property

Bullish on property-related stocks

The housing story keeps improving. Capital-city auction clearance rates remain elevated despite doom and gloom about high-profile company closures and job losses. The 8.3 per cent surge in house approvals for January suggests faster housing construction than the market expected. Economists such as AMP Capital’s Dr Shane Oliver now tip Australian economic growth to pick…

Explainer: why negative gearing is bad policy

By Helen Hodgson In an ideal (and economically efficient) world, tax policy would not influence the investment or consumption choices taxpayers make. In reality, this neutrality is rarely achieved. External factors influence choices, which then fail to conform to rational economic models; or the tax system may be deliberately used to intervene in the market…

Are SMSFs inflating a property bubble?

By Helen Hodgson Self managed superannuation funds (SMSFs) have come under criticism from regulators amid concerns that the sector is over-investing in the residential property sector. The profession has hit back at the criticism, saying that most SMSF borrowings do not relate to residential property, and that the surge in the cost of housing is…

Home equity: Australia’s growing wealth divide

By Nicole Gurran and Peter Phibbs For all our talk about housing affordability, few people want house prices to drop. That’s because most Australians are home owners, and much of our wealth is stored in housing. But recent figures released by the Australian Bureau of Statistics (ABS) suggest a growing divide between those enjoying the…

How stressed are we when it comes to housing affordability?

By Gennadi Kazakevitch, Monash University; Lionel Frost, Monash University, and Luc Borrowman, Monash University Property pundits are hoping the Reserve Bank of Australia’s latest cut to interest rates will help stoke the country’s flat property sector into life. But Australia’s housing remains highly over-valued, according to some sources, with worryingly high levels of private debt…

Do Australians spend too much on housing?

By Wealth Foundations For those who own their own home and don’t have a mortgage their sense is often that other than for costs like council rates, utilities, building insurance and maintenance they don’t spend anything on housing. For those with a mortgage, they may add in the cost of their loan repayments. But this…

Where to for house prices in 2013?

The usual suspects are talking up the prospects for Australian property prices as the New Year approaches, with permabull and Australian Property Monitors senior economist Andrew Wilson forecasting 3-5 per cent growth nationally, and BIS Shrapnel managing director Robert Mellor calling for between 2 and 8 per cent growth for Sydney. Such calls range from…

Australia’s property market resembles a Ponzi scheme

By Philip Soos, Steve Keen’s Debtwatch Recently, Australian property analyst Terry Ryder, in an article on Property Observer, voiced complaints about housing bubble advocates. His issue is “waiting for someone who subscribes to the bubble theory to actually define it. So far, nobody has. The term implies that something has been over-inflated and will burst.”…

Are we facing a property market correction? You Tell Us

A property slowdown in China is altering the list of who’s who in China’s billionaire ranks. Property is no longer the top source of wealth for Chinese billionaires, losing out to those engaged in manufacturing-type businesses. Could the same happen in Australia? The Credit Suisse Global Wealth Report 2012, just published, highlights how significant property…

Commercial Property Offers Top Yields For Self Managed Super Funds

Australia’s army of self-managed super funds (SMSFs) has discovered property investment. But it is slowly weaning itself from its predilection for residential property. Commercial, retail and industrial property are the new frontiers for SMSFs. According to the Australian Taxation Office (ATO), more than 15 per cent of total SMSF assets – which amount to more…

Best Resources & Offers