Perth Property sellers give up on the market!
Sunday, September 18th, 2011REIWA research has indicated the Perth residential property market has fallen for the 6th consecutive quarter, declining a further 2% since June 2011 where the median house price was $477,000. REIWA indicated its member listings have also fallen in the last 3 months from 17,400 properties on the market for sale at the end of June 2011 to approximately 15,000, with little movement in transaction turnover. “Sellers are simply taking their properties off the market, rather than stock being diminished by sales.” This continued fall in the median house price could be contributed to the increase in First Home Buyer ...
Read moreGreen Star Ratings Add Value
Wednesday, September 14th, 2011A recent report commissioned by the Australian Property Institute and the Property Funds Association of Australia has revealed Green Star-rated buildings and NAMBERS Energy Ratings add value to commercial properties. The Building Better Returns Study found gaining a top level environmental rating can add at least 9% to the value of a building. Commentary from the Australian Property Institute said “the study showed environmental rating schemes were delivery benefits, including lower vacancy and building running costs (outgoings)”. We are of the opinion, the tenant would have lower outgoings and building running costs, thus being able to afford higher net rents for Green buildings, ...
Read more“Value growth slows over past five years” – Summary of RP Data report.
Monday, September 12th, 2011A recent report by RP Data has indicated property value growth has slowed in the past 5 years when compared to the past 10 years. RP Data reported, Perth’s median house price has grown 10.7% per annum for the past 10 years up until July 2011, with inflation only averaging 2.9% over the same period. “Undoubtedly the growth in values has been strong and occurred during a time when access to credit was much easier to obtain and interest rates were inherently lower.” The RP Data report stated. However in the 5 years leading up to July 2006 the average annual value growth for ...
Read moreDoes the European Debt Crisis effect the property market?
Monday, September 12th, 2011Consumer and business confidence is growing increasingly fearful the eurozone cannot deal with the debt crisis with Greece’s potential debt default and the fragility of the European banks being thinly capitalised. Uncertainty of a recovery is the US economy is also causing global concerns. Australia’s unemployment rate is slowly increasing, following recently published data, which may cause the Reserve Bank of Australia (RBA) to cut interest rates by the end of the year. Although this may improve the affordability of home ownership and improve business funding slightly, we are of the opinion the global financial and local unemployment concerns may not improve business ...
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