Friday, 25 November 2016

Next Booming Suburbs

There are few facts you may not know about Melbourne sunny suburbs. Extensive investment in infrastructure and amenities will drive demand for property and pull up prices. The property market in the city of Casey, in Melbourne south-east has been growing with many suburbs attracting rising sales activity. The area’s rising population demands new housing estates and the state government long term planning document has identified several suburbs in Casey to play a major role in service delivery and creating employment. There are few more cities that are going extremely well in housing estates.

    Logan city

Logan city combines affordable property, good infrastructure and proximity to job hubs, many of the region older suburbs have been revitalized through urban renewal projects and Logan is already one of the fastest growing municipalities in development on the way.

     Morton bay,

The region offers affordable housing as well as good rail and road links to Brisbane and the sunshine coast, making it a strategically placed property market.

     Sunshine coast,

Billions of dollars in service upgrades, including the development of a $5 billion medical hub, are driving an influx of new jobs to the area, in the process, boosting demand for housing.

     Hobart, Tas:

Tasmania’s economy is rising on the back of big improvements in tourism and business investment after years of lackluster economic activity. The property market has started to respond, with sales activity steadily improving since 2012.  

  These were the few suburbs that can give you a new lease of life.


Friday, 18 November 2016

Melbourn Real Estate price is continuously climbing

When talking about Australia, how one can forget to address the elephant in the room , means Melbourne. 
The market of Melbourne is one of the best for sellers of houses and apartments in a number of years, REIV CEO Geoff White has announced this.

While releasing the latest property prices for the every Melbourne suburb, he said that the Spring market is delivering everything  that the home sellers needed: solid price growth, high clearance rates, and off course the strong buyer demand.

In the month of September, the city’s median house price increased from 3.2 per cent to $740,000 Melbourne-wide, he told.

“The median price increase is taking place in tandem with a Spring clearance rate of close to 80 per cent, the highest in seven years,” he added.

Everything is basically aligned for the sellers, who are benefitting from strong buyer confidence and record low interest rates.
Talking more the Melbourne’s inner and middle suburbs, those were the main growth drivers in the September quarter with house prices in these regions was up 4.2 and 3.5 per cent respectively.

 Well, After two such successive quarters of strong price growth, the city’s outer suburbs also recorded more moderate growth of 1.1 per cent. 

Apart from this the apartment prices across the city also increased in the September quarter with the metropolitan median up 2.1 per cent to $545,500. 
As the price is climbing high it can be said that  the investment in the suburbs of the Melbourne is a nice option to carry on, as it seems benefiting in a long term.

Saturday, 12 November 2016

Melbourne Cheapest Suburbs

Talking about the Melbourne rental system and this new news has come; the actual and median rental price in Melbourne is $458 a week, and as the new figures have arrived, it is quite impossible to have a better deal without sacrificing the location.

Well, it is the bitterly sweet truth that the sophisticated areas of any place always cost high, if you are planning to shift but also when talking about the suburbs area of Melbourne, still the price confliction comes.

The rental price always varies and moving just a few kilometers away can mean spending a lot less on the rent. However, the renters also require a place from where they can be near to their workplace within 10 kilometers from Melbourne CBD'S. So, how one can have both the things in one hand?

The answer is Gardenvale, the cheapest suburb that anyone can find within 10 kilometers of Melbourne CBD. In the Gardenvale, the renters can find the price $295 per week, which is quite cheap. Apart from Gardenvale, Footscray also offers median rent about $320 per week to the renters.  Following these two Kingsville, also offers the median price $330, which is a good amount but not too expensive that nobody can afford.

So, from the price value, the comfort level in terms of expenditure can be easily drawn as these places are quite near to the working place and also have a nice surrounding.

Monday, 7 November 2016


The big argument this week was whether Gen Ys should forgo some smashed avo to save up for a house.
 If your baby boomer parents are hassling you about speeding up into the market to avoid being locked out forever, here are a few responses you can shoot back while you sit down, eat your smashed avo, sip your latte and relax.
·         Australian real estate has never been more expensive
A recent study by global investment bank UBS, using a technique developed by a branch of the US Federal Reserve, showed Australian house prices were about 7 percent above previous peaks in 2003, 2007 and 2010.

·         We do not have a property shortage and are heading for a glut

Prices have jumped because we have a terrible housing shortage, I hear the property spruikers reply.
Even in those locations where we might have had a scarcity, it will soon be replaced by a glut.

·         We are in one of the world's biggest property bubbles

Seriously, prices are at record highs in Australia's two biggest cities, and many other areas, in absolute terms, comparative to incomes, relative to rents, relative to just about any other measure you care to name. At the same time, household debt, and particularly housing debt, is at a record high.

·         Inflation is not going to help you pay off your massive debt

Basically, rates are stumpy because inflation is low. Inflation is low because wage enlargement is slow. Slow wage growth means that the size of your repayments doesn't contract much relative to your pay packet over the decades it takes to pay off a home loan.
This is in difference to most of the baby boomers. Yes, they had to put up with crest mortgage interest rates of 17 percent for a while, but inflation was also much higher which meant the real size of their debt and repayments fell over the life of the loan.

·         Interest rates are more likely to rise than fall

There's additional bad news. If inflation does pick up over the medium and longer term, then an inflation-targeting Reserve Bank will have to raise interest rates in response.
While you can get a sub-4 per cent interest rate on many home loans now, more typical interest rates would be around 6.3 percent, which is the average discount variable rate over the past 12 years.

·         The dangers of negative equity

If you consider that we are in an overvalued housing market, then a key danger you should think about is negative equity. This is where you owe more to the bank on your home loan than your house or flat is value.
Provided you can afford the loan it doesn't have to be a disaster, as you can often ride out a fall in prices by not selling and wait for an ultimate recovery.
But it could be a long wait and, in the meantime, you are successfully locked into your home and mortgage because if you sold you couldn't pay back the bank and you'd be bankrupt.


Being older doesn’t automatically mean you are wiser.
A new study reveals how Gen Ys are outsmarting their baby boomer counterparts when it comes to the property market.
The findings from renovation and design platform Houzz demonstrate that more than half of Australian homeowners took on a home renovation in 2015, with a similar portion planning to do so in this year.
The main reasons for renovating versus buying a new ‘perfect’ home comprise wanting to stay in the same land/lot, longing to remain in their current neighborhood or because it is more affordable.
However, if you excavate down into the data, you will find that the age group most likely to renovate because it is the most reasonable option is Gen Y.
In this generation, more than a third  cited affordability as the top reason for renovating versus buying.
According to Houzz’s managing director Jason Chuck, this is confirmation of how intellectual young buyers are being when it comes to buying into the property market.
“I think specified the current real estate climate they are reasonably active when it comes to home upgrades and this allows them to be more open minded to the types of homes they are eager to consider,” Mr. Chuck told.
“I think they’re thinking a lot more proactively around their home and I think they are putting a lot of consideration into the fact they are trying to find homes they can invest in and that they believe are going to be a strong return on investment.
“We are hearing from this generation that they recognize the homes that can be renovated are a much better return on investment. It is something they can devote in overtime as well.”
This is in contrast to the older demographic who emerged as less open minded and more likely to “try and stay in the same place”.

“We do find that 85 per cent of millennial is hiring proficient help for their renovation projects. Some of the most popular trades that they enlist help for are electricians, plumbers, and carpenters,” Mr. Chuck said.
Before you say, pshaw, it will by no means happen, stop and think. It already has, about four decades ago, when baby boomers – the last generation of this size – took both the political and the economic status quo, twisted it on its head and shook it. The catalyst for what is happening today is pretty different – an economic crisis rather than a war – but it’s far from impossible that the combination of political and economic stressors could end up creating radically new rules of the road.