News Archive
02 June 2008
Interest rates, and growth, on hold
The direction of the economy will become clearer this week, as the size of the national slowdown is quantified and interest rates are left on hold. The Reserve Bank meeting tomorrow is likely to be a short-lived affair, with the futures market pricing the chance of a move higher in official interest rates at less than 5%. The prospect has emerged that the RBA's tightening cycle has ended, aft... read news item »
28 May 2008
Property claims
Many property owners are neglecting to take advantage of a valuable building depreciation allowance available on rental properties built or renovated from 1985 onwards. Under the allowance, the cost of a building or the renovations can be claimed as an expense at the rate of 2.5 per cent a year over 40 years. "Depreciation is claimable on, essentially, any property built after 1985,"... read news item »
28 May 2008
Mortgage v super
Let's say you are one of the lucky few on the receiving end of a $5000 or $10,000 bonus or, less likely still, a pay rise this year. You resist the temptation to blow it on a holiday or a new lounge suite. You will either use it to pay down your mortgage or put it into your super fund. But which one will deliver the best benefit for you in the lead-up to retirement? This scenario was put to tw... read news item »
24 May 2008
In the mix
After some early disappointments, multi-use developments are on the rise. The idea of mixed-use developments isn't new. There were many early 20th-century high streets where folks lived in dodgy flats above a greasy takeaway or army disposal store. Thankfully, the more modern version of the mixed-use development is a lot more sophisticated, being almost a self-contained village - the kind of... read news item »
17 May 2008
Home buyers lose out in tax change
Ironically new home buyers are constituents the Rudd Government has championed since its election. Property Council of Australia director Trevor Cooke said certain housing developers would now pay a greater proportion of their income in GST and would pass on that cost to buyers. "In its present form, this change will add to the cost of new housing," Mr Cooke said. "I... read news item »
17 May 2008
Your dream - or nightmare
You've seen your dream house and it's on sale for a knockdown price. You had your own home valued late last year for a surprisingly good figure. So snapping up the new place, then selling your own, looks like a no-brainer. Property analysts beg to differ. "It's total madness," says Michael McNamara, general manager of Australian Property Monitors. "Some people would say buying... read news item »
14 May 2008
Govt flattens rebate for all first-home buyers
As part of a trend in yesterday's budget to create a "more equitable" tax system attacking perceived benefits to wealthier Australians, the Government will add a co-contribution of 17% to the first $5000 deposited in first-home saver accounts. The accounts are one of several initiatives promised at last year's election and included in this budget. The Government has also establishe... read news item »
11 May 2008
If you build it, they will invest
Most investors don't know exactly why they love property but you can bet the fact that you can actually touch and feel it has a lot to do with it. This tangible nature of property is just one reason why bricks and mortar will always remain a popular choice for investors, particularly in times of economic uncertainty. Higher interest rates might be starting to cause a slowdown in new lending an... read news item »
06 May 2008
Rates expected to hold as house prices rise
The Reserve Bank meets today, and is expected to leave interest rates on hold, despite concerns about growing inflation . Economists are withdrawing predictions of rate cuts this year, with a monthly inflation measure showing headline inflation rose 0.5% in April and 4.3% over the year — the highest year-end figure in the five-year history of the gauge. The TD Securities-Melbourne Insti... read news item »
06 May 2008
Housing recovery loses momentum as prices fall
Across the city 2007 was a rare spot of sunshine for property owners since the housing bubble popped about five years ago. But home prices dropped by 1.5 per cent in the first three months of this year. And experts say the continuing interest rate squeeze will ensure the property market remains skittish. The sharpest fall in house prices had been in suburbs in Sydney's south-west, such as Fa... read news item »