Six homes brought illegally by foreigners will be sold and a further 462 sales are under investigation with the Treasurer, Joe Hockey, telling Australians more will be forced to sell soon. In May, we reported the enforcement of legislation surrounding real estate sales to foreigners would be transferred to the …
The number of new mortgages to owner-occupiers tumbled a seasonally adjusted 6.1 per cent in May, the biggest fall in 5 years according to Australian Bureau of Statistics (ABS) data released on Friday. The value of loans written to investors fell 3.2 per cent, while owner occupiers slumped 5.3 percent. …
The International Monetary Fund has warned Australia’s big banks don’t appear to be well capitalised and increasing capital should be a priority. The warning comes in the concluding statement following the article IV mission to Australia this month. (‘International Monetary Fund team to examine housing bubble – May 2, 2015‘) …
A day after out of touch Treasurer, Joe Hockey told first home buyers they needed a “good job” that pays “good money” to break into the Sydney property bubble, Reserve Bank Governor Glenn Stevens has weighed into the debate, saying the Sydney property market is crazy, “Yes I am very …
According to Channel 10 Adelaide, The Reserve Bank of Australia has “denied” the Adelaide property market a much needed boost by leaving rates unchanged. You could be mistaken for thinking it was 1989 and the official cash rate was 17 per cent. But, no, the report aired yesterday after the …
With a smirk on his face, Treasurer Joe Hockey told naive Australians today, the Reserve Bank’s cut to the official cash rate is “good news”. With a continuing deteriorating economy, the Reserve Bank was once again forced to cut the official cash rate, this time to a record low of …
According to a report in the Australian Financial Review today, the Australian Securities and Investment Commission is readying for a major crackdown on property spruiking to Self Managed Super Funds (SMSFs). It follows a recent Federal Court ruling that confirmed the commissions’ view that property spruikers who promote or recommend …
The International Monetary Fund (IMF) will send an economic team to Australia next month to check up on Australia’s housing bubble and the increasing risk it poses to the economy, according to a report in the Australian Financial Review today. James Daniel who will lead the team next month told …
Concerns are mounting that Australia’s big banks are disregarding risk and may not be capitalised enough to withstand a conceivable property correction. Today, the Australian Financial Review reported Sydney home prices are growing five-times faster than wages. Such rapid increases in property prices over one’s ability to service the mortgage …
Reserve Bank Governor Glenn Stevens told a New York audience there is too much focus on the ‘exuberant’ Sydney property bubble. Addressing The American Australian Association luncheon, Stevens said: “Then there are dwelling prices, which, at a national level, have already risen considerably from their previous lows, at a time …
The ABC has tonight delivered its second instalment on Australia’s housing bubble, the brewing banking crisis and tomorrow night – what the regulators are doing to try to limit the catastrophic damage. You can watch tonight’s segment here – Is 1.6 trillion dollars in housing loans too hot too handle? …
Plunging prices for Australia’s largest export, iron ore, has forced Atlas Iron to announce on Friday, it was suspending operations and shutting down production over the next couple of weeks. The announcement will see the loss of 500 jobs at its Pilbara mines and another 75 redundancies at its head …
Today’s decision by the Reserve Bank of Australia (RBA) to leave interest rates unchanged is likely to indicate APRA’s crackdown on the banks (‘APRA to keep banking crackdown secret‘) has not been fully executed. Without these crucial measures in place, the central bank can’t take the risk of further fueling …
Businesses forced to close, downsize and offshore has caused vacancy rates to surge around the country, and rents to fall, yet commercial property prices continue to rise. This divergence has the central bank concerned the “risk of a large repricing” in commercial property is increasing. The Reserve Bank of Australia …
According to the ABC, Kevin Nixon, Former Managing Director of Regulatory Affairs at the Institute of International Finance (IIF) says foreigners are puzzled about the entire Australian housing market. Now a partner (risk) with Deloitte in Sydney, Nixon is a respected voice globally on regulation and governance of the financial …
New research from Barclays warns Australian households have record debt levels, some of the highest in the world, greatly exposing them to heightened risk in the event of another financial crisis. The report shows household debt in Australia is at 130 per cent of GDP, significantly more than the global …
Treasurer Joe Hockey has suggested first home buyers should be able to dip into their superannuation to purchase a first home. It comes after Senator Nick Xenophon was ridiculed in August 2014 (‘Why Australia has one of the world’s largest housing bubbles’) proposing the same idea to a Senate Economics …
“Australia is vastly uncompetitive, I don’t think they want to openly say it, which is why they put a lot of fudge and nonsense in the minutes today” commented Michael Every, head of Asia-Pacific markets research at Rabobank after last month’s cut to the official cash rate. Michael Every is, …
Following the release of the Report on Foreign Investment in Residential Real Estate from the House of Representatives Standing Committee on Economics in November 2014, the Australian Government has today released a consultation paper on proposed reforms. According to Foreign Investment Review Board (FIRB) statistics, The House of Representatives Standing …
The South Australian Government has today launched a discussion paper on the state’s taxation system, calling for interested parties to make submissions. While the discussion paper makes no recommendations, one tax reform idea put forward is to abolish stamp duty on property transactions (conveyance duty) and replace it with a …
Copyright 2006 - 2022