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Top 10 Buyers’ Market in Perth (Part 1)

Perth Yacht Club, Fremantle

There are upsides to the softening of the property market in Perth.

IT’S a buyers’ market now in several areas in Perth, including Beeliar, Southern River and Piara. With increased supply of newbuild apartments and houses, buyers can now haggle over pricing and purchase property at below replacement costs.

News.com.au recently published a list of Perth’s Top 10 Buyers’ Market allowing property hunters to negotiate on pricing.

 

PERTH’S TOP 10 BUYERS’ MARKET LIST

  1. Beeliar
  2. Southern River
  3. Midland
  4. Piara Waters
  5. Harrisdale
  6. Burswood
  7. Jane Brook
  8. East Perth
  9. Spearwood
  10. Coogee

Source: Realestate.com.au

That said, the Commonwealth Bank CoreLogic Home Buyers Index suggests that while there is still a continued high level of discounting, demand at Perth is at an equilibrium – a situation with implications that is described as “good” by Commonwealth Bank general manager of home buying, Dan Huggins.

This is because, with more new developments on the market, rents will start to fall and the fluctuation cycle is inevitable. Property valuer and commentator Gavin Hegney explains it best:

“There are always fluctuations, but when it’s truly not a buyers’ market any more you’ll see listings down, you’ll see a lot more sold stickers on signs, rents will improve and values will have lifted more than 5 per cent. But as a buyer, you don’t want to wait until it’s obvious the market has turned.”

As all property markets go through a cycle, it may work to a buyer’s greatest advantage to get into an area that might temporarily be in a low, but popular in the long term.

Read on here: http://bit.ly/1k6fkcH

Part 2 of this blog posting will cover some of the suburbs listed in the Top 10 Perth Buyers’ Market List. Watch this space!  

CSI Prop proudly promotes international investment property with high yields at low risk. Our portfolio comprises residential and purpose-built student property in cities across the United Kingdom (London, Luton, Manchester, Liverpool, Newcastle, York, Glasgow, Scotland; Sheffield, etc); Australia (Melbourne, Perth, Brisbane) and Thailand (Bangkok). Our projects are concentrated in high-growth areas with great educational, infrastructural and job growth potentials. We aspire to make a difference in the lives of our clients by helping them achieve their investment goals through strong market research backed by third party experts and due diligence. 

Disclaimer: CSI Prop does not provide tax & legal advice and accepts no liability. Readers are encouraged to consult a qualified tax or legal advisor for a thorough review.

Need advice or clarification? Call us for more information and/or to find out about our projects! Hotline: 03-2162 2260

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The State of Melbourne and Sydney Property Markets

Property investment is viable in Brisbane as the market is more affordable than Melbourne & Sydney, and has entered into an expansionary/ growth phase.

Speculations on the Melbourne & Sydney property market following the Australia Bureau of Statistics’ (ABS) latest figures on home prices in the June quarter, have been pretty disparate.

According to the ABS, Melbourne & Sydney had posted home price rises of more than 1% in the June quarter, with prices rising by almost 9% in Sydney – more than twice Melbourne’s 4.2% gain. This comes on the back of a tighter regulatory environment, including the crackdown on errant foreign investors.

Experts from Morgan Stanley and Goldman Sachs have pointed out that a recession could be imminent as auctions for homes in Sydney and Melbourne soften.

Conversely, some of Australia’s leading economists say that there is no bursting bubble in the near future, predicting that Melbourne & Sydney could enjoy strong growth this coming year. An exclusive Fairfax Media survey of 25 leading economic forecasters reveals that most believe house prices have risen for fundamental economic reasons and NOT over-exuberance from investors.

Apparently, only a third of economists (7 out of 25) believe that there is a housing bubble in Sydney or parts of Melbourne.

Despite the woes of rising house prices, housing investment is deemed the only really bright spot and, perhaps, the wisest option for saving.

However, it seems that the more widely held view is that growth is set to moderate. UBS economist Scott Haslem says that the banks see a “moderation of strength”, not a “downturn”, and that “the outlook for housing depends on who and what you ask” while at the same time cautioning that some factors are hard to quantify.

At the end of the day, it is imperative that you read and do your research while keeping in mind the various methodologies used by the different experts in interpreting data. Be sure to questions and talk to as many people as possible to make informed decisions.

There is, for sure, a sound alternative. The housing market in Perth and Brisbane are more affordable, with prices expected to appreciate as they enter into an expansionary/ growth phase in the property cycle.

Looking for Australian property? Need to speak to someone? Call us at 03-2162 2260.

CSI Prop proudly promotes international investment property with high yields at low risk. Our portfolio comprises residential and purpose-built student property in cities across the United Kingdom (London, Luton, Manchester, Liverpool, Newcastle, York, Glasgow, Scotland; Sheffield, etc); Australia (Melbourne, Perth, Brisbane) and Thailand (Bangkok). Our projects are concentrated in high-growth areas with great educational, infrastructural and job growth potentials. We aspire to make a difference in the lives of our clients by helping them achieve their investment goals through strong market research backed by third party experts and due diligence. 

Disclaimer: CSI Prop does not provide tax & legal advice and accepts no liability. Readers are encouraged to consult a qualified tax or legal advisor for a thorough review.

Need advice or clarification? Call us for more information and/or to find out about our projects! Hotline: 03-2162 2260

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Capital Gains and Depreciation Facts for Australia Property Investors

If you have invested in, or are planning to invest in property in Australia, it may be useful to find out about Capital Gains Tax (CGT).

CGT was introduced in Sept 20, 1985 and is the tax payable on the difference between the cost of a purchased asset and the amount received for that same asset upon disposal. In property investor-speak, this simply means the difference between the original purchase price of a property (includes capital buying costs) and the price the property is sold for (includes selling costs).

An investor claiming property depreciation can affect a change in the cost base, thus changing capital gain or loss. What implications does this hold for the investor? Would you like to find out the following:

1. What is property depreciation?
2. How do capital works deductions affect CGT?
3. How does plant and equipment depreciation affect CGT?
4. What CGT exemptions apply for a principal place of residence?
5. Are property investors eligible for a discount?
6. Is it still worthwhile claiming property depreciation if it will later add to the capital gain?

Click here to know more.


CSI Prop proudly promotes international investment property with high yields at low risk. Our portfolio comprises residential and purpose-built student property in cities across the United Kingdom (London, Luton, Manchester, Liverpool, Newcastle, York, Glasgow, Scotland; Sheffield, etc); Australia (Melbourne, Perth, Brisbane) and Thailand (Bangkok). Our projects are concentrated in high-growth areas with great educational, infrastructural and job growth potentials. We aspire to make a difference in the lives of our clients by helping them achieve their investment goals through strong market research backed by third party experts and due diligence. 

Disclaimer: CSI Prop does not provide tax & legal advice and accepts no liability. Readers are encouraged to consult a qualified tax or legal advisor for a thorough review.

Need advice or clarification? Call us for more information and/or to find out about our projects! Hotline: 03-2162 2260

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The Changing Face of Melbourne

There’s no denying Melbourne’s reputation as the Most Liveable City in the World. Bestowed on this beautiful city four times, this ranking holds merit, evidenced by the population growth over the years. What was once a backwater town has boomed into a world class city.

And there’s no stopping this growth, by the looks of it: Melbourne is slated to overtake Sydney as the biggest city in Australia in the near future. What does this mean and what solutions are being explored to accommodate such growth?

7 News highlights this in their special two-part report:

Part 1: 7 News | The Changing Face of Melbourne 

 

Part 2: 7 News | The Changing Face of Melbourne 

An increased population will lead to a continual sprawl in the city and drive the demand for housing. And as migrants continue to move into Melbourne, there will be a greater need for rental accommodation.

Timing is just as important as location and other factors when it comes to investment. Are you now thinking of exploring options in Australia?

Need advice? Call 016-228 9150 or 016-228 8691 to arrange for free consultation at your convenience.


CSI Prop proudly promotes international investment property with high yields at low risk. Our portfolio comprises residential and purpose-built student property in cities across the United Kingdom (London, Luton, Manchester, Liverpool, Newcastle, York, Glasgow, Scotland; Sheffield, etc); Australia (Melbourne, Perth, Brisbane) and Thailand (Bangkok). Our projects are concentrated in high-growth areas with great educational, infrastructural and job growth potentials. We aspire to make a difference in the lives of our clients by helping them achieve their investment goals through strong market research backed by third party experts and due diligence. 

Disclaimer: CSI Prop does not provide tax & legal advice and accepts no liability. Readers are encouraged to consult a qualified tax or legal advisor for a thorough review.

Need advice or clarification? Call us for more information and/or to find out about our projects! Hotline: 03-2162 2260