Considering Buying A House? – Current opportunities are Unbeatable!

A recent survey was conducted across Strathpine to Kallangur on 3^rd June 2013. At survey there were 125 real estate agencies controlling the market and David Deane real estate rated NO#1 over the last six months for both house listings and sales.

Prices have flat lined since 2007. Current prices generally represent fantastic value which is way below replacement value. If value is what buyers want they will get no better opportunity than an extended lull in the market which has always preceded a substantial lift in prices.

Rates remained a 53 year low today at 2.75%. Speculation of further modest falls abound, but its near the bottom.

Over the years we dreamed about low interest rates, never imagining we would see less than 5% on offer! This is fantastic considering that rental properties are returning this sort of figure in weekly rents. It sounds like some further falls may be forthcoming.

Finally the share market is struggling. Many investors chasing returns may well redirect their funds to residential real estate. With a likely change federally we could expect business confidence to improve which just might give the whole community a lift as we return to less turbulent days and an end to the carbon tax.

So at the moment the Strathpine district can be summarised:

- Plentiful supply of good homes listed for sale
- Low prices for the last six years
- Lowest interest rates in history
- Closer now to next market lift!

Although the supply is good it will not take long for various price ranges to become short which could result in some sharp increases in price. This is what has happened historically over the last 50 years.

LOCAL REAL ESTATE AGENT NAMED ONE OF AUSTRALIA'S BEST!

 

KEY POINTS

 

. Report uncovers the country’s top 100 real estate agents

. Local real estate agent Mark Rumsey makes the list

 

 

Tuesday 21 May, 2013: A local businessman has been named one of Australia’s leading real estate agents in a national list of top performing agents.

 

Mark Rumsey of David Deane Real Estate Pty Ltd in Strathpine has been included in the 2013 Real Estate Business Top 100 Agents benchmark report which ranks real estate agents across Australia according to a range of 2012 calendar year business metrics,

including sales volumes, sales dollars and average sale price.

 

According to the report, Mr Rumsey sold 118 properties in 2012, totaling more than $39.7 million – an extraordinary feat given current market conditions, Stacey Moseley editor of Real Estate Business said.

 

“While market activity picked up slightly in 2012, we are still a long way from saying the Australian property market has fully recovered,” Ms Moseley said. “Economic uncertainty still looms over consumers and as a result, market confidence has taken a hit with fewer buyers and sellers willing to take the plunge.

 

“In boom markets everyone can prosper, but when times are tough, only those agents with the right business acumen can truly excel.

 

“The Real Estate Business Top 100 Agents ranking provides consumers and industry leaders with insight into those practitioners who are going above and beyond their peers to ensure they get the best result for their clients,” she added.

 

Partnered by leading property analytics company, RP Data, the 2013 Real Estate Business Top 100 Agents ranking was based on submissions supplied by the leading agents across Australia.

 

The data collected included sales numbers, sales volumes, years in the industry and listing numbers, among other information, with RP Data verifying the sales data provided by every agent.

 

More than half of the Top 100 Agents were based in New South Wales(57), followed by 15 in Victoria, 12 in Western Australia and 9 in Queensland. The ACT featured 4 agents, while South Australia and the Northern Territory achieved 2 and 1 agent respectively.

 

 

Eight Tax Breaks for Homeowners

Taxes are due April 15, which means it’s time to start gathering your receipts and bank statements.

But before you sit down with your accountant, it’s important for you to know that merely owning a home could mean you qualify for tax breaks. In most cases, you need to itemize your taxes in order to take advantage of these deductions. Yes, it makes the tax-filing process seem impenetrable, but the benefits may outweigh the complications.

Here are a few of the tax breaks you’ll want to investigate:

Mortgage interest paid at settlement

Take a look at your closing statement; one item that’s generally listed there is home mortgage interest. On a mortgage of up to $1 million, you can deduct the interest that you pay at settlement if you itemize your deductions on Schedule A (Form 1040). This amount should be included in the mortgage interest statement provided by your lender.

Points

Did you pay points in order to obtain your home mortgage? These fees are included on the income tax deductions list and can be deducted as long as they are associated with the purchase of a home. If you refinanced your home, these points are still deductible, but it must be done over the life of the mortgage.

Property taxes

As long as they are based on the assessed value of the real property, you can deduct your state and local property taxes. However, if your money is being held in escrow for the purpose of paying property taxes, you cannot claim this deduction until the money is actually taken out of escrow and paid. If you do this, check your Form 1098 for the amount you may deduct. Be aware that if you receive a partial refund of your property tax, the amount of the deduction you can claim will be reduced.

Selling costs

If you sold a home in the past year, you may be able to reduce your income tax by the amount of your selling costs. These costs can include things such as repairs, title insurance, advertising expenses and broker’s fees. The IRS only allows the deduction of repair costs associated with selling if the repairs were made within 90 days of the sale. It’s also crucial that the repairs were made with the intent of improving your home’s marketability. Selling costs are deducted from your gain on the sale.

Home office

If you use a portion of your home exclusively for the purpose of an office for your small business, you may be able to claim a deduction on your taxes for costs related to insurance, repairs and depreciation. You may only claim this deduction if the space within your home is used exclusively and regularly as either your principal place of business or a place where you meet and deal with customers or patients. You may also be able to take advantage of this deduction if a portion of your home routinely is used for storing items (product samples, inventory, etc.) used in your business.

In tax year 2010 (the most recent year for which figures are available) nearly 3.4 million taxpayers claimed the home office deduction.

Mortgage insurance premiums

You may be able to deduct the premiums paid for private mortgage insurance for your principal residence and for a non-rental second home.

The deduction begins to phase out once your adjusted gross income reaches $100,000 ($50,000 for married filing separately). In general, you can deduct the premiums paid for the current tax year only. A qualified tax adviser can provide information about rules for mortgage insurance provided by the Federal Housing Administration, Department of Veterans Affairs and Rural Housing Service.

Home improvement loan interest

If you’ve taken out a loan to make improvements on your home, you may be able to deduct the interest on this loan. Qualifying loans are those taken out to add “capital improvements” to your home, meaning the improvement must increase your home’s value, adapt it to new uses or extend its life. New carpeting or painting are not considered capital improvements, while adding a garage, installing a water heater or building a deck are all examples of capital improvements.

Construction loan interest

If you take out a construction loan to build a home, you may qualify to deduct the interest. The IRS only allows a deduction for mortgage interest if the loan relates to a “qualified” home, which means it must either be your principal residence or a vacation home that you will use for personal purposes. You can only use this deduction for the first 24 months of the loan, even if the actual construction takes longer.
Tax codes can be confusing. You may want to consult the IRS website for information concerning deductions and credits. Additionally, consider meeting with a professional to ensure you’re not missing any deductions for which you’re eligible.

Housing Market Report

Investor activity reignited in Sydney, Brisbane and Perth through 2012 and is set to continue in 2013. Low interest rates for both mortgages and deposits will drive increased interest rates in bricks and mortar investment in these cities, accentuated by tight rental markets generating high occupancy rates, relatively high yields and emerging capital growth.

The roller coaster ride for first home buyers is set to continue in 2013 with subdued activity levels expected compared to 2012. Changes to state government first home buyer incentive schemes created a surge in activity at various stages in 2012 as demand was drawn forward from this group. As a consequence first home buyer activity in Victoria, Queensland and New South Wales tapered off towards the end of 2012 and is set to remain quiet early in 2013. Increased market confidence, low interest rates, a solid economic performance and high rents will however see first home buyer activity rise through 2013, albeit from lower rates.

Prestige housing markets remained subdued in 2012, although the Melbourne market bucked the national trend recording healthy buying activity from a low base. Buyer activity in prestige markets should gradually improve through 2013, particularly if the recent solid growth in the local stock market is sustained. The Sydney prestige market has been dormant over recent years and began to show some early signs of life late in 2012. Buyers are set to recognise the value opportunities that Sydney's prestige housing markets are currently offering, particularly in the Northern Beaches.

RBA KEEPS RATES ON HOLD

At its first board meeting for 2013, the Reserve Bank has decided to leave the official cash rate on hold.

Earlier today, the board judged that it was prudent to take a wait and see approach to rates, leaving the cash rate stable at three per cent.

Speaking about the Reserve Bank’s decision, RP Data’s national research director Tim Lawless said the RBA was “reasonable satisfied” with how the housing market has played out since it embarked on the rate cutting cycle back in November 2011.

“Since that time dwelling values across the combined capital cities of Australia have increased by 0.8 per cent, and values are up 3.1 per cent since bottoming out at the end of May last year,” he said.

“Most other indicators are also showing some subtle improvements, albeit from a low base.  

“Consumer confidence has shown some improvement, commodity prices are once again on the rise, and share markets have shown some consistent gains as well.  

“The big wild card remains the labour market; how high will unemployment go and at what level will the RBA react with a further cut to the cash rate.”

LJ Hooker deputy chairman, L Janusz Hooker, says mortgage holders should receive some extra relief during the coming months, even with a more buoyant housing market during January.

He predicts cuts of around 50 basis points during the first half of this year, but says it was premature to make a move in February.

"Interest rates here are at three per cent and, while at historic lows, most of the developed world has rates below one per cent, so there is plenty of room to move,’’ Mr Hooker says.

"The RBA are going to have to start making cuts sooner rather than later if they want to see results in the second half of the year.’’

Source: http://www.rebonline.com.au

The 10 reason why Australian property prices will rise 5% to 10% in 2013

Leading Sydney estate agent ‎John McGrath has listed on his Facebook page the 10 reasons why he believes the residential market will be 5% to 10% higher by the end of 2013.

1. The Australian share market is recovering quickly, and this will generate (and replenish) great wealth for many Australians.

2. China is on the surge with an 8% anticipated growth rate this year (and beyond), and we will benefit more than any other country.

3. We have record low interest rates, with existing and new borrowers reaping the benefits making property more affordable.

4. We have a nationwide housing shortage and will for some time, so demand will outstrip supply in an improving sellers market.

5. Cash and term deposits are becoming far less attractive, and many people will see the time is right to switch from cash into growth assets.

6. Rents will continue to climb in the face of the housing shortage providing investors increasing yields over the next few years.

7. Self-managed super funds (SMSF) investing directly in residential property is the biggest change I’ve seen in the last 12 months

8. Luxury homes are back by 20%-40% in value and will provide great buying for the recovering professional market buyers (read Palm Beach weekenders are about to become mega popular again!).

9. Most experts are tipping a landslide change in federal government, which will give great confidence to the business community.

10. As all the above happens in our connected community we’ll see a surge of confidence and FOMO (fear of missing out), which will stimulate continued investment over the next three- to five-year cycle

For more useful tips and information please visit our facebook page

HIGHER RENT NOT ALWAYS HIGHER INCOME

Most experienced investors understand that $500 a week for fifty two weeks a year means more money in their pocket than $550 a week with several weeks vacancy during the year. So if maximising income from rental property investment comes from keeping their properties occupied, why do some landlords charge such high rents that their tenants move on whenever they get the chance and new tenants are slow to move in?

It is a fact of life that some investors fail to see the big picture and only look at the money in their pocket ‘right now’. They are blind to the possibility of rent loss down the track and don’t see that they might create dissatisfied tenants who move on when they find a better value option, thereby creating a cycle of  high turnover and increased vacancy.

The problems don’t stop there. Investors whose properties are ‘good value’ get more enquiry and can afford to be more selective when deciding who will rent their property, while those asking over priced  rents get fewer and less well-referenced applicants.

Furthermore, if a property stays empty because the rent is too high, owners can get desperate enough to overlook a tenant’s patchy references; in the effort to get the highest income, they make themselves more likely to get less because poor references could mean greater likelihood of getting behind with the rent.

New investors can avoid a lot of common errors by making use of the expertise of their managing agent. Many novice investors don’t think of asking  their managing agent’s advice until something goes wrong. Investors who do their homework and tell their agent up front what their needs are find it much easier to keep abreast of what’s happening and avoid confusion.

Most experienced investors ask their agent to provide a monthly statement of all income and expenses with cheques banked directly into the owner’s account. Most also ask for an annual written report of state of repair (internal and external) and cleanliness as well as a mid-year written kerbside report of state of repair and cleanliness. They should also receive a six-monthly written report of the current rental value and the local area vacancy rate and an annual written report of the current reasonable selling price of the property. Owners should carry out an internal inspection of the property themselves once every two years so that they can visualise its state of wear and tear when maintenance and repairs are discussed.

Most investors say it takes three to six months to get to know a managing agent and their way of working. Until then  it is best to require all expense items to be referred to the owner (other than emergencies) prior to the agent spending any money. After the initial period, set a limit on the amount the agent can spend (usually about the equivalent of one week’s rent) without reference to the owner.

Naturally, as with any contractual arrangement, investors should always have their agreement with their agent evidenced in writing.

A Few Tip for Success

House prices decline for second year

Despite home values falling overall in 2012, the rate of decline has improved dramatically from the year before.

According to RP Data figures, capital city dwelling values fell by 0.3 per cent over the month of December, which recorded an aggregate decline of 0.4 per cent over the 2012 calendar year.

However, according to RP Data senior research analyst Cameron Kusher, the results are pleasing when compared to the 3.8 per cent drop in home value witnessed in 2011.

“Capital city home values remain 5.7 per cent lower than their historic highs of November 2010, however, dwelling values are up 1.8 per cent from their low of late May 2012,” he said.

“It is important to note that despite the fact that standard variable mortgage rates have fallen by an average of 85 basis points over the past year and by 135 basis points since October of last year, the housing market has still been unable to record growth in values over the year.

“Home values remain below their historic highs across each capital city and have increased at an average annual rate of just 1.9 per cent over the past five years; it is clear that the previous strong value growth conditions to which many home owners became accustomed of recent years are well and truly behind us.

“Home values in Brisbane, Perth and Hobart remain below where they were five years ago, whereas the other mainland cities have all recorded significantly lower rates of growth in home values over the past five years than they did over the preceding five year period,” Mr Kusher said.

Source: www.rebonline.com.au

  For more useful tips and information please visit our facebook page

Holiday Security Checklist

Is yours one of the few houses in the street with an alarm, a dog or well-secured doors and windows or where the occupants come and go at irregular times? Then give yourself a big tick for offering the least opportunity to aspiring thieves. But if you are going on holiday this Christmas you might want to make your home even less attractive to thieves by following this holiday security checklist.

Firstly, try to think the way the thieves do. Does your home look neglected, abandoned, unused? if so, try the following ideas to make it look occupied:

• Leave a light on inside if you intend returning home after dark. The light should be visible from the street and give the impression that the house is occupied. Consider using an automatic lighting timer.
• Never leave notes on your door. Thieves can read too.
• Keep blinds and curtains partly open to give the house a “lived in” appearance if you are going away for some length of time.
• Cancel all regular deliveries, e.g. milk, newspapers so the stockpile doesn’t give the game away.
• Ask a friend or neighbour to keep an eye on your home and collect any other items which may arrive during your absence.
• Ask the Post Office to hold your mail.
• Ask a friend or neighbour to park a car in your driveway from time to time.

It is also a good idea to make things tough for aspiring burglars:

• Lock away all portable garden equipment, tools, ladders or anything that could be used to break into your house.
• Securely lock your garage; most breaking-in implements are found there.
• Lock all doors and windows
• Take your keys or leave them with a friend. Do not hide them around the property.
• Remove all money and valuables to a safe place such as your bank.
• Notify your local Police of your absence.

Have a great holiday.

  For more useful tips and information please visit our facebook page

10 Minute Renter Checklist

With increasingly quick open houses, we asked a leading professional – Suzanne Brown of RentWest – to devise a must-check list for prospective homes.

It’s no secret that renters are finding home viewings extremely difficult in their quest to find their perfect, long-term home. With a lot of pressure on vacancy rates (and property managers), it’s likely you will have 30 minutes (or sometimes less) to look through a property with 25 people or more. In fact, there are even reports of up to 40 people going through the one home viewing.

Rent.com.au surveyed renters earlier in the year (Renters Unite and Have Your Say, June 14–17) and discovered renters were finding it increasingly difficult to check the suitability of a home in the short time frame. They found that they were expected to check the suitability of a house within as little as 10 minutes before committing to a lease agreement. When you consider that more and more people are renting as a lifestyle choice and wanting their rental house to be a home for a long period of time, you can understand that this scenario is a little unsettling.

While choosing a home is a very personal decision and based on many different things, Rent.com.au asked leading property manager Suzanne Brown of RentWest to compile a list of must-checks to safeguard your decision. While you know the look and feel of a house that’s right for you, these questions will ensure those practical aspects that sometimes get overlooked in the rush of an open house.

1. SECURITY

Make sure from insurance point of view that there are deadlocks and window locks. In many cases, tenants move into a property and start to sort their insurance, then find they can’t get any cover because there are no deadlocks on windows and doors. Also look for or ask about an alarm system.

2. STORAGE

Is there enough internal and external storage? Also check robe space and linen storage. While such a basic need, this is one area that you can’t compromise on. It can be costly when you need to buy in your own storage, then there’s the hassle of selling it should you move into a new home with adequate storage.

3. CLEANLINESS

Remember that you are likely to be taking the property ‘as viewed’. Don’t assume that the junk in the rear sheds will be cleaned out, the dusting sorted and the weeding and leaves taken care of for your arrival. Ask.

4. HEATING & COOLING

Is there airconditioning? This is something we can often assume is standard, however that is not the case. Ensure you ask: is there airconditioning? Is it hot and cold? And is it in working order? It’s also a good idea to remember to look in the bedrooms and upstairs areas for airconditioning.

5. BEDROOMS

Also check the number of bedrooms and the size (measure up the room by stepping it out or take a tape measure). Mistakes can be made on info sheets and sometimes a room can be called a bedroom when it’s not really practical to be one, so double check.

6. TECH BITS

Double check the position of television antennas, foxtel outlets, telephone outlets and powerpoints. This may seem a little pedantic, but it’s these basic outlets and points that can cause unnecessary irritation.

7. KITCHEN & LAUNDRY

Is there a fridge or space for one? If a fridge alcove is built in to cabinetry, measure it up to ensure it fits your fridge. Same goes for the laundry: check if there is a washing machine and drier or if there is adequate space for yours.

8. ROLLER DOORS

Is it automatic or manual? This is actually a big issue. Ensure you ask the property manager to physically check how it operates, so there are no surprises when you move in.

9. LAWNS & GARDENS

Walk outside and look at the maintenance that will be required. Ask whether it is to be maintained by the tenant or whether there are any contributions or inclusions. Lawnmoving and gardening is usually specified in an advertisement, but it’s also wise to double check.

10. GAS vs ELECTRIC

This is a personal preference, but one that many people feel strongly about. So, if you are someone who loves to cook, ensure you check this one out.

For more useful tips and information please visit our facebook page

Cheaper to buy than rent in more suburbs

• Queensland highest with 147 suburbs cheaper to buy
• Adelaide has the most close to the city
• Victoria has just 17 suburbs/towns

SOFTER property prices are proving a boon to renters wanting to own their own homes with it now cheaper to buy than lease in a record 388 suburbs across the country.

The RP Data Buy vs Rent report analyses the different between monthly mortgage payments and monthly rental payments based on the median value of houses and units.

The data shows that there has been a 63 per cent increase in the number of suburbs where it is now cheaper to pay a mortgage than pay a landlord - only 238 suburbs fit the criteria back in August.

The analysis provides further evidence of just how soft property prices have become - the RP Data Hedonic Index for October released on Friday showed that nationally, property prices sank -1.4 per cent in October after four months of growth.

But for renters wanting to take the plunge, it is great news. For those prepared to pay an extra $50 a month more than their current rents and take a variable home loan, the number of suburbs on offer jumps even further to 1419 suburbs. 

Unsurprisingly, across the capital cities, it is typically apartment style housing where it is more affordable to purchase than commit to the dead money or a rental due to lower property prices.

Queensland offers the majority of suburbs and towns with 147 locations where it is cheaper to buy than rent, although most are located in regional areas including Mackay, the Darling Downs, Gold Coast and Sunshine Coast. Brisbane accounts for 42 suburbs, most of which are located in Logan and Ipswich.

New South Wales has the second highest number of options with 88 suburbs across the state where a mortgage is cheaper than renting. Units in Enmore and Rushcutters Bay are among the surprises. Those wanting to buy a unit in Enmore with an interest only loan based on 5.9 per cent, would pay $691 less a month than the current median rent, according to the estimates by RP Data.

The national research director of RP Data, Tim Lawless said the combination of soft property prices and discounted mortgage rates had combined with high rents and low rental vacancies to cause many renters to make the switch.

"In some suburbs buying may actually be cheaper than renting, especially where we are seeing evidence of tight rental markets resulting in rental increases," Mr Lawless said.

"For many renters, now may be a good time to either re-enter the market or buy their first home."

Victoria supported just 17 suburbs where it is now cheaper to buy than rent, although only three of these were close to the Melbourne CBD. The rest were in country towns including Mildura, Bendigo and around the Wimmera.

In South Australia and Western Australia, there were 48 and 44 suburbs and towns respectively, while in Tasmania and the Northern Territory there were 30 and 11. South Australia boasted a 31 suburbs out of the 48 that were located within Adelaide.

The analysis did not consider the potential for capital gains or other costs of ownership, such as stamp duty or strata title fees for units, but Mr Lawless said it offered a good starting point for renters wanting to take the leap.

The Buy vs Rent report can be downloaded free at www.myrp.com.au/buyorrent

Read more: http://www.news.com.au/realestate/buying/cheaper-to-buy-than-rent-in-more-suburbs/story-fndban6l-1226510420832#ixzz2BJib1IeZ

A few tips from REIQ on how to price your home correctly!

Everyone knows how much their home is worth. Don’t they?

  

It’s the conversation that can strike fear into the heart of even the most experienced real estate agent. A person’s home is often their absolute pride and joy. Often it has been home to wonderful family memories or the blood, sweat and tears that were poured into those stunning renovations. Then you throw the ever-discerning buyer into the mix. They have hunted the open-home trail for months, researched their preferred suburbs and compared homes upon homes. Ultimately, it is these people who will determine what your home is really worth.

 

So when it comes time for an agent to have the price-setting conversation with a seller, the reality of the market conditions can come as, well, a rude shock. It is often the case that the seller is sporting a lovely pair of rose-coloured glasses. What is a castle in their eyes could be – for lack of a better term – a shack in the eyes of the buyer.

 

When deciding how to price your property, there is often a disparity between what the seller expects and what the market is offering.

 

Here are a few key tips to help you through the price-setting process;

• Setting a realistic price will ensure you obtain your asking price and also conclude the sale promptly;
• Sellers who set a too high price on their homes can seriously damage their prospects for a quick sale;
• Facts and figures show that an overpriced property discourages serious buyers. When it remains on the market too long it redirects interest to more realistically-priced properties;
• Emotional attachment and pricey renovations often drive sellers to push the price up – and understandably so. However, unfortunately the state of the property market won’t always reflect personal circumstances; and
• Do your homework! Be sure to research the property market in your area and seek the opinion of a professional from a REIQ accredited agency;

A good start is an appraisal – an inspection to estimate the sale price of a property. An agent will appraise your property at no charge if you request them to do so.

 

This is not a ‘pluck a figure from the air’ kind of appraisal. Under the Property Agents and Motor Dealers Act, if you request the agent to provide a market appraisal on your home, the agent will provide a comparative market analysis (CMA) or written statement for your property.

 

The criterion for a CMA is comparing three properties of similar standard and style sold within a five-kilometre radius in the last six months. If an agent is not able to provide a CMA due to lack of comparable sales within your area, they must supply you with a written statement outlining how they arrived at the suggested market price of your home.

 

From the CMA or written statement, and taking into account the current property market, sellers will have formed a foundation from which to set a realistic selling price for the home.

 

In any market conditions, establishing a realistic price when selling your home is important, however, it is even more important when there are more sellers than buyers in the marketplace. After all, being an educated seller – sans rose-coloured glasses – can make the selling process much more efficient for all involved.

Queensland set to follow NSW by scrapping $7,000 first home owners grant in favour of $15,000 handout for new home buyers

The Queensland government will tomorrow announce plans to scrap the $7,000 first-home owners grant and replace it with a $15,000 handout only available for those first-home owners buying a new home.

The details of the changes to first-home owner handouts, leaked to the Courier Mail, will be announced by Queensland treasurer Tim Nicholls tomorrow when he delivers the 2012-13 state budget at 2.30pm.

It is less than the $17,000 available to first-home owners buying or building a new home under the previous Bligh government, who were eligible for the $7,000 first home owners grant and the $10,000 Building Boost.

The Building Boost ended on April 30 (applications can be lodged up until August 30) and was available to all classes of buyers.

The Queensland changes mirror a similar move by the NSW state government in its June budget, which will see the end of the $7,000 first-home owners’ grant on October 1 replaced by a $15,000 handout for those buying a new home, including homes bought off-the-plan.

The changes to Queensland first-home owner grants follows the decision by Queensland premier Campbell Newman to reinstate the transfer duty home concession scheme from July 1.

It provides a concessional stamp duty rate of 1% up to a value of $350,000, with stamp duty charged at normal rates for the remaining value of the home purchase.

The Real Estate Institute of Queensland (REIQ) expressed disappointment at the decision and warned that thousands of Queensland first-time property buyers may delay purchasing their first home following the scrapping of the long-standing handout.

“REIQ analysis of Office of State Revenue (OSR) figures show only 24% of first home buyers opted to buy a new home when the First Home Owners Boost, which featured up to $21,000 for new-builds, was in play during the GFC,” says REIQ CEO Anton Kardash.

The REIQ expects the decision to remove the $7,000 grant in favour of a $15,000 grant for new homes will impact the majority of prospective first home buyers.

‘‘The main reason for this is that new homes are usually too expensive for first-time buyers and are often located in outlying suburbs where young people do not necessarily want to live.

“New units and townhouses can also be more expensive than established and often have higher body corporate fees than older apartments.”

Kardash says the removal of the grant failed to take into consideration the complexity of the real estate market and comes as OSR figures show that over the June quarter more than 5,400 First Home Owner Grants were paid in Queensland compared to 4,000 over the same period in 2011.

‘‘The first home buyer segment of the market has been one of the few positives over recent times, so we are likely to see their level of activity decrease significantly once the grant is removed next month,’’ says Kardash.

Not surprisingly, the announcement was welcomed by residential developer Stockland, which described it as a “massive shot in the arm for the state economy” and one which would “underpin the future of the state’s housing industry” and provide thousands of jobs.

“We fully support the Newman Government’s critical boost to the Queensland housing market – it is good news for the entire state because it will increase confidence, generate thousands of construction jobs, and bring home ownership within reach of more young Australians,” said Stockland Queensland general manager, Kingsley Andrew.

“An extra $15,000 is a significant saving for first home buyers and coupled with no stamp duty, today’s announcement creates an unprecedented incentive from the Queensland Government”.

PROPERTY TO PAY SOON...

THE property wars are heating up and commentators are taking to Twitter to assert their views. The contention is around the different measures of house prices and whether or not the housing market has bottomed but the good news is that now may be the perfect time for the property investor.
CommSec economist Craig James is of the view that the worst may be over and we might start to see some slow growth in property markets.

Data out on Wednesday from the Australian Bureau of Statistics was broadly in line with RP Data numbers out earlier in the week. The weighted average of prices in the eight capital cities rose 0.5 per cent over the quarter but remained down by 2.1 per cent over the year.



Better numbers from RP Data
James says that in terms of comprehensiveness and scope of data, as an economist he believes RP Data is superior to the ABS.
“RP Data and Rismark have got data on almost every single property transaction in Australia,” he says.

“And if somebody is going to know what’s happening in terms of property prices its going to be them.”

The ABS, James says, covers houses, rather than the total market.


Affordability
Prices may now be more affordable than they have been in a decade. The median average dwelling price for the aggregate of the eight capital cities was $460,000, RP Data states, and the range was from $300,000, in Perth, right up to $535,000 in Sydney.

“Property prices have bottomed. You’ve had two interest rate cuts, you’ve now got the best housing affordability in a decade,” he says.

If you’re looking to buy an investment property, now may be as good a time as any, as yields are improving in some areas.

“I think we are going to see growth in house prices. The RP Data figures show its still quite attractive, the property returns are still pretty good.”

Click here to view source

THE REASONS FOR THE DE-AMALGAMATION OF REDCLIFFE FROM THE MORETON BAY REGION ARE AS FOLLOWS:

REDCLIFFE was a viable Local Authority with a sufficient population base of 53,000 people. A budget of
$55 Million with the lowest staff ratios per head of population in its category. Redcliffe's financial management was judged by the then Dept. of Treasury as being in the top five Councils of then 105 in the state. It was "Strong with a Neutral Position". It lived within it means.


1.Redcliffe had LOWER operational costs for the Council per head of population than this Amalgamated Council. It was cheaper to live in Redcliffe.

2. From a COMMUNITY aspect, RESEARCH clearly shows that Bigger is not Better as far as Local Government goes.

3. The only reason given to forcibly Amalgamate was that this Amalgamated Council would be cheaper for its residents. This is clearly not the case in both Rates as well as Water and Sewerage services. It is now more expensive to live in this huge Council and any discount on Rates has been lost.

4. "Community of Interest" between Redcliffe and surrounds as well as the matters mentioned above, was not assessed prior to forced Amalgamation.

5. The IDENTITY of Redcliffe has been lost since forced Amalgamation. Promotion of Redcliffe alone has ceased and "WELCOME" signs removed at the west of the City.

6. Previously you had eight votes for RCC. you could vote a whole Council in or out in the undivided City. Now you have one vote. You are worse off Democratically.

7. Services such as Town Planning, within the Redcliffe Council Chambers have been lost to Redcliffe

8. Water and Sewerage should come under Council's control.

9. The more money the amalgamated Council of Moreton Bay has the more it has to waste. The level of borrowing of Amalgamated Councils has trebled since they were put in place. They are living beyond their means and who is paying?

10. The 25% levy on general rates which now applies to non owner occupied residences, is responsible for forcing up RENTS

11. The cost estimated by Treasury to De amalgamate is $3 Million (for a Local Authority our size) We estimated a figure of $2.5 Million which could easily be accommodated in the budget. It would have very little impact on ratepayers if spread over several years.

12. A return to the old boundaries of Redcliffe (as the minister now requires) would result in the cheapest most viable council in the long term.

SCOTT DRISCOLL MP. HAS INITIATED A PETITION. IN SUPPORT, ALL VOTERS SHOULD RETURN SIGNED COPIES TO HIS OFFICE ASAP TO MEET THE AUGUST 29TH DEADLINE SET BY THE MINISTER. REMEMBER OTHER PETITIONS DON'T COUNT. A NEW PETITION IS REQUIRED.

Click here to view Source
Advertisement Authorised by: Redcliffe Branch of the Ratepayers Action Group - Dennis Austen Shop 6,133 Redcliffe Parade, Redcliffe 4020

RENTAL DEMAND SOARS AT PINE RIVERS

Soaring rental demand is sparking a new wave of investor interest in Moreton Bay’s emerging growth suburbs. It’s good news for Brisbane’s north and the region’s leading agency David Deane Real Estate, where yields of up to 6 per cent are being achieved for investors.

The month of May spurred unprecedented rental enquiry and the agency has appointed a full-time leasing consultant to further build relationships with its growing tenant list. The agency is averaging 15 new property managements and 30 lettings per month with 629 properties now under management.

In addition, there are 1000 prospective tenants on the agency’s rental database – an increase of 500 from the same time last year.

May settlements were also up with 21 properties sold at an average of $322,000.

Principal Belinda Deane said the suburbs of Warner, Petrie and Bald Hills are emerging hot spots providing solid returns for investors. “There are some very encouraging signs emerging and leasing and property management numbers are up on last year by more than 30 per cent,” she said.

“There are in excess of 1000 prospective tenants on our database who are emailed our rent list daily.”

The average rental price for a standard three-bedroom home in the aforementioned suburbs is $350 per week, up from around $330 in 2011.

Ms Deane said tenants are looking for three to four bedroom homes with built-ins, ensuite and low maintenance, fully-fenced yards.

“A note to investors – a lock up garage and air conditioning will also put your property ahead of the pack as does a convenient location to schools, transport and shopping centres,” she said. “Enquiry levels are through the roof and we have just appointed three new property managers to handle a surge in lettings. “We put a lot of work and effort into training our property managers with weekly training sessions and interstate conferences to ensure we deliver the best advice to our owners.

“You need to make sure your property managers are knowledgeable in investment management. We treat your home like it is our own, which is why we have been so successful in gaining leading market share across the region.

“We have also employed a customer service manager which has been a factor in our increase of new managements as we focus even more on our service and quality.”

Ms Deane said the additional team members have ensured service delivery proving ‘our people are the key asset in our growth’.

“This has made a dramatic difference to decreasing our days on market and being the number one agent in the area for reletting properties in minimum time. We have tenants phoning us wanting to get our daily rent list emailed to them,” she said.

“All these factors together have increased our growth and our aim is to always minimise our vacancy periods and relet properties as quickly and efficiently as possible.”

David Deane sales manager Mark Rumsey, said investors made up 15 per cent of sales during the March quarter with 62 per cent of those living in the local catchment area. A lot of the activity is being generated from those selling homes in the mid $300,000 category and upgrading to properties as high as $450,000.

“The positive signs are there and we have the ability to give properties the right exposure, provide the right marketing strategy for vendors and get buyers to the property,” he said.

Strathpine is ideally located just 23 kms from the Brisbane CBD. It is one of the only Brisbane suburbs with two railway stations, ensuring a smooth commuter flow in an out. Centred on Westfield Strathpine, the Strathpine Railway Station and local council chambers, the scale and mix of uses continues to expand to meet the broadening needs of the area’s growing population.

David Deane Real Estate was acknowledged at the recent 2012 annual Australasian Real Estate Results Network Awards (ARERA’s), where founder David Deane was honoured with a lifetime contribution award, while sales young gun Cassie Turner was awarded Rookie of the Year.



Visit www.daviddeane.com.au for more information.

PROPERTY UPGRADES DRIVE SOLID RESULTS FOR DAVID DEANE REAL ESTATE

AN increase in the number of home owners upgrading from existing dwellings is spurring sales activity in Strathpine, where leading realtor David Deane Real Estate achieved $26 million in sales during the March quarter. The agency sold 79 properties for a total of $26.5 million at an average price of $336,507.  The increased sales are a result of established home owners upgrading from existing properties and first home buyers who are also finding value in the growth suburb.

Sales director Mark Rumsey, said a lot of the activity is being generated from those selling homes in the mid $300,000 category and upgrading to properties as high as $450,000. “We are seeing a lot of confidence return to the market and people are realising that they can have an improved lifestyle which is still affordable,” he said. “From our perspective it’s still tough out there in some areas of the industry, but our March quarter was staggering when you compare our figures to that of some of our competitors.”

Mr Rumsey expected sentiment to be further bolstered with further interest rate cuts predicted over the next two quarters.

“The positive signs are there and we have the ability to give properties the right exposure, provide the right marketing strategy for vendors and get buyers to the property,” he said. Investors made up 10 per cent of sales during the quarter with 62 per cent of those living in the local catchment area.

Rental activity also increased on the last quarter by 4.3 per cent with 622 transactions.

Principal Belinda Deane, said the steady rise of enquiry throughout the first quarter is a testament to the local buyers market. “The feedback from buyers is that they have now realised that the market did in fact bottom out last year,” she said. “That momentum is continuing into the second quarter and we expect another strong result in our residential department.”

Strathpine is ideally located just 23 kms from the Brisbane CBD. It is one of the only Brisbane suburbs with two railway stations, ensuring a smooth commuter flow in and out.

Its economic engine room is the booming Brendale industrial area, the largest commercial estate in the Moreton Bay Regional Council area. It caters for 22 per cent of all employment within the Pine Rivers district. “The business district is exploding given its proximity to skilled workers and supporting business services, competitive land prices and good transport access,” said Ms Deane.

Adjacent to Brendale, is the intended $200 million Strathpine Major Regional Activity Centre Master Plan earmarked at the pivotal for Strathpine Central. This major project of significance has the potential to increase market growth for the entire region with a strong public transport focus, medium to high-density residential developments and commercial/office spaces increasing employment, with supporting community facilities, services and public open spaces.

David Deane Real Estate was acknowledged at the recent 2012 annual Australasian Real Estate Results Network Awards (ARERA’s), where founder David Deane was honoured with a lifetime contribution award, while sales young gun Cassie Turner was awarded Rookie of the Year.
Visit http://www.daviddeane.com.au/ for more information.

USA v Australia

I have just returned from a month travelling accross USA. I noticed several points of interest as follows:- Petrol was half the price we pay in QLD Clothes were a third of the price, same brands Beer was half the price we pay or less Taxes were half what we pay Household water was at least half the price we pay. Electricity was likewise cheaper No carbon tax or discussion, but did see bankrupt mmassive wind farms. Things are very tough in us and it looks like they are ready exile the big spending debt burden democrats. Ok it's easy to say they have a much bigger population in USA but we have much bigger government to make a mess of our lifestyles. It's time we gave all policians notice that they are appointed to spend wisely, provide well and respond to the majority and forget manic fringe groups?

Breakfast on the Beach with Olympians!

In honour of supporting Natalie Cook and Tamsin Hinchley on their journey to London for the Olympic Games we all enjoyed a beautiful breakfast on Friday 24th of March. Guest speakers included Winter Olympic Gold Medalist Steven Bradbury & 2008 Flag bearer and 6 time Olympian James Tompkins. We even had the chance to meet Madam Butterfly herself, Susie O'Neill! A fantastic morning had by all to support our champions!

Good Luck Nat & Tamsin!!