Sydney to power ahead of poor mining locations
Interesting how quickly things change.
Only a little over two years ago my predictions of a Sydney property boom were very much out of favour because I'd neglected to note the fortunes of Gladstone, Port Hedland, Moranbah, Karratha, the Hunter Valley etc etc.
Unfortunately for those favouring mining towns those property markets have been crashing all over the place.
I haven't been up to Gladstone for a couple of years and I'm not really qualified to comment, but the prognosis is for a crash.
Although coal jobs are being cut all over the shop, Newcastle and the Hunter Valley are unlikely to be the worst hit areas, because they do have an element of employment diversity.
I expect Emerald will be the next of the small town property hotspot recommendations from 2013 to implode as mining workers relocate back to Brisbane.
From The Australian:
"Blake Graham is uneasy about the changing nature of his home town of Emerald in central Queensland, now the coalmining boom has bust.
Motel owners used to full occupancy and high rates are going broke by the week, with rooms only 30 per cent full at a lowly $89 a night.
Sydney's market goes from strength to strength with a massive and "irresistible" 85.5 percent preliminary clearance rate on Saturday.
This is the second highest preliminary clearance rate on record.