Tech & Science Stockland chief tips up to 7 per cent house price gains

23:41  08 december  2019
23:41  08 december  2019 Source:   brisbanetimes.com.au

Sydney, Melbourne house price surge accelerated in November

  Sydney, Melbourne house price surge accelerated in November Australian home values are likely to reach fresh record highs within months, as Sydney and Melbourne post boom-time price rises and their auction markets run hot.The widely watched CoreLogic home value index jumped 1.7 per cent nationally in October, taking the index to a small annual rise of 0.1 per cent.

New data shows the city's house values falling up to about 7 per cent year-on-year – and in some of the city's more sought-after areas. Homes.co.nz shows Newmarket prices fell 7 .4 per cent from 2018 to January 2019 to a median 7,000. Chief data scientist Tom Lintern said that was probably due to

Westpac's economists are tipping house price growth to accelerate next year, and believe Dominick Stephens, chief economist at Westpac "We predicted (in May) that the housing market would gradually pick up , and that annual house price inflation would accelerate to 7 per cent over 2020.

a view of a city next to a body of water: Stockland has added 210 lots to its Altona North townhome project.© Supplied Stockland has added 210 lots to its Altona North townhome project.

Diversified developer Stockland's chief has tipped a growth rate of between 5 and 7 per cent in house prices in the coming year as the residential market roars back to life.

Mark Steinert, the chief executive of the country's biggest house and mixed use communities developer, said the recovery is "in full swing", based on lower interest rates and an easing on loan restrictions by lenders.

"Credit conditions are improving and we are seeing about half of our customers are first home buyers," Mr Steinert said.

Sydney and Melbourne house values surge on lower interest rates

  Sydney and Melbourne house values surge on lower interest rates The biggest jump in Sydney house values since 1988 help propel national market through November.CoreLogic's monthly measure of values showed dwelling values across the nation's capitals jumped by 1.7 per cent in November, the biggest monthly lift since 2003.

Westpac is predicting that house prices will increase by up to 7 per cent in 2020 and now ASB says the market is "springing back into life". In its Home Truths newsletter, Westpac said the cancellation of capital gains tax combined with tumbling mortgage rates would push prices higher.

Excluding Auckland, prices were up 9.4 per cent and sales were up 18 per cent , reflecting rising interest in cheaper housing and easier mortgage rules in REINZ chief executive Colleen Milne said last month's house sales underlined the surge of activity in the regions over the past six months, with

"These buyers are continuing to be the most active part of the market as affordability improves."

Stockland develops large community sites with schools and child care nearby.

Mr Steinert said household spending is balanced with not as many willing to take on too much debt.

Craig James, the chief economist of CommSec, said the quarterly national accounts from the Australian Bureau of Statistics show household incomes spiked higher in the September quarter due to the tax cuts being paid.

"And consumers promptly saved most of it. Many families needed to, because up to then, many families were running down savings so they could maintain spending. The question is whether the ‘saving’ was just a strategic decision, awaiting the sales events in November and early December," Mr James said.

ASX shares rising on booming Australian house prices

  ASX shares rising on booming Australian house prices Australian house prices are booming again according to CoreLogic, which ASX shares are doing well?Every month CoreLogic releases its national Home Value Index for the overall country, as well as the capital and regional areas.

House prices rise 7 per cent nationally, and a whopping 20 per cent in red-hot Auckland, in last 12 months. Property Institute chief executive Ashley Church said the Reserve Bank's decision to cut the OCR to 3.25 per cent would send a "mostly positive" message to the market that would encourage

Stockland has warned Australia’s housing crunch and weak retail conditions will limit growth in its full-year “Weak housing markets and ongoing headwinds in the retail sector will likely see our full year results at the lower end of our guidance range for FFO per security growth of 5 to 7 per cent ,” chief

"Consumers have welcomed the tax cuts and interest rate cuts as the measures have allowed people to rebuild savings without sacrificing their standard of living in a significant way.

"Aussies have saved, not spent, the tax cuts – at least so far. Anecdotal evidence suggests that some of the dollars were spent at recent sales events."

Mr James said the performance of consumer spending will be important for future decisions on fiscal and monetary stimulus.

The positive outlook has been reinforced by the weekend's auction clearance rates in Sydney of 79 per cent, a 47 per cent rise on the same time last year, In Melbourne it was 74 per cent, up 45 per cent on the previous corresponding period.

Mr Steinert said in NSW, developers welcomed the focus by the government on planning reforms, particularly in the so-called middle ring of Sydney around the Olympic Park zone.

"With the forecast rise in population, it is important to get sustainable growth in transport and infrastructure," Mr Steinert said.

13 of your most pressing questions on modern etiquette

  13 of your most pressing questions on modern etiquette Need advice on the newest etiquette rules? We’d like to cordially offer you answers. The post 13 of your most pressing questions on modern etiquette appeared first on Reader's Digest Australia.

Welcome to Stockland 's First Home Buyers Guide, which will take you through the 5 stages of buying your dream home. Stockland ’s approach to liveable design. Easy every day living is a priority at Stockland , which is why our homes are designed with generous proportions in all the right places.

Stockland , one of the country's largest home developers, said the strong residential markets along the eastern seaboard, stable retail sales from its tenants The diversified nature of the business has led the group's chief executive Mark Steinert to issue a tightened full 2017 year guidance to 6- 7 per cent

He said Stockland will focus on re-stocking land in Sydney and Melbourne in the coming year.

Saranga Ranasinghe, a Moody's Vice President and Senior Analyst said the ratings agency expects residential construction – as reflected by housing starts – to remain soft, "although property prices and demand have started increasing again following price corrections in Sydney and Melbourne".

Stockland also got the green light during the week for Stage 1 of the $500 million M_Park development at Macquarie Park in Sydney.

Stockland will develop a new commercial precinct across a three hectare site integrating state-of-the-art office, co-working, retail and conference facilities. The first stage of development is expected to commence mid to late 2020 and will include 18,000 square metres of office and 296 secure basement car spaces.

Stockland group executive and chief executive of commercial property, Louise Mason, said the approval of the development project in the heart of Macquarie Park, was another important step in the progress of Stockland's $2.5 billion workplace and logistics development pipeline.

"This project is a key part of our strategy to grow our workplace and logistics exposure through development opportunities across existing properties and strategic acquisitions," Ms Mason said.

Australia's miners boosted as Chinese stimulus hopes send iron ore surging .
Australia's listed miners get a boost as all major iron ore grades climb to fresh multi-month highs."The Chinese politburo once again mentioned a boost to infrastructure spending as a way of supporting growth next year," ANZ senior commodities strategist Daniel Hynes told clients. "The meeting of Chinese leaders also failed to mention any constraints on housing, signalling a milder policy tone for the sector.

—   Share news in the SOC. Networks

Topical videos:

usr: 1
This is interesting!