Digital Finance Analytics (DFA) Blog
"Intelligent Insight"
More from our property insider Edwin Almeida as we look at the idea of building up, not out, prefabricated housing, poor quality rental property, and the mythology of property listings. And at the end, a real horror show!
http://www.martinnorth.com/
Go to the Walk The World Universe at https://walktheworld.com.au/
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Another deep dive into the data with Journalist Tarric Brooker as we explore the recent events in China, the housing story (and political announceables), the mortgage cliff (or not) and lots more.
Slides are available here: https://avidcom.substack.com/p/dfa-chart-pack-18th-august-2023
Tarric’s article which we mention is here: https://avidcom.substack.com/p/aussie-fixed-rate-mortgage-cliff
http://www.martinnorth.com/
Go to the Walk The World Universe at https://walktheworld.com.au/
Home prices are driven by a combination of demand where population growth thanks to high migration puts upward pressure on prices; supply where more property for sale puts downward pressure on prices, and availability of credit as the catalyst for transactions to occur.
Much of the debate is currently centered on supply side issues. As I discussed last week, Outgoing Governor Phil Lowe, urged governments at all levels to work together to address the problem of housing affordability. Notably, he dismissed rent controls as a short-term fix that would provide immediate relief by reducing the incentive to fix the key problem: supply.
“There aren’t short-term solutions here. The solution has to be putting in place a structure that makes the supply side of the housing market more flexible and that means zoning and planning deregulation and it means state and local governments being part of the solution.”
This means that first time buyer incentives, or rental support just make the problem, worst – something which I have highlighted over the years (and which by the way the Productive Commission also confirmed).
But my fear is that the un-defused credit bomb will be skirted around and as the supply side elephant is paraded through the streets. But it is the credit Elephant in the room which should be addressed, even if it shrinks bank balance sheets and profits. If not, nothing will fundamentally change and prices will remain as out of whack as they currently are.
http://www.martinnorth.com/
Go to the Walk The World Universe at https://walktheworld.com.au/
Our latest dissection of the property market – at the start of an important week in the future of housing with our property insider Edwin Almeida.
We look at the range of serious issues ahead, with an uptick in potential visitors to Australia, a small rise in listings, and a fall in rental availability as some of the factors crimping property investors bite.
We also look at the proposed rental freeze legislation from the Greens.
In such an important week, we will be live tomorrow with Edwin and taking questions on these critical issues. https://youtube.com/live/KpdkhMrhl_k
http://www.martinnorth.com/
Go to the Walk The World Universe at https://walktheworld.com.au/
Spain might be an example we should be looking at, as their inflation has fallen below 2%. How did they achieve this compared with the UK or Australia?
Simply put they went beyond the simplistic interest rate lever, and used effective fiscal measures as well.
So today we look at lessons we can learn from Spain, and suggest there is indeed an alternative path, but one which requires a different linkage between monetary (interest rates) and fiscal (taxes and spending).
And, don’t forget, Central Banks created the inflation monster in the first place!
http://www.martinnorth.com/
Go to the Walk The World Universe at https://walktheworld.com.au/
This is an edited version of my latest live stream which was an important live discussion with Robbie Barwick from the Australian Citizens Party as we discuss the upcoming censorship bill relating to Social Media, the attempts by Banks to strangle communities and abolish cash, and the risks emerging from Central Bank Digital Currencies and other measures designed to remove hard earned societal freedoms. And we may also stray into international politics and global agendas too!
Go to the Walk The World Universe at https://walktheworld.com.au/
My latest Friday afternoon chat with Journalist Tarric Brooker goes deep into the economic substructure of the economy, where we see people pulling in two directions at the same time – Burnout Economics!
https://avidcom.substack.com/p/burnout-economics-presentation-on
https://avidcom.substack.com/p/resuming-student-loan-payments-to
http://www.martinnorth.com/
Go to the Walk The World Universe at https://walktheworld.com.au/
Find more at https://digitalfinanceanalytics.com/blog/ where you can subscribe to our research alerts
This is an edited version of my latest live stream where I was joined by Leith van Onselen, Chief Economist at Nucleus Wealth and Co-founder of Macrobusiness. We explored the current weird dynamics around housing, as well as the broader economic and political context, and answered viewers questions.
http://www.martinnorth.com/
Go to the Walk The World Universe at https://walktheworld.com.au/
The Australian Government has released an exposure draft of the Communications Legislation Amendment (Combatting Misinformation and Disinformation) Bill 2023.
This is an attempt to curtail free speech and allow greater Government control over what we think and say – very 1984, as I discuss with Robbie Barwick from the Citizen’s Party.
We have 21 days to voice our opposition. Just as we did with the cash ban.
http://www.martinnorth.com/
Go to the Walk The World Universe at https://walktheworld.com.au/
The Australian Government has released an exposure draft of the Communications Legislation Amendment (Combatting Misinformation and Disinformation) Bill 2023.
This is an attempt to curtail free speech and allow greater Government control over what we think and say – very 1984, as I discuss with Robbie Barwick from the Citizen’s Party.
We have 21 days to voice our opposition. Just as we did with the cash ban.
http://www.martinnorth.com/
