael Yardney, Australia's leading property expert, Amazon #1 best-selling author.

"The most knowledgeable person on Aussie real estate markets - Pete's work is great, loads of good data and charts, the most comprehensive analyst I follow in Australia. If you follow Australia, follow Pete Wargent" - Jonathan Tepper, Variant Perception, Global Macroeconomic Research, and author of the New York Times bestsellers 'End Game' and 'Code Red'.

"Pete's daily analysis is unputdownable" - Dr. Chris Caton, Chief Economist, BT Financial.

Thursday, 23 January 2014

Owning property in NSW - Sydney or south coast?

Better growth in the city, of course.

Take a look how my recommended strategy of owning 2 bedroom units in the inner-west is panning out. 

Asking prices are up by 34% over the last 3 years.

Of course, that particular ship has sailed, and buyers today should take care. 

I note that there is a real dearth of quality stock on the market - only 20,479 properties listed according to SQM Research.

To put that in perspective that is less than half of Melbourne's stock on market and even just three quarters of the number in Brisbane. 

In other words, parts of the Sydney market remain very tight indeed. 


Source SQM

Contrast this with the fortunes of yield-focussed investors who instead recommended investing out in the south coast region.

Very little upward pressure on prices in spite of generational low interest rates...in fact, prices have been pretty much stone dead flat. 

Supply tends to be looser on parts of the south coast and the demand for properties is inherently much lower than in the capital cities. 


Source: SQM

You can find the source data over in SQM's vendor sentiment index here