Do you remember buying a whole album because you liked a few songs? We find the same phenomenon happens with property reports.
Nearly every property report contains some valuable insights but it is a very rare occasion when the whole report is worthy of acclaim.
As you know, we receive and purchase numerous property reports so that we can pass on some of that knowledge to our clients.
The following summary is a compilation from two key reports:
1. 9.7% of Australian properties resold over the final quarter of 2013 sold at a loss, down from 12.6% of sales a year earlier (RP Data).
2. Across the combined capital cities, 6.5% of sales were at a loss compared to 9.8% a year previous (RP Data).
3. The total value of these losses nationally was $457 Million, meanwhile $15.2 BILLION in profit was realised over the quarter (RP Data).
4. 71% of potential first home buyers think the Australian dream of owning your own home is realistic, up from 67% in September 2013 (Genworth).
5. 42% of Australians believe now is a good time to buy a home. However, well over half of the existing property investors believe that now is a good time to buy (Genworth).
6. The average hold period of loss making sales was 5.3 years, while the average hold period of profit making sales was 9.9 years (RP Data).
7. The regions with the highest proportion of loss making re-sales were: Regional Qld (23.7%), Regional WA (19.3%), Regional Tas (18.0%) (RP Data).
8. The regions with the lowest proportion of loss making re-sales were: Sydney (3.6%), Perth (4.3%), Melbourne (6.0%) (RP Data).
9. The reading of consumer confidence fell for the fourth consecutive month and moved below the 100 mark where optimists and pessimists are equally balanced. With a reading of 99.5, the index is virtually at a neutral setting (RP Data)
Michael Daniels, B.Com
Smartline Personal Mortgage Advisers
State Manager NSW & ACT
DISCLAIMER: The information contained in this article is correct at the time of publishing and is subject to change. It is intended to be of a general nature only. It has been prepared without taking into account any person’s objectives, financial situation or needs. Before acting on this information, Smartline recommends that you consider whether it is appropriate for your circumstances. Smartline recommends that you seek independent legal, financial, and taxation advice before acting on any information in this article.