SHOULD YOU be fixing the interest rate for the term of your investment loan … or simply running with the best variable rate?
Lurking behind that question is another concern: Will interest rates fall any further; and if so, by how much?
Commercial Property: The Interest Rate Dilemma
17 April, 2013 by Leave a Comment
Does a Solid Sales Increase in February Mean the Retail Sector is Now Back?
10 April, 2013 by Leave a Comment
YOU WILL quickly find that there are two different schools of thought:
- After much hibernation, Retail property is set to surge again.
- With the high dollar, and growth in online shopping, the Retailing has much catching up to do.
Despite Australia having been mostly sheltered from the global financial crisis, retailers (especially in strip shopping centres) have been doing it rather tough.
Before the GFC, Retail property yields had plummeted. In some cases, as low as 3.5% per annum — with investors clamouring for what they saw as “sexy property”. And they believed values would always increased dramatically. [Read more…]
How Quickly The Mood Has Changed For Commercial Property!
13 March, 2013 by Leave a Comment
OVERALL, people appear to have returned from their Christmas break with a renewed sense of confidence — certainly as far as Commercial property is concerned.
In a recent article, I covered the reasons for this change.
However, investors are also being buoyed by the past two weeks of solid economic data — including a welcome boost to Australia’s trade balance, as well as retail turnover increasing by 0.9% during January. [Read more…]
The Anatomy of a Commercial Property Deal
27 February, 2013 by Leave a Comment
SO LET’S GO right back to basics … and just break down a Commercial property investment into its fundamental components.
You see, very few investors seem to spend enough time to fully understand what’s involved.
>>>>>Your Investment = Equity + Debt + Ideas + Time
And you may care to explore each of these aspects in a little more detail. [Read more…]
Commercial Property Investing: How to Uncover a Good Deal
20 February, 2013 by Leave a Comment
IT’S TRUE … every deal will always be different. But that does not mean you can’t use a series of simple measures, to help you sift the “wheat from the chaff”!
Only then, are those properties entitled to make it through to the next stage of detailed analysis.
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How to Quickly Shortlist Your Properties [Read more…]
Why The RBA Held Fast on Interest Rates … And How That Affects Commercial Property Investors
6 February, 2013 by Leave a Comment
SOME PUNDITS seemed to be genuinely confused, and others even disappointed with?the RBA’s decision at its last meeting.
However, those closely studying what’s really been happening over the past 6 to 9 months were not surprised in the slightest.
Sure, a weaker Producer Price index (and a benign underlying inflation at 2.3%) certainly gave the RBA plenty of flexibility. [Read more…]
Top-End Commercial Property in Demand
30 January, 2013 by Leave a Comment
OVER THE PAST several months, I have been recommending you refrain from trying to pick the bottom of the Commercial property market.
And certainly not wait for overwhelming evidence of prices being “on the up”.
Anyway, last week you were probably given the best confirmation you needed in an article by Carolyn Cummins (The Age, BusinessDay: 24 Jan 2013).
In the article, she talked about high net-worth investors having now joined institutional investors & sovereign funds, at the top end of the Commercial property market.
Driven by lower interest rates, demand has increased for health-care properties and large-scale shopping centres; plus traditional offices and industrial property. [Read more…]
Commercial Property Investing: 5 Golden Rules
23 January, 2013 by Leave a Comment
WITH THE PROPER guidance, Commercial property will prove to be a very rewarding investment — and in different ways.
However, there are several Golden Rules you really should keep in mind. [Read more…]
Commercial Property: Looking Ahead
16 January, 2013 by Leave a Comment
THROUGHOUT the last half of 2012, you would have seen our articles consistently predicting a turn-around in confidence, early in 2013.
And more particularly, we also explained why there would be a rebound in China’s growth — following transition to the new Administration. [Read more…]
Buying Commercial Property? Make Sure You Choose Wisely
9 January, 2013 by Leave a Comment
IN ALAN MITHELL’s article last Saturday (AFR: page 15), he discussed a recent report from the OECD — which outlined the growing pressures upon the Australian economy for structural change.
Apparently, the centre of gravity for global activity is gradually moving.
And as the table shows, this is moving closer to Australia; and will bring with it an increase in … specialisation, innovation, productivity and income.
However, as a Commercial property landlord, you will only continue to be successful if you can quickly identify those businesses benefiting most from what’s occurring.
You have already seen a shift in manufactured goods offshore; as well as the car industry unwisely being subsidised by government. [Read more…]
Commercial Property & The Economy … It’s Purely a Confidence Issue!
12 December, 2012 by Leave a Comment
THE REST of the world looks upon Australia with envy. And you only need to scan these graphs to understand why.
It all comes down to a feeling of comparative well-being.
Australians have had it so good, for so long … that the current slower pace somehow makes us feel gloomy — because it’s simply “not normal”.
Meanwhile, most other countries just wish they were in our position. [Read more…]
