Land Prices in Central Park - McCarthy Group Land Prices in Central Park - McCarthy Group

A few weeks ago our founder Stephen McCarthy visited the USA to take part in an international marketing conference. While he was there, Stephen recognised some similarities between the conditions in Australia and those of the States, past and present. This is the third of four articles that he wrote, this time about Land Prices in central Park. 

Did you know that Manhattan was actually bought from Native Americans in 1626 for around 1000 US Dollars?

It’s a fascinating thing to think about the value of land and how it has changed over the years. From early times when new lands were being discovered and conquered, to now where governments keep tight control over the land available for development. It’s interesting to think about how a few hundred years have completely changed the way we deal with property.

Old brownstone apartment building in Manhattan, New york city

A beautiful old home in New York City, how has it changed since it was built?

but let’s think more about the present day. Where does Australia stand in terms of land price in comparison to here in New York? Firstly let’s go to the extremes, the most expensive suburb in Sydney is Point Piper with a median house price of 4.82 million dollars. Compare this with SoHo, the most expensive suburb in New York at just under 5.7 million dollars.

It is actually quite interesting to note than even an economic giant like the US (and its centrepiece, New York City) isn’t really all that far ahead of Sydney. If we take it down to a more reasonable level, the median house price in Sydney is 1 million dollars, compared to 715,000 dollars in New York. We are actually relatively higher than even New York City!

ghgh

Then again, maybe it’s not so surprising looking at this stunning home in Point Piper. Photo courtesy of Domain.com.au

Admittedly factors like supply and demand, income disparity and a huge population with significant poor areas do drive down that median price, but isn’t it incredible that we in Australia have one of the highest dollar prices on property?

What is more interesting for us as property investors is that if we stop taking a micro view on Australia’s property market and expand our view to the rest of the country, property is actually quite reasonable in other capital cities. Take for example, Cairns the capital of Queensland. The median price is under half of that of Sydney, at 430,000 dollars.

Aerial view of Cairns North Queensland.  australia

An aerial view of Cairns, North Queensland. Wouldn’t you want to be a part of this community?

Now let’s just consider the Australian property market on the whole. Just like the United States have numerous states of significant capital city value, should Australia not be the same? we can begin to see Melbourne creeping ever higher in terms of land value, but what about the other cities lagging behind?

we believe that these areas are now the best places to invest. The prices are still very low and there is so much growth undoubtedly coming in the future, so why are people not investing?

If you want to think about your financial future then give us a call at McCarthy Group on 1300 850 318.

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Kind Regards,

Stephen McCarthy
CEO McCarthy Group