From “Smart” Property Investment:
Ryan Crawford, founder of the Crawford property Group – the largest real estate group in the Pilbara – said recent national media attention on the Pilbara and its property market had given investors an inaccurate picture of what’s happening in the region.
He said many existing and prospective investors are now “spooked by claims that the mining boom is over and are seeing visions of potential ghost towns”.
Mr Crawford’s rebuttal comes after numerous commentators, including SQM Research’s managing director Louis Christopher, turned their attention to the region’s downturn and warned investors about the dangers of investing in mining towns.
…“The mining boom is not over, put simply, as the iron ore industry moves from the construction phase to the operations phase and commodity prices drop, so too have rents and home prices. A drop in prices in every marketplace is a natural part of the property cycle and is expected historically in these regions every four to five years. The benefit of these shorter cycle markets is that up-cycles and growth are just as frequent when projects commence and the market begins to improve again.”
Better get in before the rush!
