Archive for the ‘Finance’ Category

Apps to Help you Save Money!

Saving for a house deposit is certainly not easy, particularly in an environment of rising property prices and low wage growth; budgeting is a ‘must’ and there are various ways of doing this from the old-fashioned writing down a checklist or setting up a spreadsheet…and now there are also a number of apps available to assist you to save.

Quite a lot have emerged in recent years, and each adopt a … Read the full post »

Still a Seller’s Market!

Despite the disruption the global pandemic continues to inflict on freedoms and the economy, the Australian property market is still going gangbusters, with home sales continuing to outpace new listings.

According to CoreLogic, the sales-to-new listings ratio hit 1.4 over the three months to July, meaning that for each dwelling added to the market, more than one gets sold.  This ratio has trended ever since June 2020 when the Federal Government … Read the full post »

How Much Equity is in Your Property?

As a property owner, do you know how much equity you have in your property(s) in the current market? Equity changes as market conditions change, and right now in such a booming market, it’s highly likely your equity has risen.

What is equity?

Equity is the amount that you actually own outright of your property; sitting between what you owe and what your property is worth.  Effectively, it is the amount of … Read the full post »

Long-Term Rates on the Rise

Although the official cash rate remains at historic lows, and the Reserve Bank is not expected to lift interest rates until 2024, some of the major banks have started to raise their long-term fixed-interest rates, with the Commonwealth Bank (CBA), being the latest.

Further hikes expected later this year suggest we could see a tide turning on Australia’s interest rates.  The cost of long-term money for the banks is rising meaning … Read the full post »

Investors Flooding the Market!

The Australian Bureau of Statistics (ABS) reports indicate that investors are now well and truly back in the property market in large numbers; with March figures demonstrating that the value of national investor lending seasonally adjusted by 12.7% over March to $7.8 billion dollars, the highest monthly total recorded since August 2017.

All states recorded increases in investor activity over March – led by QLD up by 19.0% and followed by … Read the full post »

The Federal Budget & The Property Market

Last Tuesday Federal Treasurer Josh Frydenberg delivered the annual budget; a big-spending, jobs-focused budget which contained help for single parents and first home buyers to enter the property market, partially by encouragement incentives for Australians nearing retirement to downsize their homes, in order to free up more housing for younger families and help more people into home ownership.

Those aged over 60 will be allowed to contribute up to $300,000 into … Read the full post »

First Home Buyers & Possible Lending Restrictions

According to leading industry experts, it will be first home buyers amongst the hardest hit if APRA (Australian Prudential Regulation Authority) responds to growing pressure to limit home lending, as fears are being raised about buyers extending themselves beyond reasonable limits in this environment of a booming market.

Throughout the nation, almost every market has experienced a significant spike in activity since the end of 2020, with home values rising at … Read the full post »

Possible Changes to Lending Laws

The federal government is currently weighing up proposed changes to responsible lending laws, that could see a relaxation in credit terms, as part of the recovery from the financial devastation of COVID19.

If the amendments are passed, loan approvals for investors should become more streamlined; making access to credit more effortless than it has been in the past; particularly after the tightening up post-GFC (Global Financial Crisis), and further down the … Read the full post »

Growing Wealth Through Property

The path to financial prosperity is not always straightforward, cheap, or easy; however, it is widely acknowledged and consistently proven over time, that one of the most solid ways to build wealth is through property acquisition.

Outlined below are a few key steps to consider when building a property portfolio:

Goal Setting:  this is a fundamental first step.  What do you want to achieve (for example early retirement)? What is your timeline? … Read the full post »

New Loan Commitments Continue to Grow

Despite the pandemic still hanging around creating intermittent havoc, the Australian property market remains resilient, continuing to break records and defying the logical premise of instability one would have predicted when the COVID lockdowns commenced in 2020.

The latest information from CoreLogic, sourced from the Australian Bureau of Statistics (ABS) – reveals the total value of new loan commitments for housing grew for the seventh consecutive month and shows no sign … Read the full post »

Property Terminology 101 – Part II

Following on from last week, here is Property Terminology Part II, aiming to provide a simple and clear definition of property terms you may come across from time to time.

Strata Title: The formal ownership of a property within a strata plan where the property is defined within horizontal and vertical boundaries, and proprietors have joint rights over the land and common areas.

Company Title:  The building and land are owned by … Read the full post »

Property Terminology 101

As property professionals we regularly use specific terminology in our communications, often without spelling out what these terms mean, coming from a place of assumption that people just ‘know’.   However, feedback indicates this is not always the case, so over the next two newsletters we have outlined a simple breakdown of some of the most common terms used in the context of real estate.

Appraisal:  An estimate of a property’s market … Read the full post »

Next Entries »