Sri Lanka News

Latest News and Breaking News of Sri Lanka

The property clock is ticking: How your city fares

3 min read
http://www.afr.com/wealth/personal-finance/the-property-clock-is-ticking-how-your-city-fares-20191128-p53f4g
Lenders continue to target attractive borrowers who have regular income and big deposits with new offers ranging from higher discounts and lower fees to cash incentives. For example, from Monday, ANZ is offering accountants and lawyers, including judges and magistrates, loans of up to 90 per cent loan to value ratio without lenders mortgage insurance. Also from Monday, Bank of Queensland is reducing rental repayment history requirements for borrowers and lifting some loan to value restrictions on high-density apartments. “The biggest surprise is how sharply the Sydney housing market rebounded in the second half of the year. We were not anticipating the level of capital growth and strong buyer activity currently in the market,” Mr Thomas said. Strongest demand from investors and first-home buyers was in the sub-$2 million category, he said. Confidence has also returned to the prestige end of the market, buoyed by the $140 million sale of the penthouse in the Tower 1 development at Barangaroo South. In Melbourne, demand for property in prestigious inner suburbs such as Hawthorn has rebounded after dropping more than 24 per cent in the 12 months to July, said Perron Kong, a HTW Melbourne director. Buyers’ agents report top end demand has been patchy with some properties failing to attract a bid at auction. Some outer suburbs, such as Pakenham, which is 54 kilometres south-east of Melbourne, is posting strong capital growth and rental yields are about 3.8 per cent, compared to a state average of 2.9 per cent. Inner north-eastern suburbs, including Northcote, are popular with buyers. Demand in Brisbane continues to be boosted by cashed-up intra-state migrants, according to David Notley, a Brisbane-based HTW director. Demand was strongest for properties priced about $2 million, particularly in suburbs closest to the city centre. HTW advises Adelaide buyers not to “hit the panic buttons yet” as there is growth in some metropolitan areas. There are hopes that new mining projects will help boost demand in Perth and Darwin.

Leave a Reply

Your email address will not be published. Required fields are marked *