REAL ESTATE – AUSTRALIA – RESIDENTIAL

The $2500 house deposit; high-risk mortgages return

roymorgansocial Leave a comment

Original article by Nick Lenaghan
The Australian Financial Review – Page: 1 & 6 : 14-Jul-14

The Australian Prudential Regulation Authority has made banks cut the number of mortgages they write that have high loan-to-valuation ratios (LVRs). However smaller and nonbank providers now offer LVRs of as high as 99.375%, causing concern about a situation similar to the sub-prime mortgages crisis in the US in 2007. A new joint venture by home construction businesses BGC and Metricon even advises buyers to rely both on the first-home owners’ grant and a personal loan to raise a 5% deposit, with as little as $A2,500 of their own money. Meanwhile residential real estate prices have risen some 10% during 2013-14

CORPORATES
AUSTRALIAN PRUDENTIAL REGULATION AUTHORITY, BGC (AUSTRALIA) PTY LTD, METRICON HOMES, HIVE EMPIRE PTY LTD, DIGITAL FINANCE ANALYTICS, RP DATA LIMITED, CORELOGIC AUSTRALIA PTY LTD, RISMARK INTERNATIONAL PTY LTD, RESERVE BANK OF AUSTRALIA, RAMS MORTGAGE CORPORATION LIMITED, WESTPAC BANKING CORPORATION – ASX WBC, THE LOAN COMPANY, MOODY’S INVESTORS SERVICE INCORPORATED, BANK OF ENGLAND

Sydney’s median rent for units hits $500

roymorgansocial 1 Comment

Original article by Rebecca Thistleton
The Australian Financial Review – Page: 10 : 10-Jul-14

Australian Property Monitors has issued its latest data on residential real estate rents across state capital markets. In the three months to 30 June 2014, the rent for apartments in Sydney reached an all-time high of $A500. Standalone dwelling rents also went up in Melbourne and Sydney after a subdued period since mid-2012. However declines were recorded for Darwin and Canberra. Meanwhile gross rental yields are down across the board, with Perth showing the biggest falls at close to 9% for units and 5.8% for houses during 2013-14

CORPORATES
AUSTRALIAN PROPERTY MONITORS PTY LTD, FAIRFAX MEDIA LIMITED – ASX FXJ, AMP LIMITED – ASX AMP, DOMAIN.COM.AU

Sydney, Melbourne house prices rebound in June

roymorgansocial 1 Comment

Original article by Michael Bleby, Jacob Greber
The Australian Financial Review – Page: 6 : 30-Jun-14

New figures from RP Data show rises in the residential real estate auction clearance rates for the Sydney and Melbourne markets on the 28-29 June 2014 weekend. In Sydney the week-on-week increase was from 70.1% to 73.2% and in Melbourne it was from 69.1% to 69.3%. Meanwhile the median dwelling price in Sydney has also improved 1.5% during June, compared with a fall of 1.1% in May. In Melbourne it is up 1.7% after a drop of 3.6% previously. There are some warnings that a further rapid increase may create a threat for the economy and trigger higher interest rates

CORPORATES
RP DATA LIMITED, CORELOGIC AUSTRALIA PTY LTD, DOMAIN.COM.AU, FAIRFAX MEDIA LIMITED – ASX FXJ, RESERVE BANK OF AUSTRALIA, MOODY’S INVESTORS SERVICE INCORPORATED, AUSTRALIAN NATIONAL UNIVERSITY. CENTRE FOR APPLIED MACRO-ECONOMIC ANALYSIS