Fed: REIA says property market might be losing some heat
Property (CANBERRA)
The Real Estate Institute of Australia says property market
figures show prices continued to rise through the June quarter.
The Institute says smaller price rises for flats and townhouses
seem to support comments that some heat is coming out of the
property market.
But the Institute says sales normally slow in the lead-up to
winter.
The Institute’s quarterly review has found house and flat prices
grew more slowly in the second quarter of the year than they did in
the first in Sydney, Melbourne, Perth and Hobart.
It says Darwin showed a slowing in house prices, and Canberra in
flats and townhouses.
Institute president JOHN HILL says rental markets have also
begun to stabilise in most markets, and vacancy rates have risen in
all capital cities.
The Institute says Sydney apartment rents were just 1.9 per cent
higher in June than the same time last year, and Hobart rents
stayed the same.Richmond,
Would that mean if you were looking at buying an IP now, it would be best to wait awhile till the prices come down again [?]
Regards,
Arty.[
]
“Why work to the age where you cant enjoy
what you have worked for !.” (Author: Me)As AD says, and as I believe as well, if you find a deal and the numbers add up, go for it.
Cheers
rHey Richmond, hope you’re well. Recently I heard that the Fed Reserve were considering hiking interest rates to slow the housing market. If the market is slowing by itself, is there still the need to raise rates (assuming the economy stays as is or close to it)
Rregards
Marty
Richmond/Maximus, [
]Wouldnt that mean, the margin you make from your tenants lease to the IP loan will be smaller or even in some cases -ve geared. So next rent review ie every 12months you would need to adjust the lease up to align with the interest rate increase.
Im guessing there would be a condition in the lease agreement stating that the lease is subject to changes in CPI/Interest Rates ?
[
]Regards,
Arty.[
]
“Why work to the age where you cant enjoy
what you have worked for !.” (Author: Me)
]
]
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