I recently heard of an approach to assessing whether we are at the bottom of a property cycle -- by comparing selling price/sqm of buildings with replacement cost/sqm (that means building cost/sqm?). The logic goes like this. If the selling price is close to the building cost, that means no one is bidding up the price. Therefore, there is no boom yet and so is a good time to buy.
Have you heard of such approach?
Also, where can I get the building cost figures?
Have you heard of such approach?
Also, where can I get the building cost figures?
Comment