Property Investment

Does Property Value Double Every 10 Years?

The simple answer, is NO.

Based on the last 40 years data, property values tend to double every 20 years, and not 10 years.

But if you are lucky enough to buy grade A,B,C properties between 2007-2010 or 1988-1990, then yes your properties will double in less than 10 years.

I’ve been fortunate enough to buy alot of properties that double in values in just 3-4 years during the last property bull run, made me an accidental millionaire in the process.

This help paid for many overseas trip and allowed me to quit my 5-figure paying job and bought my dream car .

But looking at this data and once I understand the economic cycle, I knew I got lucky.

I’ve told this story during Road-To-3-Mil ( R3M ) and I’m not shy to admit this.

And for those who have attended, they will know that I don’t buy into the 10-year-property-sure-double idea.

So when you hear next time someone tells you property values sure double every 10 years, be wary as :

1. They never looked at the full data of 30-40 years, but relied on what they saw in the last 10 years only.

In the year 2000-2010, property values went up averagely at only 30%. In this case, they don’t know and pretty clueless.

2. A lot of people got really lucky in 2010-2014 bull run, and many properties doubled in values in that 5 years.

It’s dangerous to confuse luck with actual capabilities.

3. They most likely want to use this to sell you bad properties.

Grade D and Es. If you pay 100% above median and buy grade E properties, chances are you wont make money from that properties in the next 15-20 years.

4. They use this to justify bleeding 4-figure cashflow every month.

It’s okay to bleed, as capital gains will justify as properties “supposed” to double every 10 years.

5. Property bull run happens over 4-7 years ( 1991-1997 & 2010-2014) , and its 100% engineered by man-made policies or dominos.

There are 4 policies that can trigger a property bull run or even a bear run.

The ones who are aware what are the dominos, can predict if we will have a bear or bull run in the next 3-5 years.

Anyone keen to know what are the 4-domino’s that triggers property bull run or bear run?

If many of you wants to know ( comment “I WANT DOMINOS”), I’ll share this soon. 

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