BLOG: Home Buyer’s Strike

Five reasons First Home Buyers should stand aside

The Don’t Buy Now! campaign urges the landless not to buy real estate until prices reset, just as they have in the countries we compare ourselves to. Property is grossly over valued measured against earnings or the rental income it can generate. This means young...

Nobody wants a mortgage

11 July 2012 ABS Housing Finance data out today shows a 7.3 per cent fall in commitments to buy new-built houses in a singe month. This follows a 9.3 per cent fall the month before. "Established house price are now at such a discount to newly-built that buyers are...

Giant Savings in Don’t Buy Now!

26 June 2012 Homebuyers who took Prosper Australia’s advice – Don’t Buy Now! – exactly five quarters ago have typically saved themselves $64,000 from the fall in property prices compared to someone who bought. Major land price falls mean a smaller mortgage, saving a...

Broadacre Land Prices To Fall Hard

13 June 2012 Victoria Planning Minister Matthew Guy has made big land price falls on Melbourne's outskirts a certainty with his extension of the metropolitan boundary by around 7000 hectares. "The gaping chasm between developer supply and buyer demand has never been...

Another loser renovation

Corrected at 1730 to adjust (upward) the renovation figure. Many thanks, Steven Shaw for pointing out my error. Toby Johnstone is out again in the SMH recording how two brothers wasted nearly two years of their lives and endless toil renovating a Cleveland Street...

Not So Fast!

ABS Inflation data out today shows a big fat zero: we have nil inflation, at least for this quarter. The consequences for interest rates are profound. Mortgage rates may seem reasonable at 6 to 7 per cent.  In practice they are agony. A real interest rate of 6 per...