Articles

James Fernyhough| The New Daily| 3 April 2018 https://thenewdaily.com.au/money/work/2018/04/03/house-prices-falling-wages-rising-rba/ The era of historically lacklustre wage growth in Australia appears to have bottomed out, meaning Aussie workers may soon be looking at a pay rise above inflation. And with property prices in Sydney and Melbourne continuing to fall, and no rise in interest rates on the near horizon, […]

David Taylor| ABC| 21 March 2018 http://www.abc.net.au/news/2018-03-21/mortgage-brokers-heavy-lifting-may-not-say-you-money/9569112 Australia is witnessing the beginning of the end of the mortgage-broking industry, a prominent finance industry analyst claims. Key points: Analyst predicts relevance of mortgage brokers will wane as technology improves Comes as questionable lending practices exposed at banking royal commission Analyst suggests Australia follow UK and introduce […]

Efem Castelnuovo & Bruce Preston| The Conversation| 19 March 2018 https://theconversation.com/why-the-rba-needs-to-talk-about-future-interest-rate-policy-93292 The Reserve Bank of Australia should follow the example of other central banks and be clearer about when and how rates will change, called “forward guidance”, to make its policy more effective. At the moment the RBA follows an approach to implement monetary policy […]

Richard Holden| The Conversation| 16 March 2018 https://theconversation.com/vital-signs-construction-yet-to-slow-down-with-a-cooling-housing-market-93358 The Australian Bureau of Statistics housing finance figures released Tuesday reveal a modest increase in the total value of dwelling commitments, up an overall 0.7% for the month of January on a seasonally adjusted basis. The investor segment (up 1.1%) was stronger than owner-occupied housing (up 0.5%). […]

Daryl Dixon| Sydney Morning Herald| 15 March 2018 https://www.smh.com.au/money/borrowing/the-attractions-of-interest-only-loans-20180315-p4z4il.html Despite tighter regulations, interest-only loans offer substantial benefits to potential borrowers. It’s true there is heightened risk for lender and borrower because the loan is not paid down over time. With interest-only loans, the risks will fall only if the value of the property or asset […]

Rachel Ong, Gavin Wood & Susan Smith| The Conversation| 6 March 2018 https://theconversation.com/home-ownership-foundations-are-being-shaken-and-the-impacts-will-be-felt-far-and-wide-91664 he nature of the centrepiece of the Australian housing system – owner occupation – is quietly undergoing a profound transformation. Once taken for granted by the mainstream, home ownership is increasingly precarious. At the margins, which are wide, it is as if […]