There is little doubt that Australia needs more new dwellings. This is quite in the fitness of things, considering the population growth, prevailing low interest rates and the beautiful and timely lessons that we have learnt from the GFC. Larry Schlesinger for the Property Observer ‘observes’ the trend.
Archives
Population Growth Has Triggered Housing Demand
Tim Lawless for the investment strategy blog “Property Update” reports that housing demand has hit the highest mark in the last 3 years. This has lot to do with annual population growth hovering near 1.75% for the last quarter of 2012.
Population growth has piggybacked on overseas migration and natural increase (number of deaths subtracted by number of births). Lawless says that it is the overseas migration which has contributed as much as 60% to population growth in recent times.
He also offers a state-wise report which suggests that Tasmania and South Australia have been backbenchers in terms of population growth while Victoria and Queensland are among the toppers.
The Federal Budget and changes in labour quota is expected to bring down the overseas migration, believes Lawless.
You can read the original article here.
Do you think that the interstate flow of migrants will increase for Sydney this year?
Australian Dollar May Devalue Further
The Australian dollar has been falling rather sharply and is expected to plummet till about 80 US cents. An article on the website “The Advisor” reports that the fall may be a result of internal as well as external factors.
The Reserve Bank of Australia (RBA) has effected various cash rate cuts, the latest being the 7th May cut. Price of commodities produced in Australia has also come down a lot, iron ore being one such example. This has brought about a weakening demand for currency.
There is a consensus among economists that the Aussie dollar may settle somewhere between 70 and 80 US cents by the end of 2013. This shall however augur well for the Australian economy.
It will give boost to exports and will aid local manufacturers. Home construction and renovation industry may also benefit at large from the cash rate cuts.
You can read the original article here.
Do you think that there will be any further cash rate cuts?
3 Stress Points Of Any Property Negotiation
People have been negotiating – subtly, enthusiastically or fiercely- since the first fire was lit on earth. Each property negotiation brings a few critical pressure points to the surface. It is a different matter whether you gain at those points or lose at them. Michael Yardney for the Property Update talks about 3 such stress points.
8 Tips To Boost Your Chances Of Success
We are all good people but certainly not without our grey areas. When these “grey areas” overpower us we become less productive, one way or the other. Jeff Haden for the magazine Inc. tells us about the 8 must-avoid mistakes for achieving greater productivity.
The Truth About Finding Great Cash Flow
Often, investors scour through various online portals and investment clubs to find the property that might bring them great cash flow. They compare a few of them and settle for the one which holds the most appeal. Nothing beats rent in terms of passive flow of income (a fair assumption in today’s times).
Despite a few hindrances here and there, the investor rides merrily on the “great cash flow” vehicle. Larry Arth for the blog EBG writes why the cash flow thing is no more an elusive idea.
