Sunday, December 27, 2009

2010: Population, Rents and Home Prices to Rise.

Dear InsideStory subscriber



The final CommSec report for 2009, and a really easy to read summary that takes a few minutes to read and makes a lot of sence.



“CommSec expects home prices to rise by 8-10 per cent over 2010. Population continues to grow and not enough homes are being built. For investors, rising rents and home prices is an attractive combination.”, and the report briefly outlines its logic.

craigjameseconomicupdate.pdf (pdf)

Worth reading.



See you all in 2010, I am waiting for the latest RP Data wrap for the year so if it arrives I will post it for you.



Just as a final note, be sure you go to www.toop.tv and see the last program for 2009 including a special segment “on the red Carpet”, a fun segment with Adelaide people you will definitely recognise. We have interviews with the State political leaders on Land Tax and Stamp Duty, Planning controls and a series of really important policy issues relating to SA property so subscribe for your reminders on www.register.toop.com.au if you are not in that loop already.



Have a wonderful New Years and see you in 2010,



Regards



Anthony Toop, Managing Director.


www.toop.com.au


© Toop Real Estate Group

Thursday, December 17, 2009

Remarkable Year for Property Owners

InsideStory readers this is it for 2010. It has been a remarkable year for property owners with an unprecedented market turnaround creating sustainable growth. The Top End returned and we believe it will be solid throughout 2010, with much that was lost in the last quarter of 2008 clawed back over 2009.

In less than two weeks the First Home Owners Boost finishes and in the new year interest rates are set to head north further with many predicting a 0.5% rise in February. 2010 will see the return of the investor, a softening of the bottom end of the market and the pressure return to rentals. We will see some first home owners sell up, resulting in unhappiness in that market as opportunist investors flex their muscles.

Price sensitivity has been one of the standout features of this busy year Ð properties that were not priced correctly have not sold. The oversupply of properties in spring did not eventuate as sales were fast and furious, yet not ‘boom like’. Buyers may have less choice in the marketplace than this time last year, but they are showing great restraint even when faced with competition for the purchase. Off market sales have returned, multiple offers are again a feature of the market and with some spectacular exceptions, auctions are being strongly supported but considered.

This is the last weekend of opens for 2009. Selling now will be via online and from our VirtualAgent selling system, where we have 10,000 registered buyers waiting for the ideal home (buyers MUST register, log onto www.register.toop.com.au).

Hot off the press... our 2010 properties are being showcased in full colour in our brand new Toop Weekly magazine! We have taken this publication to a whole new level with a new format, so be sure to pick up our bumper holiday edition... we hope you absolutely love it! Toop Weekly is available from all of our offices and our sales team.

Be sure to visit www.toop.tv to watch some of our incredible interviews of 2009 and view many of SA’s Finest homes. Next Wednesday we have a Christmas edition going to air live and interactive with a special “on the red carpet” segment, capturing interviews with party goers... don’t miss it. We’ll be back live mid January with a fabulous line up for the year.

To all our clients, customers, friends, family and staff have a wonderful Christmas, and a safe and Happy New Year. Thank you so much for the loyalty and support you have shown Toop&Toop again this year, it is important to us and greatly appreciated.




Anthony Toop, Managing Director.


www.toop.com.au


© Toop Real Estate Group

Thursday, December 10, 2009

No holiday for the market !

Time’s Up Folks... just one more weekend of opens and that’s it for selling in 2009. So if you’re wanting to sell, what now?

During the Christmas New Year break it only takes a few days before buyers get hungry for property again. At Toop&Toop our team is well ‘seasoned’ and prepared for buyer enquiries throughout the holidays... especially on the Fleurieu. While many businesses are winding down our Victor office is ramping up, ready for their crazy time!

Thanks to new innovations we’re ensuring our clients don’t miss out on any selling opportunities, yet enjoy private time. This year we have been able to ramp up our online property information, as well as launching a totally new property magazine for Christmas & New Year - keep an eye out for it during the week.

This holiday season Toop&Toop will present properties better than ever before and make life so much easier for both sellers and buyers. Our online magazine, Toop Daily is real time and will remain totally up to date throughout the entire period... plus many properties are now showcased on Toop.TV. Having a complimentary property video viewable 24 hours a day, 365 days a year at www.toop.tv and downloadable by podcast, will take so much pressure off our clients over this period.

Although 2009 is coming to a close ToopTV video presentations are still available for our clients. Limited spots remain for our Christmas program. Sellers must act quickly as these are in hot demand.

To kick start 2010, we have launched our “January TURBO SALE program”. Designed to fast track sales it is extremely cost effective and high impact. January is a critical time when buyers lock in the ideal school for their children, which means securing a purchase or rental property prior to school enrolments closing.

Sellers MUST CALL over the weekend or Monday to get into our holiday marketing program. Capitalise on the phenomenal New Year period when interstate and busy locals get the time to look at property.

We have several awesome online initiatives ready to be introduced in 2010. A paradigm shift in real estate agency capabilities is occurring. Selling real estate in South Australia will be lifted to a new level next year. So today’s message is for those looking to sell as soon as possible, let’s hear from you today.



Anthony Toop, Managing Director.


www.toop.com.au


© Toop Real Estate Group

Thursday, December 03, 2009

The first time the RBA has ever lifted rates three months in a row

Hi InsideStory readers,



Here you go the latest CommSec report.



Some excerpts from the report to give you a feel for what it covers…..



The Reserve Bank (RBA) has increased interest rates for the third consecutive month – the first time it has ever lifted rates three months in a row. The cash rate was lifted from 3.50 per cent to 3.75 per cent.

􀂠 The RBA made two references to higher dwelling prices in the latest statement. The housing market will clearly be a central issue for the RBA in 2010.

What does it all mean?

• The latest rate hike will have its greatest impact on consumer sentiment & psychology rather than on household finances. According to the Commonwealth Bank more than 90 per cent of its home loan customers are ahead in their loan repayments. And while those who have taken out loans in the past six months may be up for higher repayments, few could say that they didn’t see it coming.

CommSec Report - Ecomonic Insights (pdf)

Enjoy the read, and remember to send you questions to www.asktoopie.toop.com.au and we will answer them every Wednesday Live and Interactive on the show, and blog them to you as well.



Regards




Anthony Toop, Managing Director.


www.toop.com.au


© Toop Real Estate Group

Australians opt to better utilise their bigger homes

InsideStory followers,



CommSec pulled a great piece of research out of the hat this week and made really interesting reading. Here are some exerts from the report to tempt you to read on……



· NSW still has the biggest houses in Australia – and by a large margin. The size of the average new house built in NSW in 2008/09 was 262.9m², followed by Queensland (253.0m²), Victoria (249.5m²), Western Australia (243.9m²), ACT (239.4m²), Northern Territory (232.3m²), South Australia (195.2m²), and Tasmania (190.6m²).



· The other interesting figures released recently relate to housing mobility. The Bureau of Statistics report for the 2007/08 year show that less than half of all households had moved in the past five years to (43.4 per cent). Those that were more likely to have moved in the past five years were private renters (85 per cent) while only 15 per cent of homeowners without a mortgage had shifted premises and 42 per cent of those with a mortgage.

· When the same question was asked a decade ago, 73 per cent of people had moved house in the past five years. All groups had moved more often, including homeowners (56 per cent) and mortgagees (67 per cent).



So in simple terms, figures suggest that an extra 166,000 homes would have been needed had not Australians opted to better utilise their bigger homes over the year

CommSec Report - Economic Insights (pdf)


This summary report into house sizes is an easy read and worth taking a few minutes to look at. For real estate agents, the drop off in mobility will put a shiver down your back bone!!



Enjoy,



Anthony Toop, Managing Director.


www.toop.com.au


© Toop Real Estate Group

Wednesday, December 02, 2009

Dynamics changing, but Adelaide's market healthy and stable.

Dominating real estate news this week: the Reserve Bank’s controversial third consecutive interest rate rise, Westpac’s instant move to drive rates even higher & the release of CommSec’s report into the size of Australian homes.

Westpac are leading the “pack” with their 0.45% hike in rates. Certainly disappointing, but is this the trigger investors have been waiting for to re-enter the market? RP Data’s view is... “The twenty five basis point rise from the Reserve Bank is likely to take the average variable rate up to 6.55%... This is still well below average levels which tend to be above 7% & significantly lower than the recent peak when mortgage rates were 9.6% in July & August last year.”

As the First Home Owners Boost ends this month & with interest rates moving up, the dynamics are changing quickly. Investors have been waiting for these events & InsideStory has been predicting them. We have already seen a softening of the sub $500,000 market as buyers have gone from “anxious & enthusiastic” to “cautious & conservative”. Meanwhile the top end of the market has been fast & furious, making up for the record low volumes this bracket experienced last Spring.

Consistent prices plus last month’s volume of auction & pre-auction sales at all levels, (even in the $3-$4 million range), reflect a healthy stable market. Buyers, a reminder to register for VIP advice on “off market” listings at www.register.toop.com.au.

Now some highlights from RP Data’s Riskmark Monthly report & CBA’s CommSec Research Report released this week.

RP Data
“Over the first ten months of 2009, Australian home values have risen by 10% following on from their 3.8% peak-to-trough falls in 2008. Over the year-to-date Melbourne has been Australia’s best performing capital city, delivering capital gains of +14.9%. Sydney is up by nearly 1% per month with cumulative growth of 9.9%... most of the other capital cities have performed strongly with Darwin (+12.7%) leading the way, followed by Canberra (+11%), Brisbane (+6.9%), Perth (+6.1%)
& Adelaide (+4.6%).”

CommSec
“Australian homes are biggest in the world. Data commissioned by CommSec from the Australian Bureau of Statistics shows that the average floor area of new homes hit a record high of 214.6m² in the last financial year... the average size of new homes started in the US stood at 201.5m².

For the first time in at least a century, the number of persons per household rose during the 2007/08 year from 2.51 to 2.56 persons... If the size of the average household continues to rise, there will be reduced demand for new houses & apartments.”

The terrific news is that Adelaide’s market continues to be stable, consistent & reliable... you can’t ask for more than that! To read the full reports go to www.insidestory.toop.com.au

Why not get even more involved in the world of real estate? We are “live & interactive” every Wednesday at 1pm on www.toop.tv, answering your property questions live plus those sent in to www.asktoopie.toop.com.au. This week’s show was compulsive property viewing including a sensational interview with RP Data’s David Williams & Toop&Toop’s own Peter Veitch. If you missed us live, this broadcast is now available to view or download as a podcast at www.toop.tv



Anthony Toop, Managing Director.


www.toop.com.au


© Toop Real Estate Group

A report for those keen to remain very informed..

InsideStory subscribers,



This is a big report and takes some absorbing. Today we interviewed David Williams, Executive General Manager of RP Data on ToopTV, so to hear and see that interview, go to www.toop.tv from Thursday afternoon as the interview will be available for viewing or downloading as a pod cast.

RPDataRiskmarkNov09.pdf (pdf)

This report is perfect for those keen to remain very informed.



We will be posting a number of great reports this week.



Enjoy the read,



Regards






Anthony Toop, Managing Director.


www.toop.com.au


© Toop Real Estate Group