Equity before you even start sothat's what we're fearful of guys house valuations perth we'reconservative advisors we're conservativeeducators we want to make sure that youfeel very comfortable that your assetsgoing to hold up and there's nothingworse than being in that market so youknow getting back to the point of themessages of you know buyingcounter-cyclical so so what we do brassyeah well I think half of it is to betake advantage of people seeing itbecause in the moments hard to see and Ithink getting caught up in that termthat faux moto energy is hard to get outof I remember you know back in chiremember the exact date when Perth wasflying over did you know year and thirty-seven percent the nextand people were doing incredibly well inthat market but I remember seeing a ladywho come into the office I was actuallyin Brisbane i was living in Brisbane atthe time and she came into the officeand it looked like the all the colorbeen taking out of her face and what shehad done is at prior to that boom she'dnever been a property investor beforeand then thought property investing wasreally easy because all you needed to dois put your name on a title and you justmade a fortune overnight but as themarket came off a bit and she had all onpaper she was worth a lot in terms ofequity but was didn't really have enoughof the four pillars of mastery coveredlike what we talked about previouslygetting the fundamentals right and notunderstanding cash flow management sheshe effectively was coming to talk to mebecause she was about the whole thingwas about to collapse because her bufferwas about to run out in about three orfour months time and so it's all welland good to be able to hold theseproperties on paper but if you don'thave the cash flow to hold them throughwhen when the tide does change it can beyourself in all sorts of workyou do and and.
There was Valuation go all right where Isigning off yeah so one of the basket ball nations West Coast Valuers I thought I'll go toone of the basketball nation SerbianSerbian Serbian so I'm gonna know I'mgoing to watch this one I talk and tellyou this one's a beauty why stop now ifyou want I can watch the videos allright I'll better get us out of herebecause we run a HEPA time Judy more saycool there you go folks sounds like oneof the ones we heard before based onthat that's slang less Japanese almostcoming out but we've enjoyed deliveringthe the biggest risks you this weekand we look forward to seeing you nextweek it I know we're gonna do it nextweek but we always do everywhere you'llbe great and everyone feel theanticipation do anything but until nextweek then oh but the more say so cool socool so cool yeah I folks I'm not surethat I was Cassie says but one thing'sone thing very situation our show is we will see you next week see my study ballhey guys Conrad Bobby Lake here CEO ofinvestors prime real estate.
Home altar ofAustralian property funds made simpleI've made a really cool video foot foryou today talking about valuations andmore specifically timing of the marketand also when you should be focusingyour energy on doing valuations and whenyou should be focusing your energy onacquiring new properties let me give youa very simplistic overview of theproperty market in terms of its cyclicalnature so if you look at the propertymarket over a long period of time let'ssay ten years what we tend to find is acyclical nature of the market well overten years for the touch houses innorthern Sydney we've seen about tenpercent growth here now in Melbourne outof suburbs only half of them havedoubled in the last ten years the otherone the other half hasn't doubled sojust because you're in propertyinvesting in front of guarantee themebut if you pick the best areas and inMelbourne I think those top suburbsalways do a ten to twelve percent growthyou'll get your ten percent growthhowever the ma.
Productof lower rents and substantially higherdwelling values has been furthercompression in the rental yield thetechnical capital city house is nowreturning a gross rental yield ofthree-point-one percent and units areshowing an average gross yield which isslightly higher at . percent yield tofollow most substantially across themarkets where capital gains have beenthe highest in Sydney and Melbourne theaverage gross yield on a house in bothcities is now two point eight percenthowever with steep falls in Darwin unitvalues the capital city of the top endis now showing the lowest gross rentalyields four units at three point sixpercent although Sydney isn't far behinda three point eight percent with rentsshowing no signs of accelerating higherand dwelling values still trendingupwards the likelihood is that rentalyields will continue to reduce to newrecord lows over.
Evaluation ket itself goes up anddown there's the reaction or low and anemotional high now if you look at thateven further if you look at option clearage which is probably the best way tomeasure consumer sentiment in the marketand immobile in Sydney especiallymajority of www.valuationsqld.com.au the blue-chip properties aresold at auction and really if you lookat auction clean race it's simply apercentage of properties that have beensold at an auction that particularweekend so when people say there's aninety percent oxygen clear rate thatweekend it simply means personalproperties were sold and temperaturewill pass in now that figure doesn'tcapture the tempest it passed in thatwould then resold gone sold on thefollowing day or the following weekhowever it is still a good indicator ofwhether markets at the highest that I'veseen and this is let's say this is onehundred percent oxygen current rateswhich.