Warehouses might be a good option for an investment over a residential property, with the rising use of the internet and e-commerce leading to an increased demand.
Australia’s unemployment rate remains at a four-year high of 5.8 per cent.
Figures released by the Bureau of Statistics show the economy lost 31,600 full-time jobs in December.
Loan-to-value ratios (LVR’s) are in decline, with the latest AFG Mortgage Index figures showing them to be at their lowest level since 2012.
Home loan borrowers can put their hopes on hold for short-term rate cuts as the struggling jobs market continues to hold the economy back.
Home-loan borrowers have been given the heads-up not to expect any more interest rate cuts after the RBA gave the economy a quietly confident vote of approval.
There are calls to increase broker regulations after another Melbourne broker recently lost their credit licence.
Lenders have been turning up the heat recently in their bid to gain their share of the home loan market.
Housing affordability in Australia always seems to be under the microscope, but it is still possible to buy a house within 10kms from Melbourne’s CBD for under $600,000.
After announcing no change to interest rates last week, the RBA has issued a timely warning to property buyers not to take on too much debt trying to secure a home in the low-interest environment.
With the extended period of interest rate cuts slowly putting positive effects of the economy’s growth, massive job cuts in Australia’s motor vehicle and manufacturing industries have shaken the nation’s consumer confidence.
