MAY | 2013 THE LEAVES ARE FALLING, INTEREST RATES ARE FALLING WHAT WILL HAPPEN TO PROEPRTY PRICES?
IN THIS ISSUE: Monthly Highlights
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Reports you should read
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Magazine Summaries
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Magazine Summaries cont.
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Apps and resources
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MONTHLY HIGHLIGHTS THE LEAVES ARE FALLING, INTEREST RATES ARE FALLING WHAT WILL HAPPEN TO PROPERTY PRICES? Interest rates are low low low – well not the lowest they have ever been, although the cash rate at 2.75% is the lowest it has been in 53 years. But they are low and the word on the street is they could go lower, some are predicting a cash rate of 2% in 2014. So what will affect interest rates for the rest of 2013? Well there are a few things. The election, the transition on the mining industry from construction to production, unemployment, and the Aussie dollar, to just name a few. In fact if you want to learn more of what is happening with fixed rates and what you need to do when considering now if it is time to fix interest rates then you need to read this e-book by clicking here. 5year fixed rates are in the low 5%’s pa with the standard variable rate long term average at 7.5% it would seem like a good time to fix, but is it? So how will interest rates fall and how will they affect property prices? That is the exact question I put to Founder of Residex John Edwards when I had him in my film studio recently. He believes that properties will follow the long term 20 year capital growth figures. Now I politely pointed out that we mere mortals don’t have those figures on hand – so what did he do? The latest Residex reports now show 20 year capital growth figures – what a bonus! Over the last 5 months I have been on renovation sites and in the studio filming my latest course – a complete how to renovate online video course. It looks fabulous. We are still a few months away from sharing this however, in the next few weeks I am going to be calling for testers. So if you want complimentary access to what I believe is going to be one of the best courses you will ever see then go register now by clicking here and get an extra special gift. One of the experts contributing to the course is John Edwards, Founder of Residex. I had him share the top 5 suburbs throughout Australia where there is potential to make a profit from renovation – register now and get the interview. Till next month. Jane Slack-Smith
MAY | 2013
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Reports you should read Herron Todd White I believe this is a report that everyone should read. It is a fantastic review of what is happening in capital cities and regional areas for residential and commercial property. This should be your first port of call each month on what is happening in the market. This month they look at the elite end of the market – not for everyone but hey it is nice to see how the other half live. You can download the report here CLICK HERE to download.
Westpac Economic Update Bill Evans Chief Economist believes that interest rates will drop another 0.75%. You should subscribe to this YouTube channel to get your weekly fix of all that is happening. Click here to watch
RP Data Watch this 10 min video – for a quick recap on the market – it seems the markets are rebounding. To the end of April 2013, the index results revealed that capital city dwelling values are up 1.1% over the quarter, and 2.7% over the year according to the RP Data and Rismark home value index.
MAY | 2013
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Magazine Summaries and Reviews for the Month Money Magazine Ok I am only going to mention this once; yes that is my smiling face on the cover of this month’s magazine. I have to admit I am humbled to be included as one of Australia’s Top 10 wealth creators and the only property person included in the article. So this was a challenge where to invest $10,000. With the high costs of property purchasing this may seem like a stretch – however I managed to pull out 3 ways you could invest. I share what you can do with your current properties, how you can use a SMSF and finally how to extract some value from your home. I hope you enjoy the article. Get your free tickets to the Brisbane Home Buyers Show on the back page. An interesting article is the list of coastal areas where there has been the biggest prices slump. The Gold Coast comes in #1, not a spot they would want, at 39.4% of properties sold at a loss.
Your Investment Property Magazine Investing with limited funds is the cover story this month and what a great place to start. There are proven strategies that don’t require putting a lot of money down, but we warned they do take a lot of effort. Other articles include where to buy if you are looking for growth, what to do differently with your second purchase if your first property investment did not work out. A great read.
Australian Property Investor Magazine Wow there is some big names sharing their stories this month. Check out how some of the most recognisable property experts built their portfolios and where they are now. This month there is a great article on the steps and planning needed when doing a townhouse development, don’t miss this if you are planning this type of project. As always the investor profiles are full of tales of caution and inspiration, for these alone I buy API every month.
MAY | 2013
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Smart Property Investment Magazine You just have to be impressed 30% growth in 6 weeks – that is what the team from SPI did with their Berkeley Vale property. However there is more to the story – the $75,000 in added value was by requesting a second valuation 6 weeks after the first – nothing was done to the property in this time. Sometimes as investors you need to be persistent and in this case it paid off. Check out the article on how to identify your own hotspots, what factors and indicators you need to look for. Grab their list of factors when you are looking at your next purchase this is a great concise overview. Another great magazine this month full of short sharp articles that are easy to read, check out the articles on bad tenants, is it still OK to buy in the US and how to get the right mortgage broker for you.
***Competition Update*** Thank you for everyone who contributed to last month’s competition – we received some really great names for the new renovation course and we are working on the final decision. As you know I have been busily working on my new online video renovation course, and it is on its way! Signup to get notified when it is ready
***Join me for a Renovation course June 22nd Sydney*** This does not happen often. For one day I will present Renovating for Profit at Sydney Community College http://www.sydneycommunitycollege.com.au/course/BSPI8 Space is limited to 20 people – this could be the best $249 you spend on your next renovation. Those in the course are going to get the first peak at the new online video course and the opportunity to be a Beta tester to get access free.
Looking for a great gift? If you have not got a copy of my latest book yet – then this might be just the thing to make your 2013 goals a reality http://yourpropertysuccess.com.au/book/. Order now and you’ll receive free postage and a free e-book; “Renovation Tips and Tricks”.
MAY | 2013
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Websites, Apps & Subscriptions you should sign-up for (mostly free) Apps for mobile devices seem to be the latest thing – there are certainly a lot of companies investing big bucks in free apps; I think they will become the new business card of the future so watch this space. Let us know about any you’ve found helpful enquiries@yourpropertysuccess.com.au
Websites This month some resources for your toolbox. Websites where you will get great information and even daily updates on what is going on in all things property. Property Observer http://www.propertyobserver.com.au/ this daily email keeps me up to date with what is happening. Somersoft Property Forum http://somersoft.com/forums/ if you have not read Jan Somers books – just get one – this is a great online community, I have been a member for nearly 10 years (posting as Buzz) and you will find an enormous amount of generous people willing to answer your questions. Beware though do a search on your question first they do get a bit miffed if you post a question that has been answered 1000 times before, ie ‘where should I buy?’ Real Estate Talk http://realestatetalk.com.au/ I look forward to these weekly online radio shows. On the House http://www.onthehouse.com.au/rex_home/ for some quick statistics on Medians, growth stats and market conditions.
Disclosure – I purchase with my own money many courses and reports and I give my personal thoughts and opinions on these products and only recommend those I feel of benefit to property investors. In some cases I am invited to be an affiliate of some of these reports, courses and related products and if you buy through my links, I am paid a commission. I believe this does not influence me, but you need to decide that for yourself. I do believe transparency is vital and hence this disclosure.
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