Search Results for: first time buyers

Why the sharing economy could have a hard landing in Australia

From The Conversation. Last year Deloitte Access Economics reported the sharing economy contributes about A$504 million a year to the New South Wales economy, with about 45,000 people earning an income from the different platforms like Lyft and Uber for ride sharing, and Airbnb for accommodation. In the initial phases of their introduction, these platforms … Continue reading “Why the sharing economy could have a hard landing in Australia”

ASIC and brokers: Communication breakdown?

Further information on the debate about Mortgage Brokers, this time from MPA. The article highlights the issues in play. From Sam Richardson, Mortgage Professional Australia. Navigating Regulation is part and parcel of running a business. Occasionally however, it determines the future direction, not only of a business, but of an entire industry, as it did … Continue reading “ASIC and brokers: Communication breakdown?”

Subprime gets bad rap in ‘Big Short’ but is key to easing housing affordability crisis

From The Conversation. Anyone who’s dug into the 2008 financial crisis knows the role that bundling and selling subprime housing loans played in bringing the world to the brink of economic collapse – out-of-control behaviors well-depicted in the movie “The Big Short.” But one thing I hope “The Big Short” doesn’t do is further tarnish … Continue reading “Subprime gets bad rap in ‘Big Short’ but is key to easing housing affordability crisis”

Fact Check On Negative Gearing, Using DFA Data

Labor have announced proposals to change the negative gearing and capital gains tax rules relating to property investments. In an interview today on ABC Insiders, Chris Bowen, Shadow Treasurer said that negative gearing would potentially only be available on new property in 2017 , currently half of the benefit goes to top income earners, and … Continue reading “Fact Check On Negative Gearing, Using DFA Data”

Australian Housing Unaffordable – Demographia

The 2016 Demographia survey (the 12th edition)  is out using data from Q3 2015. Once again Australians are shown to be exposed to highly unafforable housing, with all the downstream economic consequences which follow. Policy, regulation, and vision have all failed us. Whilst inflated prices bloat banks’ balance sheets thanks to massive lending for housing, … Continue reading “Australian Housing Unaffordable – Demographia”

Is The Rise of Electronic Trading in Fixed Income Markets Risky?

Electronic trading has become an increasingly important part of the fixed income market landscape in recent years. As a result there are a number of risks to consider and regulatory issues to address, according to a newly released report from the Bank For International Settlements Markets Committee. The growth in electronic trading as, according to … Continue reading “Is The Rise of Electronic Trading in Fixed Income Markets Risky?”

Why politicians hate the idea of taxing the homes of ‘the rich’

From The Conversation. A call from the Australia Institute to remove the exemption of capital gains tax (CGT) on main residences was never likely to go anywhere, considering the inherent political issues associated with such a suggestion. According to the Australia Institute, the CGT exemption cost the budget A$46 billion in 2015-2016. Removing the exemption … Continue reading “Why politicians hate the idea of taxing the homes of ‘the rich’”

Why Uber’s surge pricing is naive economics

From The Conversation. Economists love Uber’s surge pricing. But it is doomed, because customers hate it. Why? Surge pricing occurs when the supply and demand for Uber vehicles becomes unbalanced, for example, due to inclement weather, a public holiday such as New Years Eve or some other event (public transport failure, terrorist attack, …). Supply … Continue reading “Why Uber’s surge pricing is naive economics”

Australia’s housing standards are failing its ageing population

From The Conversation. Many Australians want to grow old at home with family and friends. Yet most have homes that are inaccessible. Without intervention now, taxpayers will be asked to deal with the unintended consequences for the health, aged care and disability budgets. We all know people who go to hospital and do not return … Continue reading “Australia’s housing standards are failing its ageing population”

Australian Household Debt Reaches Record Highs at $245,000

Average Australian household debt is four times what it was in 1988, rising from $60,000 to $245,000 after inflation, according to the latest AMP.NATSEM Income and Wealth report – Buy now, pay later: Household debt in Australia. The ratio of household debt to disposable income has almost tripled, from 64 per cent to 185 per … Continue reading “Australian Household Debt Reaches Record Highs at $245,000”