Property Movements

There are conflicting reports in the papers about Sydney house sales, following the reduction in first home owner grant, rising interest rates, and what looks to be a surge in shares. All three could result in investors moving out of property, the question is, has that happened? One report from the weekend was of a new four bedroom residence sold recently for $1.6, nine months after it was bought, with a knockdown house on it, for $685,000. Whatever they spent on the new house, they must have made a tidy profit! But does this represent a "typical" case, or a once-off? You need to know the property had been on offer for six months at $799,000, so clearly was sold at the depths of the financial crisis by someone who either needed to sell, or doubted things would ever improve.