2016 has thrown up more than one surprise, with a reality TV host now moving into the White House. What else did we learn and how will this impact you in 2017?
Let’s take a look back………
Bah Hum’bank’: Rates don’t go down forever. In 2010 the cash rate was 4.75% and a standard variable rate was around 7.81%. In Dec 2016 the RBA rate was down to 1.5% and the SVR for most banks is down under 5.22%. So just in time for Christmas the banks are looking to recover their margins. So in 2017 we will see reduced discounting and increased focus on investors and business loans, so it’s critical to make sure your bank is meeting your needs. There will still great deals, we will just work harder with you to find them.
Not all property is the same: In the last year we have seen Perth continue to struggle in the face of a mining down turn and value in both property and decreased yields are starting to show. Brisbane, Sydney and Melbourne apartment markets are under stress, while pockets of Adelaide and Brisbane at certain prices can still be showing possible value. So if nothing else get advice when you buy, on where and what to buy. Gone are the days for now when it all just goes up because you are in the market.
Negative Gearing is not the devil: If the government of the day or in the future for that fact wants to get into the residential housing game then bring it on! The constant blame on mum and dad investors trying to get ahead in life is beyond a bore. 76% of those 1.7m