Sound Bites | Property Market Update - August 2018
I am Andrew Cull from Sound Property Group. A lot of you may have heard by now that the RBA has kept the official cash rate at one and a half percent in the month of August.
Amazingly this has been kept at this rate for the last 24 months in a row since August 2016. While it may appear that money is still cheap, it is definitely getting hard to get with the Royal Commission into the banking industry and lenders scrutinising what people are putting down for their expenses on a loan application at the moment.
That’s why it is becoming [00:00:30] more and more important to seek a great mortgage broker to help navigate you through the different bank policies and find the right product which is suitable for you.
Vacancy rates are a key investment driver that we look at Sound Property, which measures the amount of available stock in any area or any suburb. Interestingly, Sydney is taking over places like Brisbane at the moment in terms of the vacancy rate creeping up. In some areas in Sydney – according to hot spotting – have now been identified as danger [00:01:00] zones, mainly around the high-density areas such as south of the CBD, towards the airport and also around the Parramatta area.
CommSec have also just released their July quarter ‘State of the State’s’ report which looks at eight key economic indicators across different states and territories. Again, a great tool for us as property investors to understand what is going on in each of these individual markets. New South Wales has now [00:01:30] lost its pole position to Victoria in terms of rankings the best-performing economy.
But it is interesting to see that there are literally hundreds and thousands of property markets around the country and not just one like the media sometimes like you to believe. If anyone would like to hear more property investment news, please sign up to our monthly newsletter, where you can get more updates and property investment case studies.
Presented by Andrew Cull