EasyAs Finance

Foreign buyers activities across Australia

The Treasury has recently published its latest findings on non-resident property transactions across Australia for the fiscal year 2022–23.

Foreign purchasers have shown a notable resurgence, as indicated by a 27% increase in activity reported in the latest Foreign Buyer report.

During the period from July 1, 2022, to June 30, 2023, foreign buyers invested $4.9 billion in acquiring 5,360 properties, reflecting a significant rise from the previous fiscal year.

Victoria maintained its position as the leading state for foreign property acquisitions, with 2,240 transactions recorded in FY22–23.

Queensland followed closely with 956 transactions, slightly ahead of New South Wales, which reported 664 transactions.

Why property price growth is so
varied throughout Australia🤔

The Australian property market is growing briskly right now and has grown significantly since the pandemic. But the city-by-city performance has been more varied.

Over the year to May, the national median price rose 8.3%, according to CoreLogic. But at a city level, growth ranged from a staggering 22.0% increase in Perth to a 0.1% decrease in Hobart.

Meanwhile, growth since March 2020 has ranged from a high of 62.6% in Perth to a low of 11.2% in Melbourne.

CoreLogic's head of research, Eliza Owen, attributed the contrasting results to diverse market conditions.

“The highest-performing markets have generally come off a low base, with housing conditions and demographic trends relatively weak over the years preceding the
pandemic,” she said.

“Differences in capital growth trends are marked by the varied supply-demand balances of each city, and in turn migration, affordability factors and dwelling completions influence that supply and demand dynamic.”

Ms Owen said annual growth had started to slow across the combined capital cities. “This could mean a slowdown in growth across Brisbane, Perth and Adelaide is on the horizon, and could see the range of growth eventually narrow across the capital cities,” she added.

The Reserve Bank of Australia (RBA) board members decided to keep the Official Cash Rate (OCR) unchanged at 4.35%.

The policy announcement matched the market expectations.

The RBA maintained the key rate for the fifth consecutive meeting in a row after a 25 basis points (bps) rate hike last November.

"On this holy occasion, We Wish you and your family a lovely Eid. May the spirit of Eid-ul-Adha fill your heart with love and your life with joy, and happiness

>> RBA holds cash rate at 4.35 per cent

Despite an uptick in inflation as indicated by the March quarter consumer price index (CPI), the Reserve Bank of Australia (RBA) has chosen to maintain the cash rate at 4.35 per cent. This decision aligns with the expectations of many economists, who foresaw such an outcome in several meetings throughout the year

On this auspicious occasion, we wish you and your family a very happy and prosperous Eid al-Fitr. May the spirit of this holy celebration bring you closer to God and fill your life with love and light. 💐

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Wishing you and your loved ones a joyful Easter!
May the long weekend be filled with fun, relaxation, and special moments with your family and friends.

Stay safe and be sure to indulge in plenty of delicious Easter treats bunnies 🐰 🐣

Is it easier now for first-time home buyers to come up with their deposit? 🤔

New research shows that first-time home buyers can get into the market a bit quicker than they could a year ago. In February, on average across the country, it took about 4 years and 9 months for a first-time buyer to save up a 20% deposit for a basic house, which is two months less than it took last year. For a basic unit, it took about 3 years and 5 months to save up a deposit, which is one month quicker than the previous year.

Domain considers an entry-level property as one that falls within the 25th percentile of prices, with the cheapest homes being in the 1st percentile and the most expensive in the 100th percentile. Domain's calculations are based on the assumption that first-time buyers are a couple aged 25 to 34, earning the average salary for their age group.

First-time buyers can now save up for a deposit more quickly, not because property prices have dropped in the past year—because they've actually gone up. Instead, it's because their earning potential, from both higher wages and better interest rates on savings accounts, has increased faster than property prices.

If you need hand securing your first home with as little as 5%, Do not hesitate to contact us

Property value surge in almost 90% of house and unit markets over the past 12 months …

According to CoreLogic's Home Value Index surged by almost 9% over the last 12 months, injecting approximately $65,000 into the national median dwelling value, marking a historic peak in February2024.

A vast majority of housing markets, comprising 88% of both house and unit sectors across Australia, witnessed value appreciation, indicating widespread capital gains.

Even though there are a number of obstacles like rising interest rates and declining affordability, various factors including housing undersupply, robust net migration, and heightened demand have fueled the uptrend in property values.

Remarkable rental growth has also been observed, with nearly 41% of markets experiencing rental value escalations of 12% or more annually. Perth emerged as a leader in rental growth, whereas Hobart saw declines in both house and unit rents.

RBA announces official cash rate for March

The Reserve Bank of Australia (RBA) has held the cash rate steady at 4.35 per cent during the March monetary policy meeting.

The decision was largely expected, as the latest Australian Bureau of Statistics data showed annual trimmed mean inflation fell to 3.8% in January, down from 4.0% in December.

While higher interest rates appear to be having the desired effect on the economy, RBA governor Michele Bullock reiterated the RBA’s commitment to return the cash rate to within its target range of 2-3%.

With so much uncertainty in the market, it can help to speak to an expert. Get in touch if you’d like to discuss your options.

RBA has left on hold at 4.35% At its meeting today, the Board decided to leave the cash rate target unchanged at 4.35 per cent and the interest rate paid on Exchange Settlement balances unchanged at 4.25 per cent.

The move was widely expected, as it follows new Australian Bureau of Statistics data showing annual inflation fell to a two-year low of 4.1% during the December quarter.

This is notably lower than the 4.5% the RBA predicted in November, suggesting the 13 rate rises since May 2022 have slowed down the economy faster than anticipated.

As we step into 2024, we look forward to serving you with even greater dedication!

May the New Year bring you new opportunities and abundant success. !

We wish you a joyful Holiday Season and a to you and your family, fulfilled with unexpected and surprising moments combined with good health, satisfaction and joy.

RBA UPDATE | Effective December 6, 2023

For its final board meeting of the year, the Reserve Bank of Australia (RBA) gave homeowners a welcome gift this holiday season, holding the cash rate at 4.35%. The decision marking the sixth cash rate hold for 2023.

RBA Governor, Michelle Bullock stated: "Holding the cash rate steady at this meeting will allow time to assess the impact of the increases in interest rates on demand, inflation and the labour market.”

Ms Bullock added: "Whether further tightening of monetary policy is required to ensure that inflation returns to target in a reasonable timeframe will depend upon the data and the evolving assessment of risks."

Australian property prices have officially recovered from the declines of last year, according to CoreLogic’s national daily Home Value Index. Since bottoming out in January 2023, home prices have risen by 8.1%, taking values to a new record high at the end of November; with the smaller capital cities continuing to be the strongest markets in the country.

Last month, prices rose the most in Perth – up 1.6% for the month – ahead of Adelaide (1.3%) and Brisbane (1.2%). Sydney values increased just 0.1% last month, while prices fell 0.1% in Melbourne. Over the past 12 months, Perth prices are up 12.5%, followed by Brisbane (10.3%) and Sydney (10.1%).

☀️ Queensland's ☀️

Home Owner Grant (FHOG) has doubled from $15,000 to an incredible $30,000.
That’s right, it’s doubled!

🔔 Effective immediately

The changes will apply to eligible transactions between 20 November 2023 and 30 June 2025.

🔔Who’s Eligible?
If you’re buying or building your first home in Queensland, and the property value is below $750,000, you could be eligible. This includes houses, units, townhouses, granny flats, kit homes, and even modular homes.

🔔Grab this Opportunity!
This is a stepping stone towards your dream home and we are is excited to guide you through this journey. Whether it’s understanding your eligibility or navigating the application process,

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☎️ Call us at 03 9431 0617 or Book an Appointment with
https://easyasfinance.setmore.com

RBA lifts the cash rate to 4.35 per cent
After four months of stability at 4.10 per cent,

At its meeting today, the Board decided to raise the cash rate target by 25 basis points to 4.35 per cent. It also increased the interest rate paid on Exchange Settlement balances by 25 basis points to 4.25 per cent.

Inflation in Australia has passed its peak but is still too high and is proving more persistent than expected a few months ago. The latest reading on CPI inflation indicates that while goods price inflation has eased further, the prices of many services are continuing to rise briskly.

The Reserve Bank of Australia (RBA) has left the cash rate at 4.10% for the fourth consecutive month, as many commentators had expected.

While the RBA has said in the past few months that it may increase the cash rate in the future, many commentators believe that rates have now peaked.

Inflation will be the key. If it keeps trending down, the RBA may refrain from making further rate hikes. But if it starts rising again, the RBA may feel it needs to increase rates again.

Contact us if you’d like to discuss the current interest rate environment, and how it may affect your current loan or future borrowing plans.

The Reserve Bank of Australia (RBA) announced the cash rate will remain unchanged at 4.10% after its monetary policy meeting today.

This marks the third consecutive meeting at which the cash rate has been held.

The decision was in line with expectations, as it comes shortly after the Australian Bureau of Statistics released data showing annual inflation slowed to 4.9% in July from 5.4% in June.

While this suggests higher interest rates are having the desired impact on inflation, RBA governor Philip Lowe, once again, reiterated the central bank’s commitment to return inflation to its target range of between 2-3%.

As such, he did not rule out more interest rate rises in the coming months.

With so much uncertainty about interest rates, it can help to talk to an expert. Contact us if you'd like to discuss your situation and options.

Property prices continue to drift higher



Home values have continued to recover over the past month, with prices in Australia’s larger five capital cities up 0.9% in the past 30 days.

Growth was evenly distributed across most of the major capital city market, with Brisbane values – which rose 1.2% – the strongest in the country.

Sydney also saw values rise by 1.1%, while Adelaide (1%) and Perth (0.9%) also saw solid increases.

Melbourne was the weakest market among the five largest cities, with values up 0.4% over the past month.

Values across the five largest cities are now up 3.7% over the course of 2023.

THREE REASONS PROPERTY PRICES ARE STILL RISING

Despite the Reserve Bank of Australia (RBA) raising the cash rate at a record pace, property prices have managed to shrug off the higher borrowing costs and again started to increase.

There are several factors as to why property prices rise, but at a national level, it’s clear the supply and demand fundamentals are still bullish for property.

Tight supply
One of the common themes we’ve seen over the past few years has been the tight level of supply. During COVID, listings were tight and demand remained strong. As interest rates started to climb, some of the demand started falling away, however, listings didn’t rise.

According to CoreLogic, the number of capital city homes advertised for sale is almost 20%
lower than this time last year and 26.4% below the long-term average. Regional listings are also sharply lower, tracking 32.9% below the previous five-year average.

The tight supply levels have been one of the main factors that has propped up prices over the past few months. Demand for high-quality listings remains higher and is leading to strong competition for properties.

Record immigration
Immigration levels fell away dramatically when the government closed the borders. Prior to COVID, the government would typically bring in between 200,000-250,000 migrants every single year.

Since late 2022, the government has increased that number to 400,000-500,000 which is leading to a record increase in demand for property. These numbers have also been inflated by the huge increase in students coming to Australia to study. This has dramatically increased the level of demand for homes, as new arrivals add to the pool of buyers.

Tight rental markets
The surge in immigration has also put rental markets under more and more pressure. Across the country, vacancy rates in many states are sitting at or near all-time lows.

The demand from overseas migrants is incredibly high, and these people will typically rent before they buy. This is leading to upward pressure on rents in most locations, with the latest data from CoreLogic showing that rents have surged 11.5% in the past 12 months.

Normally rental growth leads to property price growth. As renters who are having trouble finding a suitable rental property will look to buy if it is more financially viable to do so. This leads to upward pressure on property prices.

For the most part, the surge in property price growth has been led by people simply looking for a home to live in. With few choices on the market and ever-increasing numbers of people in Australia, this will continue to put upward pressure on property values.

BREAKING* RBA Cash Rate Decision

RBA keeps interest rates on hold for the second time at 4.1pc

The decision to hold rates unchanged provides further time to assess the impact of the increase in interest rates to date and the economic outlook.

- As Inflation in Australia is declining but is still too high.

- The Household consumption growth is weak.

- Conditions in the labour market remain very tight, although they have eased a little.

- Returning inflation to target within a reasonable timeframe remains the priority.

- Recent data are consistent with inflation returning to the 2–3% target range over the forecast horizon.

- The outlook for household consumption is an ongoing source of uncertainty.

Some further tightening of monetary policy may be required to ensure that inflation returns to target in a reasonable timeframe, but that will depend upon the data and the evolving assessment of risks.

The Reserve Bank of Australia (RBA) kept the cash rate at 4.10% at its July monetary policy meeting.

The decision was largely expected by market commentators, as it comes shortly after the Australian Bureau of Statistics released data showing annual inflation fell to 5.6% in May from 6.8% in April.

This suggests the central bank’s 12 previous cash rate increases are having the intended effect.

However, inflation still remains significantly higher than the RBA’s 2-3% target range so more cash rate rises may still be necessary to slow the economy further.

With so much uncertainty about interest rates, it can help to talk to an expert. Contact me if you'd like to discuss your situation and options

! Wishing all those who are celebrating Eid-ul-Adha a safe, healthy and joyful celebration

Australia’s official interest rate is now 4.10% after the Reserve Bank of Australia lifted the cash rate by 25 basis points following today’s board meeting.

The decision comes after the Australian Bureau of Statistics' monthly consumer price index increased 6.8% year-on-year in April from 6.3% in March.

With inflation unexpectedly spiking, the central bank believes more cash rate rises are necessary to slow the economy further.

NSW First home buyer choice will be canceled officially from 01/07/2023

The government introduced a new support scheme which they believe more beneficial
For first home buyers

The First Home Buyers Assistance scheme (FHBAS) applies to:

* buying an existing home
* buying a new home, and
* vacant land on which you intend to build a home.

The new threshold applicable to your transaction is determined by the date on which you exchanged contracts to purchase the property

- Buy a new or existing home valued at less than $800,000, apply for a full exemption, and pay no transfer duty.

- Buy a new or existing home valued between $800,000 and $1,000,000, apply for a concessional transfer duty rate. The amount will be based on the value of your home.

- Vacant Land You won’t pay transfer duty if your land is valued at less than $350,000.

- Vacant Land For land valued between $350,000 and $450,000, you’ll receive a concessional rate.

Instant asset write-off ending soon

Businesses that are considering capital purchases in the near future should have a conversation with their finance broker to see if they can maximise these incentives before they end.

The government tax incentives, such as Temporary Full Expensing of Depreciating Assets (TFEDA) and Temporary Loss "Carry Back" opportunities are due to expire by the end of the financial year (EOFY) 2023, and businesses still have the opportunity to benefit.

TFEDA allows businesses to deduct the cost of eligible capital assets acquired from Budget Night 2020 and first used by June 30, 2023, while Temporary Loss "Carry Back" opportunities enable eligible companies to offset tax losses from specific income years against previously taxed profits.

Strategic planning can help companies make the most of these incentives, resulting in substantial savings as we approach EOFY 2023.

Should I buy now?



With the ups and downs of the property market, investors and homebuyers often wonder when the right time to buy really is. While everyone wants to pick the bottom of the market, there are several factors that you should consider before waiting for prices to fall.

Borrowing capacity | One of the biggest factors that impact property prices is interest rates. The last property boom was helped on by the Reserve Bank of Australia slashing the cash rate to a record low 0.1% This meant that mortgage rates were around 2%, so homebuyers could borrow more money based on their level of income. Many buyers took this opportunity to purchase, and demand was at record levels. However, prices were also equally high. Now that interest rates have risen, prices in many areas have declined, but at the same time, borrowing capacity has also fallen. So, while prices might not be as high as they were, it might even be more difficult to buy because of the impact on borrowers' serviceability.

Local prices | While the media regularly reports what's happening with home prices on a national or even state level, prices don't all move in the same way. There are often wide variations in prices across different areas and even inside suburbs. You probably know that some streets are more appealing than others, and that can change how prices move. There are also other factors that impact local levels like zoning changes or new infrastructure projects taking place. While national prices might be falling, on a local level, prices could be moving higher.

Personal circumstances | When you're trying to buy a property, one of the biggest factors is always going to be your borrowing capacity. This can change a lot depending on your work situation and your family life. Unless you have a very stable job, borrowing capacity will vary, so it can often be better to buy when you have the financial means and the serviceability to do so. That's especially true if you are looking for an owner-occupier home, as finding a place for your family is usually the main factor driving the decision to buy. Normally, the best time to buy is when you can afford to, and are in a strong enough financial position to hold onto your property for the long term.

Today we celebrate all of the incredible Mother’s out there! No matter what situation or season in life, know that you are are valued, loved and appreciated. We honour you and thank you for all the incredible things you have done and continue to do. Happy Mother's Day!

The 2023 Federal Budget winner & Losers
First Home buyers - ( Siblings and Friends ) will be able to buy a home together under an expansion of the current First home buyer Guarantee ...

Friends and family members looking to buy their first home together will be among many more Australians set to benefit from an expansion of three government housing schemes.
The first home guarantee and its regional and family home equivalents will have their criteria expanded from 1 July, to help more Australians achieve home ownership.
The changes include altering the definition of a “couple” from meaning married or de facto relationships to “any two eligible individuals”

Meanwhile, non-first-home buyers who have not owned a property in Australia in the last 10 years will be eligible to apply for First Home Guarantee and the Regional First Home Buyer Guarantee. This will provide support to those who are planning to re-enter the property market.

Australian permanent resident, in Addition to Australian citizens
Will be eligible for Home Guarantee scheme.

The Family Home Guarantee will also be extended to include single legal guardians of children such as aunts, uncles, and grandparents.

The Reserve Bank of Australia (RBA) has increased the cash rate at May’s monetary policy meeting, taking it from 3.60% to 3.85%.

The move comes despite the Australian Bureau of Statistics' quarterly consumer price index showing annual inflation slowed to 7.0% in the first three months of 2023 from 7.8% in the December quarter.

However, this is still well above the RBA’s 2-3% target, so the central bank believes more cash rate rises are necessary to slow the economy further.

Contact us if you'd like to discuss how the RBA’s decision impacts your situation.