We live in interesting times. As the votes are counted for the 2016 Federal election, foreign investment stamp duty increases and Brexit still in the news, many of us are wondering what the impact on the Australian economy and property market will be.

The Reserve Bank met in the first week of the month and left the cash rate on hold at 1.75%. The market and economists are expecting a further rate reduction as early as next month.

In this month’s newsletter, I discuss the next Australian growth market – regional property – and look at an interesting study that might make some readers feel a whole lot better about their cleaning habits. Enjoy!

Interest rates are at an all time low but it can’t last forever. If you haven’t checked whether your current mortgage deal delivers great savings, get in touch. I can talk you through all your options so you can make the best decision for your hip pocket.

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Regional Australia – is it the next property growth sector?

A new study by Core Logic has reported an increase in home sales and values in regional areas across the country.

The study showed a majority of council areas nationally have recorded the greatest increase in total value home sales of all property markets over the past 12 months when compared to capital cities.

The number of capital city home sales was -9.9% lower than a year ago and the value of sales was -0.3% lower. By contrast, combined regional markets home sales also dropped -0.3% during the same period but the value of these sales rose by 3.3% to $67.9 billion.     

Looking at the list of the 50 council areas nationally that have recorded the greatest annual increase in the value of sales, only 4 of the 50 areas listed are located in capital cities.

Regional markets in NSW had the highest levels of demand and value growth of all regional markets across the states and territories, with 31 of the top 50 regional areas showing growth compared to 8 in South Australia, 5 each in Victoria and Tasmania and 1 in Queensland.

“With mortgage rates low, certain capital city housing markets becoming unaffordable and an improvement in confidence surrounding regional housing, we would expect many of these council areas to see further increases in the total value of sales over the coming year”, wrote Cameron Kusher for Core Logic.

You can read the report here.

Are you dreaming about a tree-change? There are some elements to consider when you’re applying for mortgage to buy in a regional area. Give me a call to discuss your options.  

It takes all sorts: Study finds being messy makes you more intelligent.

“If a cluttered desk is a sign of a cluttered mind, then what are we to think of an empty desk?” said Einstein. So, if you’re a slob around the house, does that make you a genius?

A psychological study from the University of Minnesota suggests the answer is “yes.”

Researchers discovered that participants who were asked to find a novel use for a ping-pong ball came up with more interesting and creative ideas in messy rooms than tidy rooms.

The study found that mess improves creativity – which is great news for those of us who are organisationally challenged.     

People living in messy rooms are more likely to break free of tradition and provide fresh insights; “orderly environments, in contrast, encourage convention and playing it safe,” explained psychological scientist Kathleen Voh.

However, Voh also found that those living in tidy environments make better decisions. When participants were asked to choose between an apple and a chocolate bar, those in the tidy rooms invariably chose the apple. In the messy rooms, a chocolate bar was the snack of choice.

Tidy room participants were also more inclined to donate money to charity. Voh concluded that people might feel more encouraged to do what is expected of them by surroundings that are ship-shape.

If there’s one thing you should be organised about, it’s your finances. A regular mortgage health check might just save you thousands in repayments. Thankfully, keeping up to date with the latest mortgage products is easy – ask me to do it for you!