Solid Activity Forecasted for Real Estate SA In 2014
The Reserve Bank of Australia has suggested that the low IRs for home loans will continue through 2014, which is good news for many property owners.
Head of Harcourts for South Australia Greg Moulton says that the indication from the Reserve Bank governor Glenn Stevens that the low cash rate is unlikely to change soon, will end in buoyant property sa for 2014. „Maintaining the official cash rate at 2.5% is great news for stockholders, householders and first home buyers of real estate SA,“ announces Mr Moulton.
Moulton continues, „A low official cash rate and relative stability in IRs enables purchasers to plan in advance and gives certainty to property sa decisions.“Moulton goes on to assert that a period of steadiness for 2014 will be a boost for buyer confidence, particularly where South Australia real-estate has not been performing so strongly, and stability will keep up the momentum in other real estate SA markets that are already performing well. The governor of the Reserve Bank has to act in the best interest of the Australian economy and by leaving the official cash rate unchanged, the Reserve Bank is providing confidence to property sa in the short to medium term.
Moulton claims that by suggesting that interest rates will remain low all though 2014 also shows the Reserve Bank is supporting solid activity in South Australia, „The SA market is intrinsically linked to the local South Australian economy, and particularly the Adelaide economy, due to home entrepreneurs drawing down on capital gain from their home and re-investing it into their business. “
The challenge for the Reserve Bank is to balance the good health of the economy with first house buyers who are trying to get a foot in the door of real-estate. Moulton points towards new statistical data out showing that first home buyers make up just 9.9% of all mortgages issued in February and says that first home buyers of property sa are still much on the periphery of the housing market, „First home buyers of real estate are actually having to make some compromises or come up with some cutting edge ways to access capital. “
Moulton says the news for first house buyers in Adelaide is that price is a controversy all over Australia, he says that the other side of the coin for first home buyers of real-estate in South Australia is that once they've a foot in the door of the property market, then they will be pleased with real estate price growth.
Harcourts Soutgh Australia offer SA real estate for sale, land and homes for sale, rentals and commercial leasing, rural property sales, lifestyle real estate and business sales right across South Austrailia.
Schreibe einen Kommentar