mrd

If you were to read just one of my newsletter articles a year… read this one!

I want to shake people’s thinking… to see past the “noise” of contradiction.

I want to impress simply and clearly that winds of change ARE blowing.

These winds WILL have a huge impact on you.

Whether for better or worse… is up to you!

You Need To Know

Firstly, you need to understand exactly what’s going on and then… how to responsibly act on that knowledge.

Let’s get into it…

Are You Confused?

• Why are we hearing opposing messages from the Board of the Reserve Bank of Australia (RBA)?

“House prices will be boosted by increased population growth and immigration”- Ric Battellino, RBA Deputy Governor

“The property market is what people should be most worried about at present” – Glenn Stevens, RBA Governor

• Where are interest rates headed?
• What should Australia’s immigration policy be?
• Why is the debate surrounding population growth so intense?
• Why did Kevin Rudd appoint a Population Minister?
• Will housing affordability improve or worsen; can the government really do anything about it?
• How are these issues likely to effect YOUR financial security Read more…

January 19th, 2009

DON’T worry, be optimistic and get ready to buy in early 2009 is the advice from a real estate expert.

Ray White Surfers Paradise Group chief executive officer Andrew Bell yesterday dubbed 2009 ‘The Year of Optimism’ during the presentation of his annual Gold Coast property report and forecast.

Mr Bell said there were positive signs in all five key drivers of the market — the economy, interest rates, population growth, employment and housing affordability.

“The fundamentals are there and the property market ‘planets’ are in alignment,” he said.

>>> Buying property is fine in ’09 – Local News – Gold Coast, QLD, Australia.

To make sense of the property market we must separate opinion from fact. Opinions will always be heard… just in greater numbers now perhaps. If you are prepared to “drill deeper” and dissect the evidence available; the facts will speak for themselves. There’s no reason for allowing the conflicting voices of opinion to keep you confused!

In the current round of Web Seminars we are offering, I highlight four key factors that are a MUST… if you expect to draw any credible conclusions.

1.    Record Population Growth
2.    Investors Have Fled The Market
3.    Home Ownership Unattractive
4.    New Construction Has Stalled Badly

Read more…

RP Data – Rismark Property Value Index Release
Released 01 October 2008

The national end of month property indices report released today by RP Data & Rismark International confirms that the supply and demand imbalance currently being experienced in the Australian property market has placed a floor under housing prices, resulting in minimal value falls.

Read more…

When investing, we look at things from a different perspective to a home owner and what may be fear and trepidation to one is a potentially burgeoning opportunity to another.

“Be Fearful When Others Are Greedy and Greedy When Others Are Fearful”
- Warren Buffett

So how do you interpret the headlines and the media commentary on our property markets as an investor?

Read more…

In her book ‘Your Investment Property’, Anita Bell comments that her readers probably didn’t expect her, at the end of her book, to ask them whether they should seriously question if they should give property investment a miss.

She encourages her readers to ‘please consider long and hard how much extra money, maintenance, management and effort will be needed to operate an investment property… and then see if I can change your mind about getting into the whole mess before you have to find out the hard way that you are not suited to it.’

So with that introduction I propose that before you get involved in the world of investment property that you should enter the world of investment property ownership with both eyes wide open, so that you are better prepared to make wise decisions that will secure your financial future.

Read more…

Houses, houses, houses. The market is always talking about houses – prices, affordability constraints, clearance rates. But what about the apartment market; that often forgotten or disregarded little brother of the housing sector? The news is, in a word, mixed. Just how good or bad the apartment market has performed in the softer conditions of 2008 depends very much on where you stand, whether you’re an owner-occupier, investor or renter. There’s no denying that the past six months have been pretty tough for the property sector, especially in light of last year’s hyperactive market.

The picture is far better when considered over the long term, with REIV data showing apartments experienced a five-year (2002-2007) price growth of 33.6%, compared to 26.9% for houses. The reason, agents and analysts say, is simple: affordability. Even with this level of price growth, apartments remain a comparatively cheap entry point into the housing market, arguably one of the last bastions of affordability for first-home buyers and middle-class Australians.

Read more…

By Darren Baker-West (Senior Partner: GFM Accountants)

Whether to choose an investment property that will deliver a higher capital gain or better rental return is a difficult decision for many investors and would-be-investors alike. However, equally as important is the selection of whom or what entity should be nominated on title as purchaser of the property.

I see many clients who have spoken to their ‘mates’ who advise them that the family trust structure should be the only purchaser of property. Given that everyone’s circumstances are different, there are a number of questions that should first be asked before any decision of ownership is made.

Read more…

A MILLION new homes need to be built over the next five years to cope with Australia’s booming population, new figures out from the Housing Association show.

The number of houses currently being built falls well short of this, and according to the HIA, there’ll be a shortfall of at least 175,000 houses if current building rates continue.

The outlook is even bleaker if household sizes keep shrinking – ie more people choose to live alone – this could blow-out to a 240,000 shortfall.

“Supply must increase rapidly to meet expected demand,” said the Housing Industry Association’s chief executive of policy, Chris Lamont.

“Without a substantial increase in production there will almost certainly be a growth in the number of homeless and further affordability woes.”

He said the increased demand for new housing was driven by two main factors: rising immigration, and more people choosing to live alone.

Australia’s population grew by 332,000, or 1.6 per cent last year.

Source: news.com.au

Hi Clifton Views Purchasers,

Clifton Views is progressing quickly now with stage 1 due for completion in September 2008 and stage 2 due January 2009.

There is some great stuff happening in Cairns as a copy of an article from the Sunday Mail below explains.

When researching an area in which to invest, the fundamentals that support its long term capacity to grow; and by grow I mean double in value every 7 – 10 years at least, is vital when making a well informed low risk investment decision.

Population growth is one of those factors that underlie and sustain an area’s price growth potential. Supply and demand will always be the major determining factor for price movement. So what we want to see is a place people want to live and are moving in droves creating a problem for councils and governments! New planning needs to take place, infrastructure spending is required and managing the growth in relation to urban development, transport, environment etc. is critical.

This is the case for Cairns!

An article released in the Sunday Mail, 18 May 2008, speaks of State Government plans to accommodate up to a 70% of the projected 100,000 new residents moving to North Queensland in the next 20 years, in Cairns.

This huge growth would be a 46.7% increase over the current population of approximately 150,000 people. That’s an extra 3,500 people per year moving into the city.

Following is the article from the Sunday Mail. Below that is your Clifton Views Construction Update and photos.

Read more…