National Australia Bank expects Reserve Bank to raise rates twice by Christmas
07 September 2009
NATIONAL Australia Bank (NAB) says it expects the Reserve Bank of Australia (RBA) to increase official interest rates once or twice before the end of the year. The RBA earlier this month decided to keep the benchmark cash rate at 3.0 per cent, a 49-year low reached after a cut in April. At the time, RBA governor Glenn Stevens said the "accommodative setting" of mone... read news item »
Housing prices set to soar
06 September 2009
AUSTRALIA could be heading for another rampant house-price boom, fuelled by cashed-up superannuation investors exploiting generous government concessions. While the Treasury is trying to dampen demand by winding back the First Home Owner Grant at the end of this month, a little-known rule change made before the financial crisis began is enabling thousands of super savers to use fun... read news item »
Banks tighten credit to first-home buyers
17 August 2009
Six of the country's nine banks have tightened the amount of money they are prepared to lend to first-home buyers in a response to claims that the Federal Government's cash handouts to the housing market are causing a bubble in prices. The lower limits came into effect four months ago and cover the period in which the first-home buyers' grants for new and existing properties amounting to $2... read news item »
Deadline looms for home grants
12 August 2009
Where is it going to? The grant isn't going anywhere but it is being reduced to normal levels from October 1. First-home owners who sign a contract to buy a home from that date will receive an extra $3500 instead of the current $7000 and those who buy a new home will be eligible for an extra $7000 instead of $14,000. After December 31, the First Home Owners Boost will stop and first-home buye... read news item »
RBA stays put as rate cut hopes culled
04 August 2009
The Reserve Bank has kept interest rates on hold for a fourth month as the central bank's more neutral stance all but ends hopes of further cuts. The cash rate remains at its near 50-year low of 3 per cent after the central bank's monthly board meeting. The outcome matched economists' expectations, while the accompanying statement suggested to some that the RBA may sit tight for months to co... read news item »
Home sales surge back
02 August 2009
THE Sydney property market is officially out of the doldrums, housing indicators show and in a trend not seen for over a decade, unit values are rising faster than free-standing homes. And in a trend not seen for over a decade, unit values are rising faster than free-standing homes, driven mostly by investors attracted by higher rental yields and affordability. Residex fig... read news item »
The tide turns for investors
18 July 2009
Since the onset of the Global Financial Crisis investment in Australia’s residential markets has seen a lacklustre performance where investors have been somewhat thin on the ground - however investors are starting to venture back into property on the back of strong rental yields and an overall improvement in confidence. One of the most useful ways to understand the ratio of owner ... read news item »
Industry Market Wrap
17 July 2009
Recent data releases have continued to paint the domestic economy and residential property market in a relatively positive light. Consumer confidence has remained in positive territory the last two months, unemployment figures are lower than most expected, housing finance commitments continue to trend upwards and interest rates have remained at 45 year lows. Additionally, auction clearance rates ... read news item »
RBA cash rate on hold yet again
07 July 2009
The cash rate remains on hold at 3.00%. The RBA appears to be firmly in a hold rates steady stance at present, ready to lower rates further if unemployment starts to escalate, or raise over the longer term if inflation starts to re-emerge. Rates remain very low in historical terms. Where will mortgage interest rates go from here? Good question, difficult answer. I spent a... read news item »
Reserve Bank keeps rates at three per cent
02 June 2009
THE Reserve Bank has decided to leave interest rates unchanged at 3 per cent at its monthly board meeting today. The decision to keep rates at a 45-year low was widely expected by economists, who say there's still a chance of more rate cuts towards the end of the year. In a statement released this afternoon, Reserve Bank governor Glenn Stevens said there was evidence emerging the global econ... read news item »