REAL ESTATE – PRICES – AUSTRALIA

Rates cut on cards as economy loses gloss

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Original article by David Uren
The Australian – Page: 2 : 2-Aug-16

The Reserve Bank of Australia is widely tipped to reduce official interest rates to a new low of 1.5 per cent on 2 August 2016. The central bank’s monetary policy easing cycle began in November 2011, and it has since reduced the cash rate 11 times. Factors such as Australia’s low inflation rate and the uncertain outlook for the US and Chinese economies may prompt another cut. However, Tim Lawless of CoreLogic says the RBA will be mindful that a rate cut could put more upward pressure on house prices.

CORPORATES
RESERVE BANK OF AUSTRALIA, CORELOGIC AUSTRALIA PTY LTD, NATIONAL AUSTRALIA BANK LIMITED – ASX NAB, WESTPAC BANKING CORPORATION – ASX WBC, REUTERS HOLDINGS PLC

Nation’s home values fall for first time in 14 quarters

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Original article by Michael Bleby
The Australian Financial Review – Page: 32 : 22-Jun-16

Residential property prices in Australia’s eight capital cities fell by 0.2 in the March 2016 quarter, according to new data from the Australian Bureau of Statistics. The index of dwelling values had not fallen since the September 2014 quarter. There was an 0.8 per cent decline in the value of attached dwellings compared with the December 2015 quarter, including a fall of 0.6 per cent in Sydney. Paul Bloxham of HSBC expects a sharp fall in house price growth in both Sydney and Melbourne in the near-term.

CORPORATES
AUSTRALIAN BUREAU OF STATISTICS, HSBC AUSTRALIA HOLDINGS PTY LTD, BELLE PROPERTY PTY LTD, SAVILLS CORDEAU MARSHALL

Shorten’s policies ‘to cut house prices’

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Original article by Sid Maher
The Australian – Page: 1 & 8 : 21-Jun-16

Adept Economics has released the results of independent modelling which suggests that house prices would fall by an average of four per cent if the Australian Labor Party’s proposed changes to the negative gearing and capital gains tax regimes are implemented. The modelling also suggests that apartments in inner-city regions could fall be up to five per cent. The report, which was produced on behalf of Walshs Financial Planning, concludes that there are risks associated with the policy, and changes should be made if Labor wins the 2016 federal election.

CORPORATES
ADEPT ECONOMICS, WALSHS FINANCIAL PLANNING PTY LTD, AUSTRALIAN LABOR PARTY, AUSTRALIA. DEPT OF THE TREASURY, AUSTRALIAN TAXATION OFFICE, GRATTAN INSTITUTE, URBAN DEVELOPMENT INSTITUTE OF AUSTRALIA

House prices edge up in April

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Original article by Su-Lin Tan
The Australian Financial Review – Page: 3 : 3-May-16

The CoreLogic RP Data Home Value index was 1.7 per cent higher in April 2016 than in March. House prices rose by 2.4 per cent in Sydney during April, while prices in Brisbane and Adelaide increased by 2.2 per cent and 2.0 per cent respectively. House prices in Melbourne rose by a more modest 1.1 per cent, but house prices declined in both Hobart and Darwin. Meanwhile, the gross rental yield for residential properties in the capital cities fell to a new low of 3.4 per cent in April.

CORPORATES
CORELOGIC AUSTRALIA PTY LTD, RP DATA LIMITED, AUSTRALIA AND NEW ZEALAND BANKING GROUP LIMITED – ASX ANZ, RESERVE BANK OF AUSTRALIA

Don’t panic about property, HSBC says

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Original article by Michael Bleby
The Australian Financial Review – Page: 7 : 13-Apr-16

HSBC economist Paul Bloxham says that while Australia’s booming residential construction market faces a number of potential risks, these can be managed. He argues that when the construction boom wanes it will be replaced by growth in the services industry as a driver of the economy. House prices increased by nine per cent in 2015, but Bloxham forecasts growth of 3-4 per cent in 2016.

CORPORATES
HSBC AUSTRALIA HOLDINGS PTY LTD, BLOOMBERG LP, RESERVE BANK OF AUSTRALIA

City’s three-year house price surge at an end

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Original article by Samantha Hutchinson
The Australian – Page: 2 : 23-Mar-16

Data from the Australian Bureau of Statistics shows that there was a 1.6 per cent decline in Sydney house prices during the December 2015 quarter. Darwin was the only other capital city to record a decline in house prices, while Hobart posted the highest growth in prices, at 2.8 per cent. Housing industry executives have identified various factors as possible causes for slowing house price growth, including new restrictions on lending to property investors and a surge in house construction activity.

CORPORATES
AUSTRALIAN BUREAU OF STATISTICS, HOUSING INDUSTRY ASSOCIATION LIMITED, AUSTRALIAN POPULATION RESEARCH INSTITUTE

House-boom paradox may signal a structural change

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Original article by Robert Harley
The Australian Financial Review – Page: 42 : 3-Mar-16

CoreLogic has identified a paradoxical trend in the real estate market in Australia. Since 2003, the value of housing sales has risen by more than 30 per cent in Sydney and Melbourne while the number of sales has declined by nearly 20 per cent. In 2015, 482,000 houses and apartments were sold, worth a record $A293 billion. In 2003, more than 621,000 properties were sold, worth $A200 billion.

CORPORATES
CORELOGIC AUSTRALIA PTY LTD

NAB tips unit prices to fall

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Original article by Michael Bleby
The Australian Financial Review – Page: 3 : 4-Feb-16

National Australia Bank’s latest quarterly survey of the housing market suggests a rise of one per cent in house prices for 2016. Apartment prices are expected to fall by 1.2 per cent. Houses in capital cities experienced average price growth of 7.8 per cent in 2015. The survey is based on the responses of 250 real estate professionals, fund managers, property owners and investors.

CORPORATES
NATIONAL AUSTRALIA BANK LIMITED – ASX NAB

House price growth will wane, says report

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Original article by Su-Lin Tan
The Australian Financial Review – Page: 11 : 15-Dec-15

Domain Group’s "State of the Market" report forecasts that residential property prices in Australia’s capital cities will rise by 2-5 per cent in 2016. House prices are tipped to rise by four per cent in Sydney and five per cent in Melbourne, following growth of around 20 per cent and 12 per cent respectively in 2015. Senior economist Andrew Wilson expects renewed interest among property investors in 2016, citing factors such as negative gearing and the high yield relative to other investment options.

CORPORATES
DOMAIN.COM.AU, AUSTRALIAN PRUDENTIAL REGULATION AUTHORITY, SQM RESEARCH PTY LTD, AUSTRALIA AND NEW ZEALAND BANKING GROUP LIMITED – ASX ANZ, MORTGAGE CHOICE LIMITED – ASX MOC, AUSTRALIAN BUREAU OF STATISTICS, THE REAL ESTATE INSTITUTE OF AUSTRALIA LIMITED

Sydney, Melbourne property prices hit the skids

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Original article by Su-Lin Tan
The Australian Financial Review – Page: 7 : 2-Dec-15

New figures from CoreLogic RP Data show that dwelling values fell in five of Australia’s eight capital cities during November 2015. There was a 1.4 per cent decline in home values in Sydney during November and a one per cent downturn in the three months to November. Meanwhile, home values in Melbourne fell by 0.5 per cent for the quarter and 3.5 per cent in November. However, both cities are continuing to record double-digit annual growth in home values.

CORPORATES
CORELOGIC AUSTRALIA PTY LTD, RP DATA LIMITED, RESERVE BANK OF AUSTRALIA