I hope your Christmas and holiday break was everything you desired and more! Now, as we all begin to settle into a new year, it’s time to look ahead and make our plans for 2018 and beyond.
The Reserve Bank met in the first week of the month the Board decided to leave the cash rate unchanged at 1.50 per cent.
The good news? It’s a great time of year to assess your finances and take steps towards buying your dream house, investing in property, or starting that home renovation you’ve been thinking about for months.
It's also still a great time to lock into a fixed rate and take advantage of lower repayments, allowing you to manage your money better.
Please enjoy my first eNewsletter for the year. This month we discover what trends will drive the national property market in 2018 and look at how to make the most of what’s left of summer with a stylish backyard BBQ for friends and family.
And if you’re considering entering the housing market in 2018, be sure to get in touch. I can answer all your questions and find you a great interest rate deal, whether you're a first-time homebuyer or looking to invest in property.
Call me now on: 0402 408944
What to expect from the property market in 2018 – five trends to watch.
Last year, continuing low-interest rates, strong housing demand and record sales volumes kept the property market buoyant in most states around Australia, but how long can the positive trend continue?
Property pundits are saying 2017 saw the first slow down of the hottest 5-year property streak Australia has seen. Now – as the market heats up after the holiday break – the big question on investors, homeowners and buyers’ lips is, what’s really in store, property-wise, for 2018?
And while I don’t have a crystal ball, here’s 5 of the trends commentators are most talking about.
1. Mortgage rates will rise – predictions are the RBA will finally lift the official cash rate this year (perhaps multiple times), meaning you can expect mortgage payments to increase around $50 $50 for every 25-basis point rise on a $400,000 loan. Even if this doesn’t happen, prepare for higher mortgage rates anyway as the gap between the official rate and the standard variable mortgage rate offered by banks continues to widen.
2. Property prices will decline – Last year, Sydney and Melbourne's super-hot property streak started to cool down and experts are predicting this trend will continue in 2018. APRA's tightening regulations on investor borrowing and interest-only loans have lowered housing demand across the country. Weaker auction rates towards the end of 2017 look to continue this year. But it doesn't look prices are going to decline – so there's still some good news for investors and homeowners.
3. 2018 will be the year of first-home buyers – As investors take a step back, first-home buyers can find more opportunities to buy. Stamp duty concessions and a glut of city apartments mean those seeking to enter the housing market this year won't be priced out of the market. However, while low-interest rates make the repayments affordable, the deposit burden on first-home buyers continues to rise.
4. Fewer upgraders, more renovators – Increases in stamp duty taxes on property transfers means Australians will be more likely to stay in their current homes this year. Home renovation applications and re-mortgage rates are on the rise, as homeowners leverage the extra equity to finance renovations.
5. Owner-occupiers are 2018’s property winners – With fewer property investors, banks are offering great deals to owner-occupiers. The major banks’ interest-only investment property loans have been repriced to 90 basis points, while principal and interest owner-occupier loans have been lifted just 10-15 basis points. Get ready for owner-occupiers to take centre stage this year.
If the experts are right and interest rates must rise this year, the clock is ticking. Take advantage of today’s low rates and talk to me now – I’ll give you great advice and steer you in the right direction.
Spruce up your outdoor space to entertain in style.
It’s already February. Cool days are on the horizon. It’s time to make the most of summer while you can. And nothing says Australian summer than a BBQ with friends and family in the backyard.
But if you’re anything like me, the crazy Christmas/ New Year/ School Holidays have left your outdoor entertaining looking less than stellar. Never fear! Here are five things you can do quickly to get it ship-shape in no time!
1. Chuck out that tired, grimy plastic furniture. These days you can make your backyard look like a million dollars for pennies with the massive range of super-stylish, affordable outdoor furniture on offer. You want your guests to feel comfortable, so invest in a few luxurious sofas surrounding a table setting so everyone can kick back and really enjoy themselves.
2. Add some stunning accessories and cooking options. Instantly brighten your entertaining space with some new outdoor cushions in gorgeous colours and patterns, add a sculpture or water feature, grab a nice new Weber, perhaps an outdoor fire pit in case the night gets chilly or add the ultimate alfresco entertaining accessory – a wood-fired pizza oven.
3. Do some quick plant maintenance. Whip out those weeds and replace any plants that have struggled to gain a foothold over summer for an immediate boost to your outdoor environment. If you lack the green thumb, book a gardener for the day to overhaul your space while you take care of the menu. You’d be amazed what they can do in just half a day.
4. Grab a few accent pots from the nursery. To make a seasonal update in a hurry, sprinkle some pre-potted plants around your outdoor living area in drifts of 3 or 5 matching pots in different sizes. Use them to create delineated areas and lush greenery in a snap.
5. Get your glow on. Create an extra special ambience with low-cost lighting – spotlight feature plants, festoon a favourite tree with fairy lights and create a warm glow around your dining areas and walkways.
Ready to invest in property and secure your financial future? Call me today to discover your complete range of options.
