Property news this week 17.12
Happy Monday everyone!
So the annual reports have started to roll in, and there is lots of good news popping upper 2018. Here is a summary, from a recent news.com.au article
Australia's first $100 million house sold
First non-waterfront property to reach $58 million
Victoria's most expensive home sold for $52.5 million
In addition, there have also been some healthy sales in Palm Beach.
Clearance rates, meanwhile, are holding on to just over 40pc.
Let's be real. Even though the numbers are hard to ignore, there is alot of scaremongering that continues. Yes, it's tough. But this paragraph from SMH puts it all into great persective.
Unless they are forced to sell because of some family crisis or losing a job, most households will hardly notice that their house is worth less on paper. Even those who have to sell their investment properties, or even the family home, will not necessarily suffer too much. While house prices are down 6 per cent, they are still twice as high as they were a decade ago. Anyone who bought more than two years ago can still sell their house for more than they paid.
From Business Insider comes a report on what the goverment predictions for the economy are over the next couple of years, and it is looking quite healthy. Of course, as mentioned before, the challenges posed by the property downturn cannot be ignored, but the flipside is that interest increases are looking unlikely;
The good news for existing borrowers is that a significant increase in official interest rates is not imminent and there’s even speculation that the struggling property market could result in a rate reduction to help stabilise the economy.
Have a great week everyone!