Interest rate cuts in February and May have added about $8,000 to house prices in Sydney and Melbourne, according to new research.
Moody’s Analytics has found that national house prices usually increase by about 0.5 per cent every time the Reserve Bank reduces the official cash rate by 0.25 per cent, as has occurred twice this year.
A proposed housing scheme could make it easier for young and old Australians to find suitable homes at affordable prices.
New South Wales peak youth affairs body Youth Action has urged the state government to trial a ‘homeshare’ model it says has proven successful in other states and around the world.
Clampdown on lending will keep interest rates low
The major banks' clampdown on lending to landlords will help the Reserve Bank of Australia to keep interest rates at record lows by dampening the investor-led housing boom, economists predict
Credit repair companies regularly mislead and exploit vulnerable consumers, according to a regulator’s report.
The Australian Competition and Consumer Commission (ACCC) has voiced “widespread concerns about the practices of credit repair businesses” in a new report on the debt collection industry.
With all the talk about variable rates lately, the question to ask is do I have the best interest rate in the market ? Is it time to review your home loan or perhaps considering fixing or at least fixing part of you home loan? If you want to secure a home loan interest rate lower than it has been in decades.
Consider fixing now and why ?
Do you know what interest rate you are paying on your Homeloan loan?
Is it worth discover how you paying on your loans and putting extra money into their bank managers pockets, more than they need to.
Typically this happens when the 1300WHATLOAN team review a client’s finances and establish they are paying too much interest.
Right now, it is highly likely that many are paying too much interest as there is significant competition among lenders.
The brokers in the 1300WHATLOAN team have been able to arrange very low variable and fixed loans for clients – many with interest rates below 4 per cent. But there is no guarantee that these ultra-low rates will be available forever, So clients are advised to contact their 1300WHATLOAN as soon as possible to lock in these low repayments.
A combination of capital growth in the past years, as well as these low rates, is making it attractive for many who are reviewing their loans to create a further property investment. By tapping into the equity in their property and taking out a lump sum they then have the deposit to invest in another property.
MPA's first ever Consumers on Brokers survey revealed exactly what clients had to say about their brokers.
Respondents were asked ‘What would you say to a friend thinking about using a mortgage broker? and the majority of replies were very positive.
The comment "go for it" was received no less than four times, while others used creative comparisons to express their satisfaction.
“Using a mortgage broker is like using a sherpa on a mountain hike," one respondent said. "You could probably do the hike without them but it makes the whole process a lot easier.”
Two recurring features across many comments were quality of service and accessibility, where the broker took the time to fit in with the client's schedule and what was happening in their life.
“When you get a good mortgage broker like mine, you will feel like you have a friend who happened to be a professional as well,” said one respondent, while another said, "Highly recommend my mortgage broker. Wouldn’t do it any other way. It’s too large an investment to leave anything to chance”.
Some comments included questions to ask a broker to help customers in choosing the right one for them.
Read the full article
Liberal, Labor and Greens parliamentarians have joined forces to call for an end to stamp duty.
The final report of the Senate Economics References Committee’s affordable housing inquiry described stamp duty as a “flawed” revenue source.
“The committee believes stamp duties are an inefficient, productivity-damaging form of taxation, which ultimately increases barriers to home ownership,” the report said.
Multiple inquiries found that stamp duties undermine housing affordability, distort housing choices and reduce the efficiency of land use, according to the report.
It also noted that stamp duties reduce people’s flexibility around their housing options, which in turns reduces labour mobility and hurts economic productivity.
The committee noted that stamp duties represent a significant source of revenue for the states and thus should be replaced by “more efficient forms of taxation”, such as broader land taxes.
It was acknowledged that such a transition would have a negative impact on asset-rich, income-poor households and retirees.
However, the committee said that governments could offset this damage by providing exemptions for owner-occupiers who would be unfairly affected by a broadening of the tax.
“Meaningful reform is difficult, but it is no less important for being so,” the report said.
“The committee believes that if the will exists, it will be possible to phase out stamp duties in a way that is revenue neutral, equitable and has a positive impact on housing affordability.”
Although stamp duties and land taxes are state issues, the federal government needs to lead the process of coordinated reform, according to the report.
“This engagement would be based on a recognition that the implementation of such reforms should ideally take place as part of a broader process of taxation reform, possibly in response to the [forthcoming] tax white paper.”
The committee consisted of seven Labor parliamentarians, five from the Coalition, two from the Greens and two independents.
TEL: 1300 942 856
CONNECT WITH US
Copyright 2015 1300WHATLOANS . ABN 909 24 823 961. Australian Credit Representative Licence Number 417176. Privacy | Disclaimer | General Advice Warning | Sitemap | 1300whatloan.com.au |