I got a feelign it might although you always hear the big auction results on the weekend it seems to be that supply in the metro area is starting to increase.
Me thinks people are expecting another rise.
yeah, I have been thinking the same for a few weeks!
So has my brother who lives in Perth and has IP’s there. Your post has come at an interesting time. There are rumblings in the WA market place from “experts” that prices are on a plateau or on a slow dive down.Will the Auction results, Investors or the Print media dictate the property market for the last qtr of 2006 and beyond????
The RBA has to be careful if Interest rates increase then rent prices could sky rocket also if Petrol keeps going up it may be another reason to keep another rate rise down.
My 2 cents
I hope you are right Carl trying to find a value for money property in Perth at the moment is dam hard![grrr]
Supply is on the decline big time in Perth Metro.
hi all
theres a link somewhere that goes into the anz property predictions,which in relation to perth indicates growth in the market until 2007/8 then a small pull back in median values.
time will tell!,
I’ve locked in my equity and topped up my loans with my WA IP’s..
“Money is a currency, like electricity and it requires momentum to make it Effective”
Online Positive Cashflow and Renovating CalculatorsOriginally posted by Carl.Alexander:The RBA has to be careful if Interest rates increase then rent prices could sky rocket also if Petrol keeps going up it may be another reason to keep another rate rise down.
My 2 cents
Please explain.
Hi Carl,
It may seem odd but a rise in petrol prices actually strenghtens the case for a interest rate rise because it forces increased spending which in turn puts more pressure on inflation. The last rise was a perfect example-petrol prices had just risen and the RBA then put rates up (on a line ball decision).
The RBA tries to keep inflation in the 2 to 3% range and at the moment it’s pushing outside the 3%. Record spending on property is occuring now (bigger than in the 2003 boom) so there are very strong reasons to raise rates again.
The 1st of August will be when the next decision is made on rates. It will be very interesting to see what happens. You can sometimes get a hint by watching what the major lenders do with the fixed interest rates in the weeks preceding the RBA decision.
Todd Burns
http://www.freepropertyhelp.com.au
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