Want to know about BITCOIN ?????


A lot of monkeys lived near a village.
One day a merchant came to the village to buy these monkeys!
He announced that he will buy the monkeys @ $100 each.
The villagers thought that this man is mad.
They thought how can somebody buy stray monkeys at $100 each?


Still, some people caught some monkeys and gave it to this merchant and he gave $100 for each monkey.
This news spread like wildfire and people caught monkeys and sold it to the merchant.
After a few days, the merchant announced that he will buy monkeys @$200 each.
The lazy villagers also ran around to catch the remaining monkeys!
They sold the remaining monkeys @ $200 each.
Then the merchant announced that he will buy monkeys @ $500 each!
The villagers start to lose sleep! … They caught six or seven monkeys, which was all that was left and got $500 each.
The villagers were waiting anxiously for the next announcement.
Then the merchant announced that he is going home for a week. And when he returns, he will buy monkeys @ $1000 each!
He asked his employee to take care of the monkeys he bought. He was alone taking care of all the monkeys in a cage.
The merchant went home.


The villagers were very sad as there were no more monkeys left for them to sell it at $1000 each.☹
Then the employee told them that he will sell some monkeys @ $700 each secretly.
This news spread like fire. Since the merchant buys monkey @ $1000 each, there is a 300 profit for each monkey.
The next day, villagers made a queue near the monkey cage.
The employee sold all the monkeys at $700 each. The rich bought monkeys in big lots. The poor borrowed money from money lenders and also bought monkeys!


The villagers took care of their monkeys & waited for the merchant to return.
But nobody came! … Then they ran to the employee..
But he has already left too !
The villagers then realised that they have bought the useless stray monkeys @ $700 each and unable to sell them!
The Bitcoin will be the next monkey business
It will make a lot of people bankrupt and a few people filthy rich in this monkey business.
That’s how it will work

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New legislation provides tax cut for first home buyers

The federal government has successfully passed legislation that will allow first home buyers to access their tax-exempt voluntary superannuation contributions when saving for a deposit.

On Thursday (7 December), the federal parliament passed elements of the Turnbull government’s housing affordability plan, which was first announced in the budget.

This plan incorporates the First Home Super Saver Scheme (FHSS), which enables first home buyers (FHBs) to access their tax-exempt voluntary superannuation contributions from 1 July 2018, and the rate of deemed earnings (made from 1 July 2017).

The FHSS permits individuals to contribute up to $30,000 (but no more than $15,000 a year) to their superannuation account, with FHB couples eligible to contribute up to $60,000.

It is hoped that the move will “accelerate” deposit saving by up to 30 per cent.

Further, in an attempt to free up homes for younger, growing families, the legislation will provide an incentive for older Australians (65 and over) to downsize, by allowing them to contribute up to $300,000 from the sale proceeds of their current dwelling, to their superannuation.

Both members of a couple aged over 65 will be eligible to make a contribution; meaning a couple can contribute a combined sum of $600,000 to their super.

In order to be eligible, Australians over the age of 65 must have lived in the dwelling they intend to sell for at least 10 years, and can only make contributions after 1 July 2018.

Speaking after the key elements were passed, Treasurer Scott Morrison, stated: “The FHSSS provides a much-needed tax cut to young Australians saving for their first home. From 1 July 2018, first home buyers will be able to withdraw voluntary superannuation contributions they’ve made since 1 July 2017, along with a deemed rate of earnings, to help buy their home. This will give first home buyers a significant leg-up towards saving their deposit, helping them overcome a key barrier for getting into the housing market.

“The downsizing measure removes a financial obstacle from older Australians who are considering moving to homes that better suit their needs.”

He concluded: “The Turnbull government is continuing to deliver on its commitment to ensure all Australians have access to secure, stable and affordable housing.”

Both housing affordability and FHBs have been in the spotlight recently; according to a recent Bankwest report, Australian FHBs are now spending more time saving for deposits before purchasing a home.

The 2017 Bankwest First Time Buyers Report revealed that on average, FHB couples now spend 4.6 years saving for a 20 per cent house deposit of $111,080 on a median priced home; up from 4.4 years spent saving on a deposit of $103,907 in the previous year.

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MONTHLY HOUSING MARKET UPDATE

National Update

Brisbane, QLD

Sydney, NSW

Perth, WA

Melbourne, VIC

Adelaide, SA

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Non-Capital City Housing Markers A Real Mixed Bag

Earlier this month CoreLogic released their October 2017 home value index results, in this week’s Pulse we focus on what these results look like across the regional housing markets.

According to the CoreLogic home value index results for October 2017, dwelling values across the combined regional housing markets of the country were unchanged over the month.  While dwelling values were flat, they fell by -0.1% over the quarter and were 4.9% higher over the past 12 months.  The quarterly decline in values was the largest fall since the three months to October 2014 while the 4.9% annual change was the lowest annual change since February 2017.

2017-11-13--annualchangeincombinedregionalareadwellingvalues

While the data indicates that the rate of dwelling value growth is slowing, there are some differences occurring across the regional markets of the states and territories.

Regional NSW

Dwelling values increased by 0.2% in October 2017 to be 0.7% higher over the three months to October 2017 and 9.7% higher over the past year.  Monthly, quarterly and annual growth rates are slowing however, regional NSW has recorded faster annual growth than Sydney over the past two months.

2017-11-13--annualchangeinregionalnsw

Regional Vic

The 0.3% increase in values in October was the greatest monthly increase since April of this year.  Over the past three months, values are -0.3% lower while over the past year they have increased by 4.4%.  At 4.4% annual growth, the regional areas of Vic are growing at a much slower pace than Melbourne where values are 11.0% higher over the year.

2017-11-13--annualchangeinregionalvic

Regional Qld

Dwelling values were -0.2% lower over the month however, they fell by -0.5% over the quarter and were 1.6% higher over the past year.  Regional Qld dwelling value growth has continued to underperform the quite moderate growth in Brisbane as regions outside of the south-east corner continue to drag on the performance.

2017-11-13--anualchangeinregionalqld

Regional SA

Dwelling values fell by -0.5% over the month, were -2.1% lower over the quarter and -0.9% lower over the past year.  While dwelling values are increasing at a moderate pace in Adelaide, outside of the capital city housing demand is much weaker leading to value falls.

2017-11-13--annualchangeinregionalsa

Regional WA

While Perth values have not fallen for two months, in Regional WA, dwelling values fell -0.4% in October, they were -1.4% lower over the quarter and -3.0% lower over the year.  This indicates that regional WA values have fallen at a slightly faster pace than Perth values over the past year.

2017-11-13--annualchangeinregionalwa

Regional Tas

Values were 0.3% higher in October 2017, -0.4% lower over the three months to October and 5.4% higher over the year.  Although annual value growth was much slower than in Hobart, it has accelerated from an increase of 1.7% a year ago.

2017-11-13--annualchangeinregionaltas

Regional NT

Values rose by 1.1% over the month to be 0.7% higher over the past three months and 1.3% higher over the year.  Although growth is still minimal, it is significantly greater than the -5.7% fall in Darwin values over the year.

2017-11-13--annualchangeinregionalnt

Growth in regional dwelling values generally continues to lag capital cities however, in most states the growth in values of regional property markets are generally stronger than they have been over recent years.

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Insights From the 2016 Census For Builders and Developers

Australia is changing. Data from the 2016 Census has been released – we provide insights to help you better target today’s market.

Just as our appetite for V8-powered cars is shifting towards smaller, more economical cars, what Australians are looking for in other areas is changing too . The 2016  Census reveals that a great deal has changed in Australia over the past 5 to 10 years. As a country, we’re getting older and we’re less likely to live in a house. Our median weekly incomes have increased, but so too have our rents and need for education. The Census – particularly when combined with data from other sources such as CoreLogic – is a powerful source of information that you can use to your advantage to display your national and local expertise and gain more leads.

Demand from school children and elderly

There are 1.9 million more of us than 2011, an increase of 8.8 per cent.
Primary school and secondary school attendance is up 9.8 per cent and 8.3 per cent respectively on 2011. Tertiary education including universities is up a massive 14% on 5 years ago. As the 1.9 million children currently in primary school progress into a secondary school sector that already supports 1.45 million, education will continue to require increasing investment. Now is the time to start working your contacts for school development work, from new schools to renovations or expansions to existing facilities.

Our population is ageing. There are 664 thousand more Australians now aged over 65 than there were 5 years ago; a total of 3.67 million or 22 per cent. 449 thousand people in that increase are aged 65 to 74, a 27 per cent increase on 2011. And there are 1.3 million Australians aged 60 to 64. Demand for health care, multi-generational living, aged care facilities and senior friendly spaces will be high. Be on high alert for potential aged care facility locations and make sure you have the resources to tender at short notice.

Home Internet and networking

83.2% of households accessed the Internet from home in 2016, a 15.6 per cent increase from 20112. Data needs and speeds are being driven by the continued adoption and increasing use of smart devices and television streaming services4. Smart home applications like Google Home and smart lighting are designed to make our lives easier, but also drive an increased reliance on in-home connectivity.

High-speed fibre networking to the premises will take on increased importance for buyers, especially in greenfield developments and new builds. Consideration should be given in planning and development to multiple wired networking points around the primary residence – particularly in media rooms and offices – as well as in ancillary buildings such as secondary dwellings, sheds and garages.

Medium-density living, and more cars!

Australian families by and large are still living in separate houses, however, the percentage of the population doing so has dropped from 75.6 per cent in 2011 to 72.9 per cent in 20162. This has been made up by a move to semi-detached, terrace houses, townhouses and apartments. Don’t just focus on advertising big projects – adapt and retarget marketing material to attract clients wishing to build smaller homes or apartments.

At the same time, even though we’ve traded our high-powered V8 for a four or six-cylinder sedan1, Australian households have more cars than ever before2. While most households had one or two cars parked at home in 20162, 18.1 per cent had three or more, as compared to 16.5 per cent in 20112 and 15 per cent in 2006 .

Rent hike

Median weekly household incomes have increased $204 since 2011 to $1438. Median monthly mortgage payments have remained about the same as 5 years ago at $1755, however median weekly rent has risen 76 per cent since 2006  and 17.5 per cent since 2011,3. Despite the rent hike, more Australians were renting in 2016 (30.9 per cent), compared to 2006 (28.1 per cent)3 and 2011 (29.6 per cent)2. Whether or not there is a cooling in the investment market, rent hikes point to continued demand and the potential for improved yields.

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First impressions: creating an inviting house entrance

The front door: the gateway to your abode. It’s the place your visitors will get the most time to assess you while they wait for you to let them in. Of course, no one’s suggesting you need an OTT door like the one in King Kong (1933), but it could give your house a more inviting exterior. This wouldn’t just be appreciated by guests, but by you too, every time you come home and, when the time comes, it makes a great first impression for any prospective buyers coming to view your property. We’re here to offer you some easy ways to enhance the entrance to your home!

Light it up!

First things first, make sure your front door is easy to get to! There are several factors to consider here (that drawbridge and moat probably seemed like a good idea in B&Q), but a visible door should be top of the list. During the winter months, in particular, a dark exterior to your home can be confusing and even intimidate. Some strategic lighting will direct visitors to your front door and can make your property look great. If possible, light up a pathway to the front door – solar powered stake lights can be an attractive way to do this. Make sure that the front door is bathed in the most light, though, as this should be the main point of focus.

Also, consider what colour lights you want. Powerfully bright lights with high colour temperatures (blue) at night will brighten up your property front very well, but can be jarring and tough on eyes that are already accustomed to the night. Lower colour temperature lights (tungsten) generate a softer effect that is generally more relaxing but doesn’t provide as much light.

Lead the way

Still on the subject of making sure guests can find their way to your door, make the route obvious! Unless your house is a stately manor with the front gate three minutes’ drive away (to level with you, this blog probably isn’t targeted at you), getting to your front door shouldn’t exactly be the Grail temple from The Last Crusade. But a garden that offers a pathway specifically to your front door gives an inviting impression of your property and lets people know that you want them there.

A pathway also gives you new and interesting design opportunities – you can turn the pathway into a garden ‘hallway’, with various design ideas from the aforementioned lights, to flower arrangements to even some flowered archways above a tiled path.

Make it a transition

Once your visitors are actually at your front door, that’s where they’ll be waiting for you to open up and let them in, giving them plenty of time to absorb the environment. It’s not very inviting to have a naked entrance to the house – people might start to feel like they’re waiting for a lift to arrive in the house from The Shining. So why not spruce it up a bit and make it feel like it’s been shown some love and attention by the people who live there?

You can also make your guests more comfortable when they’re visiting you at home by making the entrance to your property a transition into the indoors. Give your door a shelter (if anything, no one wants to be left in the rain waiting for you to answer the door) and perhaps set up a bench outside. This can give the impression that your home is lived in, another subconsciously comforting thought. You could put some pot plants or baskets around the door too, welcoming guests and introducing a bit of colour to the scene.

Accessorise!

Welcome mats asking for a warrant, flamboyant house numbers on the door, a door-knocker shaped like body parts –  give your guests a taste of your personality! Of course, it doesn’t have to be novelty comedy items because we’re not all reincarnations of Tommy Cooper, but you can still make your front door represent you with attractive design and decorations. We would say that you shouldn’t overdo it with the accessories though because, like anything with too many accessories, an overloaded entrance can end up looking like a confused version of Buckaroo.

It’s not like it’s difficult to get to your front door, so you don’t need to be too direct when guiding your visitors. Neon light arrows need not apply. But a gentle push towards your entrance is comforting and inviting, putting anyone coming to your door at ease. Remember that your front door is where your house begins for guests, not the interior. If you channel all your aesthetic polish into your house interior, then you’re neglecting the first and last impression they will have of your home. So make approaching your house part of the welcome!

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To Rise or Not To Rise? The Interest Rate Question.

It’s an interesting time to be the Governor of the Bank of England, especially as there is now a real decision to make as to whether to increase interest rates from their historical low of 0.25% or not, especially as the latest UK inflation figures came in as expected at 3%.

These were always going to be looked at as a bellwether for the next interest rate decision for the Bank of England it may be the catalyst to spur them on to increase rates in November.

Whilst the Governor narrowly avoids having to write a letter of explanation to the Chancellor, inflation is now at its highest level since April 2012 which will heap pressure on the MPC to be decisive.

The real question is whether they will have the metal to actually follow through with this move after the markets have already priced in a 0.25% rise and mortgage lenders have begun to increase their fixed rate offerings accordingly. Will it be a case of a return of the “unreliable boyfriend”?

This inflationary pressure would normally see a nailed-on response in terms of an interest rate rise, but interestingly some leading economists have been warning that the Governor should stay his hand for some time yet.

The EY Item Club warned that if he was to increase rates so soon this would be a risk given the “fragile economic outlook”. The British Chambers of Commerce and Standard & Poor’s have both said that the time is not right for a rise yet.

So once again Carney seems to be stuck in no man’s land and which way they swing remains to be seen.

We may well look back in time and see that Carney was able to control the markets without actually doing anything, but this time the whole language of not just the Governor, but by those around him as well seems to be changing.

In recent weeks SWAP rates, the cost of funds that lenders base their product pricing on have all increased, with 5-year money back over 1% once more. This is normally a prelude to mortgage lenders hiking their fixed rate products and, lo and behold, the end of last week saw just that.

Around half a dozen lender have said “enough is enough” and begun to increase their rates with rises of up to 0.25%. Don’t get me wrong this still leaves rates at low levels, but it does send a message out to everyone that things cannot stay this low for ever.

As we gear up for another budget, the housing market is back on the top of the agenda, with increases in the amount available for the oft-criticised Help to Buy Scheme as well as a plan to give councils more money to build affordable homes.

The big rumour however, ifs around Stamp Duty. Will there be a holiday period for First Time Buyers which has been effective in the past, will the lower limit be pushed up or something more dramatic.

The desperation to win back younger voters has been palpable from the Conservatives and housing is seen as a key battle ground.

We will know soon enough, but in the meantime, there are still some exceptionally competitive mortgage products around.

Currently, 2-year fixes are available at 1.15%, (3.98% APRC) and 5-year fixes from 1.69%, (3.02% APRC) whilst variable tracker rates are around from 0.99%, (3.29% APRC).

Those looking at a Buy-To-Let can obtain products from just 1.28%, (4.01% APRC) for a 2-year fix.

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Why would you want a remortgage?

A remortgage is when you take out a loan on a property on which you already have a mortgage. Quite simply, this replaces your existing mortgage with another, which can be done because your existing product is coming to the end of its term, you want a cheaper rate, you want to change the terms of your loan, or you want to borrow more money for things like home improvements.

Given the fact that interest rates are low at present and the Bank of England is talking up the prospect of them raising the Bank of England Base Rate sooner rather than later, many borrowers are now reviewing their options in order to lock into the current crop of low rates before they potentially disappear.

But what are the benefits of remortgaging? And is it always a good idea? Allow us to explain and offer clarity on whether a remortgage is the right decision for your particular circumstances.

To save money on a better mortgage deal

In our blog, Remortgages: Top 3 Things to Consider, we talked about the Loan-to-Value percentage (LTV). To summarise, the LTV is the amount you borrow compared to the value of the property. For instance, if you are paying a 5% deposit, the loan you need for the property is 95% of the value of the property, or 95% LTV. There are two reasons why a 95% LTV mortgage will be more expensive for the borrower: firstly, because the amount you are borrowing is larger and therefore you need to pay interest on a higher figure, and secondly because your loan represents more risk for the lender and, therefore, they will offer a higher interest rate to justify the risk.

It’s the LTV that means you could be eligible for a better value loan some way into your mortgage. Once you have been paying back your mortgage for a while, the total debt you owe will reduce, but you’ll still be paying the same interest based on your original offer. With some of the debt paid off, you have enough equity to afford a better mortgage deal. For instance, if you’re paying a 20% deposit (an 80% LTV) then you can expect a better interest rate on your mortgage compared to what you currently have for the remainder of your debt.

First-time buyers are particularly likely to benefit from a remortgage because, without equity in an existing property, they are less likely to have the funds to provide more than 5% or 10% of the deposit when they apply for their original mortgage.

Your deal is coming to an end

Many lenders now expect you to remortgage after your existing deal expires, which is why they will often offer you a tempting interest rate for a set period of time, such as 1.99% for the first five years of your 25-year mortgage. After the deal period has come to an end, the interest will usually go up to a typical variable rate, which is likely to cost more than other deals available on the market.

Once the deal is coming to end, it’s a good idea to search for alternative finance that could save you thousands of pounds. Do your calculations, though, because most lenders will charge you for paying back a mortgage early if you do not time it right to match the end of your existing deal. This number is usually about 5% of the remaining debt, as well as a possible exit fee between £75 and £300, and you may need to return some of the incentives you were originally offered.

It can be expensive to leave a mortgage early, but given the low rate environment we have at the moment, it may be less expensive than staying with a costly mortgage deal in the long run!

You want to borrow more

If you need to borrow more money, you could use the equity you have gained since paying back your mortgage (or the effects of rising house prices) to get a new, larger mortgage. This might appeal to you if your income has increased or the value of your house has gone up.

The reason you want the money will actually have an impact on the likelihood of your remortgage, but as long as you’re not attempting to use it to start a business, it shouldn’t be a major factor. If you’re borrowing to make home improvements, make sure you get some quotes on the construction.

You might also be looking to consolidate your debts, and a remortgage can be a way to pay off any outstanding borrowed monies. For instance, if you have a large credit card debt, a remortgage can help pay off that debt and will leave you with significantly less interest than credit card loans.

However, it is important to get specialist advice here as you are swapping short-term debt for longer-term debt which may well be cheaper month to month but may mean that overall you pay more interest over a longer period.

You want to change your mortgage terms

There were many borrowers who started life with an interest-only mortgage, where the monthly payments do not actually bring the loan amount down at all. We often find that when it comes to remortgaging, borrowers are now in a better financial position and with rates so low, can now afford to put part or all of the loan on a full repayment basis to start reducing the loan balance.

It is also an opportunity to assess your monthly affordability and potentially reduce your loan term which could save you thousands of pounds in interest and help you repay the loan 5 or even 10 years earlier.

You may also have a lump sum in savings that you wish to keep but use more effectively. This is where an Offset Mortgage can be extremely beneficial, utilising your savings to help reduce your mortgage payments or reduce the loan term without losing access to them.

Why shouldn’t you remortgage?

Remortgaging might sound like a great idea at the moment, but bear in mind that the above examples assume the value of your property has increased. Here is a list of circumstances where, if they apply to you, you will need to speak to a professional to ensure your next step is in your best interests and give you the best chance of being approved for a remortgage if you do decide to follow through.

  • Your property has fallen in value

If your house has dropped in value since the mortgage, you may be losing money if you try to remortgage. If you borrowed at 90% LTV, then the drop in value of the property could mean that’s now 95%, or even 110%, leaving your property in negative equity. In these cases, it might be cheaper not to remortgage until the property value increases.

  • You have a very small debt

If you don’t have much to pay on your mortgage, it may be that the total you have to pay back with interest will be more than the cost of a remortgage, considering the associated fees that may be involved. Although most remortgage products do now come with a free valuation and free legal it is worth doing the sums carefully. You might also have trouble getting a mortgage if your loan amount is too small, as lenders don’t often want to give out loans smaller than about £30,000.

  • If you have a poor credit rating

The credit crunch had an impact on how lenders assess to whom they will lend. It’s now required by the Financial Conduct Authority that they check the mortgage is affordable for the customer – not just at current rates but also at higher rates, in order to cover the event of an interest rate surge. This is why having a good credit rating is important when applying for a mortgage; even one missed credit card bill will have a negative impact on your chances for a successful application. Make sure you’ve checked your credit rating before you think about applying for a remortgage.

Many lenders now have ‘Retention Products’ you can switch to that are cheaper than doing nothing and just moving on to their Standard Variable Rate. We can help advise you as to whether it is best to remortgage elsewhere or to switch onto one of these retention products with your current provider.

In summary, remortgaging your property can be incredibly rewarding and save you thousands of pounds over the duration of the loan term. But that doesn’t mean it is necessarily the right course of action for your circumstances. If you are thinking about remortgaging your property, get in contact with us and we’ll be glad to guide you through your options. If it turns out a remortgage isn’t in your best interests, you can tell us what you need and we can help you find an alternative solution.

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First Home Buyers Bounce Back on Stamp Duty Concessions in Vic and NSW

The latest data from the Australian Bureau of Statistics (ABS) shows that there has been a rebound in owner occupier first home buyer housing finance commitments.

In August 2017, there were 10,227 owner occupier first home buyer finance commitments.  The 10,227 commitments was the greatest number since December 2009 and it represented 17.2% of all owner occupier housing finance commitments, its highest proportion since July 2013.

A big driver of the surge in first home buyer housing finance commitments has been some recent policy changes for first home buyers in the two largest states (NSW and Vic).  From July 1 of this year first home buyers purchasing properties below $650,000 in NSW and below $600,000 in Vic do not have to pay stamp duty.  In NSW stamp duty concessions are available up to a purchase price of $800,000 for first home buyers and in Vic concessions are available up to a purchase price of $750,000.  Between June and August, the number of owner occupier first home buyer housing finance commitments has increased by 59% in NSW and 34% in Vic.  This data highlights that stamp duty is one of the key barriers for first home buyers wanting to participate in the housing market, at least in NSW and Vic.

Outside of NSW and Vic, first home buyers are generally larger proportions of the owner occupier segment, suggesting easier housing affordability outside of Sydney and Melbourne have held first home buyer demand comparatively high.

The following sections look at first home buyer activity across the states and territories.

NSW

There were 2,426 first home buyer commitments in August which was the greatest monthly number since January 2012.  First home buyers accounted for 12.9% of owner occupier commitments over the month which was the highest proportion since October 2012 and up from a recent low of 7.5% in February 2017.

2017-10-23--NSW

Vic

In August 2017, there were 3,162 first home buyer first home buyer commitments in Vic accounting for 18.3% of all owner occupier commitments.  The 3,162 commitments was the greatest number since December 2009 and the 18.3% was the highest proportion since August 2013.

2017-10-23--VIC

Qld

The number of first home buyer finance commitments in August 2017 (2,190) was higher than the previous month but lower than the number in June.  The number of commitments in August was 17.9% higher than its long-term average.  Over the month, first home buyers accounted for 19.4% of all owner occupier finance commitments, down from 20.1% in July.

2017-10-23--QLD

SA

The 490 first home buyer finance commitments in August 2017 was higher over the month but -17.7% lower than the state’s long-term average.  First home buyers accounted for 12.7% of all housing finance commitments in August and the proportion of first home buyers has not been above 13% since August 2014 despite South Australia being the state with the nation’s second most affordable housing market (behind Tasmania).

2017-10-23--SA

WA

In August 2017 there were 1,589 first home buyer commitments which accounted for 26.2% of all owner occupier housing finance commitments.  The 1,589 first home buyer commitments was the greatest number since June 2015 and was 17.7% higher than the long-term average.  The 26.2% of all owner occupier commitments going to first home buyers was slightly lower over the month but was the highest proportion of first home buyers amongst the states and territories.

2017-10-23--WA

Tas

There were 129 first home buyer finance commitments in Tas in August 2017 which was -22.3% lower than the state’s long-term average.  First home buyers accounted for 12.3% of total owner occupier housing finance commitments for the state which was the lowest proportion of all states and territories.  Although the level of first home buyer activity is low, as a proportion it has increased over each of the past two months.

2017-10-23--TAS

NT

In August 2017 there were 60 first home buyer finance commitments which accounted for 20.5% of total owner occupier housing finance commitments over the month.  The 60 commitments over the month was -28.6% lower than the long-term average of 84 commitments a month.  With first home buyers accounting for 20.5% of all owner occupier commitments, their levels of participation is the second highest of all states and territories.

2017-10-23--NT

ACT

There were 231 first home buyer finance commitments in August which was 47.7% higher than the long-term average.  First home buyers in the ACT accounted for 19.3% of all owner occupier housing finance commitments which was slightly lower of the month.

2017-10-23--ACT

The data points to an upswing in first home buyer activity in NSW and Vic which seems to be due to the removal of the impost of stamp duty when buying beneath certain price points.  First home buyer activity has also increased of late in WA and NT, two markets where values have been falling for some time which could be creating opportunities for first time buyers previously unable to enter the market.  Qld and the ACT have also seen upticks in first home buyer demand of late which is occurring due to moderately rising prices.

Overall, first home buyer is expected to continue to increase, driven by NSW and Vic where buyers are taking advantage of the concessions to enter into the market.

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Rod Bryan is the Private Account Manager for PCL Money.

PCL Money arrange finance and provide loans for property developments, houses & cars, machinery, commercial & industrial buildings, business loans, leasing, refinancing, debt consolidation plus more and has financed people & businesses for 30 years.

We have a dedicated construction and development team with industry experts in feasibility studies and banking, this would be particularly useful for larger transactions requiring feasibility adjustments and bank presented packaging.

We have national experience and a great track record in; bank lending, non-bank lending, J.V’s, equity partnerships and private funding.

We currently have excess funds available for projects and if you are in the market for finance or would like to review your current financial situation please let me know.

We also have home loans starting from 3.69% (3.94% Comparison) and car finance from 4.6%.

PCL’s main office is located in Wollongong, however, the company services the financial needs for businesses and people Australia wide and I am only and email or phone call away.

Each month after the Reserve Bank makes its monthly review announcement, we send out a financial update, with local and international financial news and trends.

The Reserve Bank left the cash rate unchanged at 1.5% at its last meeting. The Bank’s decision was based on uncertainties over the $A, higher inflation, slowing GDP growth, increasing electricity charges and higher consumer spending. Rates remain unchanged however we have reduced our home loan rates which are noted in the attached Newsletter.

OTHER FINANCING INITIATIVES

1) SOFTWARE/CLOUD BASED FINANCE
Businesses are now using Cloud Based IT services for their operations where applications, software and services are made available from a cloud computing provider’s servers. These providers hosts and manage the infrastructure & platforms that run the applications.

This software service is usually priced on a pay-per-use or on a subscription fee option. Traditional banks will not finance such cloud-based software usage or the setup costs of such services. However, PCL can now finance such subscription based models as well as the setup costs. In cases where clients prefer the monthly subscription option for the software modules, PCL can still finance the setup costs component.

Finance can be approved for strong, established businesses with a Dun & Bradstreet rating WITHOUT the need for financial statements. Terms range up to 5 years or even longer for Blue Chip corporates.

2) PRIVATE LENDING
PCL’s Mortgage Lending panel will now assess non-bank risk business proposals that will not (under current criteria) be financed by traditional banks. So if you have a business or personal proposal rejected by your Bank, PCL may be able to assist through these avenues.

3) WORKING CAPITAL FINANCE 
PCL has partnered with a panel financier in offering a new, innovative way that small business may finance working capital requirements WITHOUT having to lodge property or other business collateral security. In summary, any business can now raise working capital finance for any business use purpose by unlocking the equity it may have in its motor vehicle/other transport assets or indeed any other unencumbered operating equipment asset.

4) CONSTRUCTION FINANCE 
We have recently been joined by an expert in this field and are currently assessing deals in excess of $484,000,000.00. We have the skills, the experience and the personnel if you have the need please call us.

Please click here for our Newsletter outlining these details

With low interest rates prevailing, I would be happy to discuss any financing requirements that you may have.

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