Housing lot defaults hit 25 per cent as finance hard to secure

Original article by Larry Schlesinger
The Australian Financial Review – Page: 31 : 7-Feb-19

Satterley Property Group CEO Nigel Satterley says the default rate among buyers of housing lots in Melbourne is now 20 to 25 per cent, compared with just five per cent in late 2017. He adds that Perth and Sydney boast default rates of around 35 per cent and 15 per cent respectively. Satterley attributes the high level of defaults to factors such as tightened access to credit for both local and overseas buyers. Simonds Group CEO Kelvin Ryan notes that there has been a spike in the number of housing lots that are been offered for sale on the secondary market.

CORPORATES
THE SATTERLEY PROPERTY GROUP PTY LTD, SIMONDS GROUP LIMITED – ASX SIO, OLIVER HUME REAL ESTATE GROUP PTY LTD, RED23 PTY LTD, GUMTREE.COM AUSTRALIA PTY LTD

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