There are more interesting articles, commentaries and analyst reports on the Web every week than anyone could read in a month.
Each Saturday morning I like to share some of the ones I’ve read during the week.
Enjoy your weekend…and please forward to your friends by clicking a social link buttons on the left.
Are You Above Average?
Farnham Street writes:
It’s a fact: 80% of people tend to think they are above average. Until now, few people have ever questioned why?
What happens is that we evaluate others based on their average performance and ourselves based on our best performance.
What will decrease your properties value? | Have you missed the boat this property cycle? | A great deal isn’t all about price
Another great Real Estate Talk show produced by Kevin Turner. If you don’t already subscribe to this excellent weekly Internet based radio show.
Details of this week’s show:
Cate Bakos tells us how this new generation is going about building wealth through property
Shannon Davis gives us 7 factors that you should watch out for if you are buying
Gavin Hulcome shares some wisdom on how to calculate what a developer should pay for your development site
Chasing the dragon of foreign investment
Your Investment Property Magazine writes:
After China further relaxed restrictions around investment in overseas markets last week, controversial Chinese investment in Australian property is expected to accelerate, which has the industry divided.
Simon Smith, a Hong-Kong based research senior for Savills – a leading global real estate service provider – told the Australian Financial Review that the recent relaxation of restrictions may cause an influx of more foreign investment and is “something to watch”.
The current regulation states that foreign investors can only invest in new dwellings, which would stimulate more housing supply. Instead, many foreign investors are investing in established dwellings – without permission or prosecution – putting upwards pressure on property prices.
The largest penalty fee that can be imposed is about $85,000. We have been told by many witnesses that that is simply seen as the cost of doing business.
Home buyers battle for fewer properties
The Sydney Morning Herald explains that home hunters are battling for fewer properties as the traditional spring market heats up, putting the property market on a collision course with booming population growth in some states.
A survey by RP Data shows that the number of properties listed for sale in all capital cities, excluding Perth, is 11.6 per cent lower than in September 2013, based on total listings. On a national basis, the 207,371 properties listed is 6.5 per cent lower than at the same time in 2013.
In the capitals, the fall was driven by double-digit drops in the number of listings in Sydney, Melbourne and Adelaide over the year.
If there’s a housing shortage, where’s the rental growth?
Terry Ryder asks in Property Observer – if there’s a housing shortage where is the rental growth?
The latest Rental Report from Domain Group records virtually no rental growth in the capital cities in the September quarter. And, in annual terms, rental performance ranges from weak to nothing to negative.
If you believe the constant rhetoric from the developer lobby, Sydney has the nation’s most serious shortage of housing – yet in the September Quarter the median rent for houses did not change and the median rent for apartments fell 1%.
In annual terms, house rents in Sydney have grown a meagre 2% and apartments rents 3.1%. The position in all the other capital cities is weaker than that.
Perth’s rents have dropped around 6% in annual terms for both houses and apartments. In Canberra, the median rent for apartments is down 5% and for houses it’s dropped 2.7%.
Darwin is down 2.9% (houses) and 1.8% (apartments).
Overall it’s a very pallid performance and one that’s inconsistent with claims of “a chronic housing shortage crisis”
Bill Gates on the importance of inequality
Bill Gates writes about the forces of wealth inequality in the world. He says:
Imagine three types of wealthy people.
One guy is putting his capital into building his business. Then there’s a woman who’s giving most of her wealth to charity. A third person is mostly consuming, spending a lot of money on things like a yacht and plane.
While it’s true that the wealth of all three people is contributing to inequality, I would argue that the first two are delivering more value to society than the third.
Weekend video: A small tour bus in Northern Pakistan
Please let me know how many tickets to send you and when you will be going ……( I’m pretty sure I’ll be too busy to go with you this time thanks )
Blogs you may have missed this week:
If you didn’t have a chance to read my daily blog, here’s a list of some of the blogs you missed this week: