What the interest rate cut means for you

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Stephen Letts| ABC| 3 July 2019 https://www.abc.net.au/news/2019-07-03/what-the-rate-cuts-mean-for-you/11273500?section=business Who said Australia’s big four banks run an oligopoly? Key points: The big banks have passed on between 80-88 per cent of the two RBA rate cuts Very little separates the ‘big four’ standard variable mortgage rates, which range from 4.92pc to 4.98pc The rate cut means deposit rates for savers will be …

Clean up your act ahead of open banking

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Misa Han| Australian Financial Review| 13 July 2019 https://www.afr.com/personal-finance/budgeting/clean-up-your-act-ahead-of-open-banking-20190617-p51ye9 Two customers walk into a bank. Both are on identical incomes, live in the same suburb and have the same number of children. Customer A, who has been saving regularly and paying off the credit card in full each month, will be able to get a $10,000 personal loan at 5.99 …

APRA adds 14pc to borrower firepower

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James Frost| Australian Financial Review| 5 July 2019 https://www.afr.com/business/banking-and-finance/apra-adds-14pc-to-borrower-firepower-20190705-p524ir The economy is poised to receive a triple whammy of policy stimulus in a single week following a second consecutive rate cut, passage of the federal government’s $158 billion tax plan and the removal of a key handbrake on home lending. Australian Prudential Regulation Authority chairman Wayne Byres announced its decision …

Sydney and Melbourne house sales recovering slowly

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Su-Lin Tan| Australian Financial Review| 8 July 2019 https://www.afr.com/real-estate/residential/sydney-and-melbourne-house-sales-recovering-slowly-20190708-p5255k The housing recovery is slowly creeping into the outer suburbs of Sydney and Melbourne as confidence returns, but a boom-time price rise is not likely, real estate agents say. The weekend saw a strong leap in preliminary auction clearance rates for big auction markets Sydney and Melbourne in the 70 per …

Best month for Sydney auctions in almost two years

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Ingrid Fuary-Wagner| Australian Financial Review| 30 June 2019 https://www.afr.com/real-estate/residential/best-month-for-sydney-auctions-in-almost-two-years-20190630-p522o1 Cashed-up buyers who have been biding their time and waiting out the downturn are now starting to make their move as selling agents report an influx of inquiries, more people through open homes and stronger competition at auctions, albeit it with very few properties to choose from. Results collated from the …

Property recovery starts in Sydney, Melbourne

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Ingrid Fuary-Wagner| Australian Financial Review|1 July 2019 https://www.afr.com/real-estate/residential/property-recovery-starts-in-sydney-melbourne-20190627-p52202 Property price growth in Sydney and Melbourne is in positive territory for the first time since the market peaked in 2017, as lower mortgage rates and improved buyer sentiment in combination with a dearth of new listings spurs a market recovery. Values grew slightly by 0.2 per cent in Melbourne and 0.1 …

Where home prices rose and fell the most in every Australian capital city over the past year

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https://www.businessinsider.com.au/australia-house-prices-best-worst-performing-capital-city-2019-5 David Scutt| Business Insider| 10 May 2019 While there’s a bit of chatter around that Australian home prices may bottom later this year, it’s been a tough 12 months nonetheless. According to data released by CoreLogic, Australia’s median home price slumped 7.2% in the year to April, with an even larger 8.4% decline recorded in the capital cities in average weighted …

Property’s bumper policy week will lift house prices soon

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https://www.afr.com/real-estate/residential/property-s-bumper-policy-week-will-lift-house-prices-soon-20190524-p51qpk Tim Boy and Lucas Baird| Australian Financial Review| 25 May 2019 A suite of favourable policy proposals and drivers of property demand that materialised this week will not be enough to reverse falling house prices immediately but leading industry executives say a bounce is not far off. The shock re-election of the Coalition government last weekend took Labor’s negative …

APRA scraps 7pc home loan buffer

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https://www.afr.com/business/banking-and-finance/apra-scraps-7pc-home-loan-buffer-20190521-p51phr James Frost| Australian Financial Review| 21 May 2019 APRA scraps 7pc home loan buffer The Australian Prudential Regulation Authority has written to banks proposing the 7 per cent serviceability buffer on home loans be removed, in good news for borrowers and the property market. APRA’s serviceability buffers were introduced in December 2014 as a way of tempering the runaway housing …

RBA Signals June Rate Cut

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https://www.afr.com/news/economy/rba-signals-june-rate-cut-20190519-p51p12 Matthew Cranston| Australian Financial Review| 21 May 2019 Reserve Bank of Australia governor Philip Lowe has given his clearest signal yet that interest rates will be cut next month, suggesting that a recent rise in the unemployment rate was enough to prevent inflation targets from being met. “A lower cash rate would support employment growth and bring forward the …