Tags: Australian real estate market
RBA rate rise a sound decision for economic sustainability
March 4th, 2010Harcourts Managing Director Mike Green has applauded the Reserve Bank of Australia’s (RBA) decision to increase official rates by 0.25 per cent.
“During the last 12 months we have seen the RBA act cautiously, which allowed market growth to gain its momentum before the RBA took further action. This is a very sensible approach in my opinion,” Mr Green said.
“Harcourts has seen a steady market, with figures across the Harcourts Group in February of this year reflecting a twelve per cent increase on February 2009.
“While this percentage increase isn’t large, it’s steady, which indicates a market that is ready for a minor increase like this rise of 25 base points,” he said.
“And interest rates are still very low compared to historical numbers, so I consider a cash rate of four per cent to be extremely favourable,” he said.
“We must bear in mind the Australian economy has performed well during the last two years in…
RBA decision bodes well for Australian property market
February 5th, 2010The Reserve Bank of Australia on Wednesday made the decision to hold an interest rate rise. This is a welcomed reprieve for the real estate industry, and will be appreciated by many families and businesses.
Due to previous rate rises, banks have increased their interest rates by several points over recent months.
Glenn Stevens Governor of Monetary and Policy Decision said since information about the early impact of these increases is still limited. The Board judged it appropriate to hold a steady setting of monetary policy for the time being.
Managing Director of Harcourts International, Mike Green, said to ensure the market is able to withstand further increases in the future, the RBA needed to make the decision they did.
“It would have been premature to count our economy strong enough to endure four rate rises in less than six months.
“This has already been reinforced by the weaker retail sales figures for December, which…
Year opens on a high for Australian property market
January 19th, 20102010 is in good stead thanks to the 2009 property market year-end figures, one of the most challenging years in the history of the Australian economy. All Australian capital cities recorded strong annual house price increases, providing a solid platform for 2010.
Harcourts International’s Managing Director, Mike Green said 2009 statistics indicated Darwin recorded the highest house price increase of approximately 12.3 per cent from the previous year. Melbourne and Canberra followed, with solid price rises of 8.4 per cent and 7.8 per cent during the same period.
“Sydney also recorded a house price increase of 5.9 per cent up from the previous year (2008), and prices continued to rise in Brisbane (5.6 per cent), Hobart (5.4 per cent), Perth (4.4per cent) and Adelaide (3.7 per cent) – averaging just 2.2 per cent below the March 2008 peak,” Mr Green said.
According to Mr Green, the rise in house values strongly indicates a…
Investors return to Australian market, remain active in NZ
November 30th, 2009First home buyer activity is starting to decrease across Australia but investors are returning to the market there and remain active in New Zealand, according to Harcourts International Managing Director Mike Green.
Mr Green says that in Australia this year most activity has been from first home buyers taking advantage of the Government’s First Home Owners grants and boosts, as well as low interest rates and the best housing affordability in several years.
“With the First Home Owners boost decreasing and interest rates climbing a little first home buyer activity is slowing down, but the Australian economy is improving and there is increased confidence from investors who are slowly returning to the market with all price brackets becoming more active,” he says. “This is good news for the Australian rental market as more opportunities should be provided for renters who are struggling to find properties due to the current low vacancy rate.”
Meanwhile…
