Lies, Damn Lies & Statistics
In an age where we can get more and more information about property prices and statistics buyers are falsely believing this is the same as knowledge about the property market
Blogger: Darren Standish, Property Prosperity
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I recently read an article from Andrew Winter the host of Selling Houses Australia where he talked about how there is an overwhelming amount of news and information that bombards us about the housing market this may unwittingly be the opposite of reality.
It is important to understand that there are markets within markets and unless the statistics consider your exact suburb, or area, your property type and the era you purchased it then the numbers may be meaningless.
It is important to remember that markets are not purely state or city driven. They can be suburb by suburb and in some cases even one suburb can display a number of micro markets within it.
Andrew used the example where "one mining boom town may offer the perfect buying conditions, while the one 250 km down the road may not. And yet they are still both mining towns and in the same state, but real estate wise they could be chalk and cheese".
Although property data is extremely useful it must be understood that it can only be used as a general guide unless you fully understand the context that the data is collected.
The conflicts between the data and what is really happening can be frustrating however it should be looked at as an opportunity.
If you understand the market more than the statistics show then you have the potential to set the market not just follow its lead.
About Darren Standish
Darren Standish established Property Prosperity in 2004 initially as a property development company, however after repeated requests for assistance the business evolved into a development consulting business.
Property Prosperity was initially focused on assisting clients with subdivisions and negotiating with councils to ensure that clients maximized their return on investment. Over the years additional services were gradually added to ensure the development process was as seamless as possible for its clients. We expanded into offering individually tailored finance solutions and then added Property Development Analysis, Property Sales and a Builder Broker Services.
Darren is the overachiever of the team and has more qualifications than your average university graduate. As well as completing a Bachelor in Economics, Bachelor in Commerce and post graduate in Accounting he subsequently went on to complete a Diploma in Financial Service, Diploma in Real Estate and Certificate IV in Building. He is a qualified Certified Practicing Accountant (CPA), a licensed Real Estate Agent, licensed Mortgage Broker and holds a Builders License.
