Digital Finance Analytics (DFA) Blog
"Intelligent Insight"
New research by the Swinburne Institute for Social Research, shows the wealth effect of holding property, and the risks in retirement of those unable to get on the ladder. In fact, a comfortable retirement is unlikely for those renting, because they are excluded from capital growth, which makes up such a large element of household … Continue reading “Retirement will be harder for future Australians”
NAB’s latest Housing Market Report, Winter 2016 edition, suggests indicators painting a mixed picture of market conditions. Any near term strength likely to be temporary, with a more subdued market expected for 2017. Property prices have continued to prove more resilient than expected in 2016 (to date) which are likely supported by better than expected … Continue reading “Property Market to Cool in 2017?”
From CoreLogic. Home values have fallen in real terms (after adjusting for inflation) in all capital cities over the past five years except Sydney, Melbourne, Brisbane and Canberra. Adjusting capital city home values by headline inflation provides interesting insight into the performance of the housing market. Of course, people mostly analyse the housing market in … Continue reading “Home Values Have Fallen In Some Capital Cities”
The March 2016 edition of the HIA-CoreLogic Residential Land Report has just been released by the Housing Industry Association, and CoreLogic. The report provides detailed results relating to prices and sales activity across Australia’s residential land markets. During the March 2016 quarter, the pace of growth in national land prices slowed to 1.2 per cent, … Continue reading “Land Price Growth Moderates in early 2016”
From The Real Estate Conversation. Sydney’s property auctions make great conversation starters at barbecues because even with the peak of this cycle behind us, the embers burn on. For example, this past week saw 206 sales on 253 auctions for a clearance rate of 76%, according to Domain Group. The result marked the third week … Continue reading “Sydney’s property shortage fuels ongoing buyer activity”
The latest blog from CoreLogic makes an interesting point about home price growth. It is concentrated in Sydney and Melbourne – and will it continue? Take the two largest centres away, and overall growth is much less impressive. From May 2012 to June 2016, combined capital city home values have increased by 37.3% while official … Continue reading “Home Price Growth In Extremis”
The HIA New Home Sales Report, a survey of Australia’s largest volume builders, shows that total new home sales fell for a second consecutive month in May 2016, said the Housing Industry Association. “There is nothing alarming to a reversal in the trend for New Home Sales,” commented HIA Chief Economist, Dr Harley Dale. “There … Continue reading “HIA New Home Sales signal downturn ahead”
The recent RBA Bulletin included a section on apartment construction in Australia. They conclude that apartments have become an increasingly important contributor to new dwelling construction over recent years and in 2015 accounted for more than one-third of all residential building approvals. The majority of recent apartment construction has been located in Sydney, Melbourne and … Continue reading “The Rise of High Rise”
The RBA released the latest edition of the Financial Stability Review. Whilst they highlight the risks in emerging markets and higher bank funding costs, they argue local banks have limited exposure to these issues, households and business are financially sound and banks have tightened lending standards (as shown by lower LVRs and bigger affordability buffers) … Continue reading “RBA Financial Stability Review Released Today; And All Is Well…ish”
From The Conversation. The resignation of Australia’s first minister for cities and the built environment after just 99 days is a setback for federal leadership in these areas. Yet enough momentum and goodwill have been generated to keep the flag flying. The greatest hope is that an urban consciousness in national public policy will be … Continue reading “Hopes of a new urban age survive minister’s fall”