Property
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Welcome to NSW, a province of Canada
Roger Montgomery
June 14, 2017
In August 2016, fed up with a glut of apartments sitting vacant because overseas owners weren’t renting them out, the city of Vancouver, in the province of British Columbia, implemented a 15 per cent foreign investor tax rate. The law added almost $300,000 to the price of a $2 million property. Toronto has since also joined Vancouver by imposing a 15 per cent tax on foreign investors.
by Roger Montgomery Posted in Editor's Pick, Property.
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We introduce the ‘smashed avocado’ index
Scott Shuttleworth
June 13, 2017
Last October, demographer and author Bernard Salt wrote that millennial hipsters should spend less on ‘smashed avocado and crumbled feta’ and more on saving for a home deposit. His comment sparked a furious cross-generational debate – the idea that millennials can’t afford to buy a home simply because they spend too much on brekky appeared ludicrous. continue…
by Scott Shuttleworth Posted in Editor's Pick, Property.
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Chinese investment in Australian property takes a dive
Roger Montgomery
May 30, 2017
For some time, property advocates have been arguing that Australian residential real estate prices will remain buoyed by the steady stream of Chinese immigrants buying property at any price. Now, it seems, that stream is turning to a trickle as the impact of tighter credit starts to bite. continue…
by Roger Montgomery Posted in Editor's Pick, Property.
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Why residential real estate is a poor investment right now
Roger Montgomery
May 2, 2017
Have you ever wondered why Australia has no listed residential REITs (real estate investment trusts)? The simple answer is that they would offer poor returns. And, these days, the returns would be worse than ever. But the good news for would-be buyers is that the property price bubble could be about to end. continue…
by Roger Montgomery Posted in Editor's Pick, Property.
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Do our pollies have a vested interest in keeping the property bubble inflating?
Andreas Lundberg
April 21, 2017
In the last month or so, we’ve seen a big surge in news articles and commentary about Sydney and Melbourne’s housing bubbles. But to the consternation of many people, there has been a reluctance by our politicians to introduce meaningful reforms. Could the reason be that they are among the nation’s most aggressive property investors? continue…
by Andreas Lundberg Posted in Property.
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We could be wrong about the property bubble (but we don’t think we are)
Roger Montgomery
April 6, 2017
There’s an unfortunate trait amongst the broader population of investors that a rising price reaffirms their investment thesis. Take, for example, ever-rising house prices. continue…
by Roger Montgomery Posted in Property.
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Is foreign money laundering boosting Aussie property prices?
Andreas Lundberg
April 6, 2017
Another cause of our overheated property market has come to light in a recent report by Transparency International (the global anti-corruption watchdog). Based on their findings, it appears that money laundering by foreign ‘investors’ is at least partly to blame. continue…
by Andreas Lundberg Posted in Property.
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Brisbane Apartments are Ground Zero
Roger Montgomery
March 23, 2017
We’ve been harping on about it for some time (and generating quite a stir among some of you!) but a comment here at the blog today from an individual in the industry is worth highlighting. continue…
by Roger Montgomery Posted in Property.
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Are we “wrong” on property?
Roger Montgomery
March 21, 2017
Before we begin, thank you all sincerely for your engaging comments and your feedback here on the blog. And the thanks even extend to those whose disagreement is so vitriolic that their comments cannot be published. Fortunately, as investors we are used to disagreement; every time we buy a share, the seller has the completely opposite view. So, keep the comments coming – we may not publish your expletives but we always enjoy the process of investigating and understanding the divergent views. continue…
by Roger Montgomery Posted in Editor's Pick, Property.
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Hold on tight: the great property sell-off has begun
Roger Montgomery
March 17, 2017
The much derided prediction of a sell-off in Australian property prices has finally started. Prices in some cities are starting to fall. Rental yields are becoming unsustainably low. And many property buyers are now at the point of ‘no return’ (yes, the pun is intended). continue…
by Roger Montgomery Posted in Editor's Pick, Property.
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