Digital Finance Analytics (DFA) Blog
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From The New Daily. Sydney’s deflating house prices have dragged the property market down across the entire country, in the most conclusive sign yet that the boom is over, figures from CoreLogic have revealed. For the month of October – traditionally a bumper month for property sales – average house prices across Australia’s capital cities posted no … Continue reading “Australia’s property market growth comes to a halt”
The latest NAB Residential Property Index is out, and it rose 6 points to +20 in Q3, with sentiment (based on current prices and rents) improving in all states except NSW (which edged down). Sentiment rose sharply in Victoria (up 27 to +63) and in Queensland (up 4 to +16). Whilst sentiment rises and confidence … Continue reading “NAB expects prices to slow in 2018-19, but not a severe adjustment.”
From The Conversation. Owning a family home in the suburbs has been a cornerstone of the American dream for many generations. But in 2008, when the United States’ housing bubble burst and a spate of mortgage foreclosures triggered the global financial crisis, that dream was vanquished, and such houses would instead become the sites of … Continue reading “Wall Street landlords are chasing the American dream”
Wayne Byers, Chairman of APRA spoke today at the ‘The Regulators’ Finsia event, Sydney. His specific comments on bank lending practice, in terms of household affordability, benchmarks, pre-existing debt and overrides are important. Unquestionably strong capital ratios I’ll start with bank capital. The quest for an answer to what ‘unquestionably strong’ capital ratios look like … Continue reading “Bank Capital and the approaching BEAR”
From ABC News. A decade of housing price rises, low interest rates and relatively easy credit has left Australians carrying the second highest level of household debt in the world. And despite efforts to tighten lending and to address problems in the lending culture, the ABC’s Four Corners program has learnt bank staff and mortgage … Continue reading “Mortgages and debt: How lending culture is leaving Australians vulnerable”
From The New Daily. Young people may have been hit hard by Melbourne and Sydney’s steep property prices, but experts warn that soaring home values are creating victims at all levels of the market, including people who already own homes. This week’s Household, Income and Labour Dynamics in Australia (HILDA) report showed that home ownership among 18 to 39-year-olds has fallen … Continue reading “The overlooked victims of Australia’s runaway property market”
From The New Daily. Australian regulators are trying valiantly to cool the property market by curbing investor lending, but demand appears stubbornly strong. The latest housing finance data for May, published by the Australian Bureau of Statistics on Tuesday, showed a surge in owner-occupier lending is compensating for a drop in investor loans. For the fourth month in a … Continue reading “Owner-occupiers are propping up the market”
From The Conversation. Australia has the highest rate of population growth of all the medium and large OECD countries. And more than three-quarters of the growth is in four cities: Sydney, Melbourne, Brisbane and Perth. But urban planning for this growth is often inadequate.For a start, attempts to reduce infrastructure costs and save agricultural land … Continue reading “City planning suffers growth pains of Australia’s population boom”
From The Conversation. Rising mortgage debt is affecting everything from employment to spending, as Australians approach retirement, our study finds. Higher levels of housing debt among pre-retirees are linked to them working for longer. We found for a home owner aged 45-64 years, the chances of being employed are around 40% higher for every additional … Continue reading “Australians are working longer so they can pay off their mortgage debt”
More pain for property investors this week, with lenders continuing to lift mortgage rates and trim maximum LVR’s. And more pain for banks as their credit ratings are trimmed, the federal bank tax becomes law; and South Australia imposes an additional levy on the big five. Welcome to the Property Imperative Weekly to 24th June … Continue reading “The Property Imperative Weekly – 24 June 2017”