The housing market has been hit hard by a series of cash rate increases, with new home sales plummeting as buyers struggle to afford the higher borrowing costs. In fact, according to HIA’s Chief Economist, Tim Reardon, “sales of new homes fell again in January, down by 12.8 per cent for the month, leaving sales…
Homeowners in Melbourne’s outer suburbs are the most financially stressed across Victoria, with around 500 households at risk of falling behind on their mortgage, credit bureau Illion predicts. The data shows that as of January, 67% of home loans in Victoria were more than 30 days overdue, which Illion predicts will rise to 70% thanks…
Tax isn’t necessarily a bad thing. If you’re paying tax, it means that you are making money (income or capital gains). But of course, there’s no need to pay any more than you legally have to. I discuss our common-sense approach to saving tax below. Minimising risk is often more important than saving on tax…
Last week, a prospective client asked me a very good question. They asked whether I have data that shows what investment returns my clients have generated. Whilst this sounds like a logical question, my response was that not only did I not have this data, but it also wouldn’t necessarily be that useful. The reason…
While property price falls have been capturing widespread media attention, it is crucial for buyers, sellers, and owners to contextualize these figures. So let’s start by looking at what has actually happened to property prices. Of course the decrease in borrowing capacities caused by increasing interest rates has impacted home values, leading to a consistent…
Tight supply, rising interest rates, and reduced borrowing capacity dampened Australia’s property market in 2022, with prices falling from their pandemic-induced peaks. Prospective sellers have been sitting on the sidelines, delaying decisions to see how high inflation and rising interest rates will affect the market. But Domain’s latest house price report shows that while property…
There’s a lot of media as to where our housing market is headed. In my opinion, whilst much of the current slide in median values is due to a slowdown at the upper end of the housing market, this market has a big future. Here are five reasons why: 1. Current sales activity Table 1…
Both the Fairfax newspapers and The Australian ran pieces on the prudential regulator and lending settings, following a media interview with the APRA Chair. The gist running through several media articles was that mortgage arrears remain low for now, and the 3 percentage points lending assessment buffer introduced in October 2021 remains in place for the…
There is nothing quite as exciting as buying your first home. Homeownership has become a rite of passage in Australia – a marker that you are successfully moving into a new phase of life. But part of the reason it’s so satisfying is that there are challenges to be overcome as a first homebuyer –…
There is always a lot of attention on Sydney and Melbourne’s affluent areas and property markets, but what about the wealthy Australians in Brisbane? Where do they live? Unfortunately, Queensland postcodes didn’t feature on the ATO’s recent top 10 suburbs rich list. However, there is an abundance of wealthy residents and high-priced properties, so with the…
