Cash rate cuts explained, changes to your credit report and property location tips

Stoneturn
Newsletter
October 2019

It’s been an exciting few months in the property world, with the housing recovery continuing to gather momentum. In October, all capital cities except Perth saw dwelling values increase. Meanwhile, auction activity remained strong for most of October. Some industry experts expect the usual spring surge in buyer activity to stretch to Christmas this year. If you’re thinking about a summer property purchase, now is the time to organise your finance!

Interest rate news

This month, the Reserve Bank of Australia (RBA) decided to leave the official cash rate on hold at 0.75% pa. The decision follows a rate cut in October to the current historic low, plus previous cuts in June and July this year.

Some lenders passed on the full 0.25% cut in October, while others passed on some of the cut. If you haven’t reviewed your mortgage in a while, now is a good time to have us take a look at it for you. We may be able to find you a more competitive deal or a home loan that better suits your current financial situation and future goals.

Home value movements

Great news for homeowners and investors – dwelling values increased in all capital cities except Perth in October. The biggest increase was in Melbourne, where home values rose 2.27% throughout the month. In Sydney, prices increased by 1.66%, while Hobart saw values rise by 0.91%. Brisbane prices increased by 0.84%. In Adelaide they crept up 0.37% and Darwin saw property prices rise 0.29%. Meanwhile, Perth’s property values fell 0.42%.

Property market activity

All dwellings Auctions / clearance rate
Private Sale Monthly Home Values
VIC 160 / 73% 1042 2.27
NSW 515 / 78% 1447 1.66
ACT 53 / 77% 86 0.62
QLD 135 / 46% 845 0.84
WA 20 / 35% 391 -0.42
NT 3 / 33% 13 0.29
TAS 0 / 0% 185 0.91
SA 66 / 59% 294 0.37

* Monthly Home Values figures as at October 31, 2019
* Australian auction results, clearance rates and recent sales for the week ending November 3, 2019. The clearance rate is preliminary and current as at 11:18 am, November 4, 2019

We’re here to help

Considering buying your own home or investment property? We can arrange finance that’s tailored to your specific needs. Speak to us and we’ll explain your borrowing capacity, organise pre-approval on your finance and walk you through the loan application process. Please get in touch!

Sources:

Alycia Inglis
alycia@stoneturn.com.au
0412 210 099

Stoneturn Pty Ltd
Level 21, 25 Bligh Street, Sydney NSW 2000
T: 02 8256 3109 E: admin@stoneturn.com.au

  
 

Disclaimer

Note that specialist Accounting, Property, Mortgage and Foreign exchange services offered by our partners, Stoneturn, OFX, Hartley’s and LJ Hooker are via referral arrangement only. Australian Expatriate Services are not responsible for any advice/services provided by these Firms.

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