Digital Finance Analytics (DFA) Blog
"Intelligent Insight"
Talking about average home price growth is rarely helpful, it is important to get granular. So CoreLogic’s post on real home price growth by major centres is very helpful because it corrects growth for inflation. Their analysis shows that real home values are now more than 20% lower than their peak in Perth and Darwin, … Continue reading “Real Home Value Growth Varies Significantly”
From Domain.com.au Despite efforts to cool the property market, Sydney house prices have run away yet again, growing at their strongest rate in over a year. The harbour city’s median house price is now at a record $1,068,303, after a 2.7 per cent jump over the September quarter, Domain Group data released on Thursday found. This has seen some … Continue reading “Home Prices Rise Again (In Places)”
From Mortgage Professional Australia. Australia approached zero like an out-of-control spender. A cash rate cut here, a cut there, and everyone benefited (if you ignore first home buyers, savers and many others, of course). In August the RBA announced another cut, and giddy brokers prepared themselves for another housing boom, but like an obstinate ATM … Continue reading “Is competing on rate no longer an option?”
The HIA-CoreLogic Residential Land Report for the June 2016 quarter has just been published by the Housing Industry Association, and CoreLogic. The Residential Land Report offers a comprehensive review of quarterly sales activity and price trends in 41 regional and six capital city markets across Australia. During the June 2016 quarter, land transactions experienced the … Continue reading “Land Prices Push Higher”
From The Conversation. Those looking to get a piece of the Australian dream of buying a home are still falling victim to the shadow property market of rent-to-buy deals, a new report shows. In a typical rent-to-buy deal, the buyer agrees to an inflated property price, then pays market rent (or above), an “option fee” … Continue reading “Eager homebuyers still falling victim to shadowy rent-to-buy deals”
From The Conversation. Since settlement, Australian cities have been shaped and reshaped by history, infrastructure, natural landscapes and – importantly – policy. So, have our cities changed much in the last 30 years? Have consolidation policies had any effect? Have we contained sprawl? Yes, probably and maybe, according to our newly published research. Reviving the … Continue reading “Density, sprawl, growth: how Australian cities have changed in the last 30 years”
From The St Louis Fed On The Economy Blog. A few key economic indicators may give some forecasters reason to think a recession is on the horizon. But when put into historical context, it seems that the economy is still expanding heading into the last half of the year. On July 29, the Bureau of … Continue reading “Are Key Investment Indicators Signaling a Recession?”
The ANZ Property Council Survey was released last week and it has found that confidence is at its lowest level in over three years. This is the largest sentiment survey of its kind with almost 1,600 respondents. The survey canvassed the views of businesses in the property sector – including, owners, developers, agents, managers, consultants … Continue reading “Property Sentiment is at its Lowest Level in Over Three Years”
From The Conversation. In the current housing tax debate a number of studies have come out arguing that while prices will fall (by varying amounts) rents will not be affected. That rents will be unaffected is surprising and (in my view) wrong. Outside of the heat of an election, the Henry Tax Review’s comprehensive review … Continue reading “Why rents will rise under Labor’s negative gearing proposal”
From CoreLogic. Utilising quarterly household income data from the Australian National University, CoreLogic has developed quarterly measurements of the ratio of property prices to annual household income. This data is extremely valuable when looking to measure housing affordability. The measure is available at a number of different geographies from SA2 regions (generally about the size … Continue reading “Property price to income ratio is rising in Sydney, Melbourne and Canberra”