Archive for 'Property Cycles'

Some Gloom ... Yet More Glee!

Posted on 30. Jun, 2010 by .

1

The US Federal Reserve is concerned that consumption is still being underpinned by government funding. And so, even though stimulus measures may be winding down ... the Fed has decided to maintain interest rates at their historically low level. It seems that households and businesses are preferring to repay debt, rather than spend to encourage [...]

Continue Reading

"Things Can Change So Quickly"

Posted on 15. Apr, 2010 by .

1

Have you stopped to think just how things have changed over the past 25 years? Just take a look at the global trade figures for the United States, Japan, Germany and Britain. After the United States, China is now the world's largest economy. However, it is currently the largest exporter; while being the second-largest importer. [...]

Continue Reading

CBD Offices on the Move

Posted on 17. Mar, 2010 by .

1

Westpac has just released an Australia-wide outlook for Commercial property. And it predicts you will start to see growth in rents and values during 2010-11. As employment numbers grow with the improved economy, demand for Office space will also take off again.

Continue Reading

Election Year Blues?

Posted on 11. Mar, 2010 by .

1

It's not just rising interest rates that the Rudd government will have to contend with, in the run-up to the next election. The joy of the resources boom restarting brings with it certain unwanted side effects. What you will start to see is wage rate increases; plus the drawing away of materials and equipment, from [...]

Continue Reading

"How Baby Boomers affect
your Commercial Property"

Posted on 10. Feb, 2010 by .

0

Last week, you hopefully gained a clearer understanding of the timing (and impact) Baby Boomers will have on Residential property, until around 2025. Most people probably feel all this would have little or no impact on Commercial property. And for some of you, that might be true. But I suspect there are many Boomers, where [...]

Continue Reading

Your Opportunities Moving Forward?

Posted on 21. Jan, 2010 by .

2

There has been much written already about the global financial crisis. But in layman's terms, it occurred as a result of capital imbalances occurring throughout the world. And nowhere more so, than in America. The principal cause can be found with the high levels of US debt-funded consumption. And in order to better understand this [...]

Continue Reading

Biggest Economic Threat For Australia

Posted on 13. Jan, 2010 by .

3

It might surprise you to hear this, however ... A Strong US Recovery ... would probably be the worst thing to happen for Australia in 2010. If that occurs, the US Federal Reserve would be forced to quickly raise interest rates, from zero to around 3%. And that would cause the collapse in the Australian [...]

Continue Reading

Your Handy Economic Clock

Posted on 27. Nov, 2009 by .

0

Over the years, you have probably seen various economic clocks explaining the different phases, and their relative timing. Anyway, I came across this rather useful one the other day. As you'll see, it is actually a "Multi-asset Investment Clock" — in that you have all the sectors displayed together: Shares, Property, Resources and Interest rates. [...]

Continue Reading

How Interest Rates Affect
the Property Markets

Posted on 17. Nov, 2009 by .

5

If the Reserve Bank (RBA) further increases rates in December, you will start to see the housing market plateau in the New Year. However, this should have little or no immediate effect on the rest of the economy. In all discussion about Australia's improving economy and retail spending, there has been little regard placed upon [...]

Continue Reading

Australian Commercial Property
Is Runnning Its Own Race

Posted on 16. Oct, 2009 by .

0

Unlike the US and Europe, Australia has not suffered a banking crisis. Therefore, our banking system is still capable of providing credit for normal growth. With the US unemployment rate approaching 10%, this will delay any quick turnaround for the Commercial property sector. As you would expect, there is a strong correlation between high unemployment, [...]

Continue Reading

Thankfully, The RBA Displayed
The Courage of Its Convictions

Posted on 08. Oct, 2009 by .

1

Clearly, many households and first home buyers will have reason to complain ... but someone had to step up and show leadership. And it certainly wasn't going to be the Labor Party. By increasing the official cash rate from 3% to 3.25%, the RBA has signalled its intention to ensure Australia's financial future remains the [...]

Continue Reading