“Where You Live Should NOT
Dictate Where You Actually Invest!”

Always consider the emerging trendsWherever you live, you tend to believe (and will happily tell people) that it is undoubtedly the best place to live.

Really, it’s just human nature.

But when it comes to investing your hard-earned dollars into Commercial property … your decisions should be governed by something more than a warm and fuzzy feeling.

For the past four or five years, Victoria has led the nation in economic growth; and it is one of the few enjoying a net growth in migration from other states.

Employment Growth shows some interesting trendsFurthermore, the latest ABS figures now confirm Victoria’s continued growth and job creation — leading all-comers over the past 12 months.

And you’ll also notice most of the various service sectors are currently outstripping the mining sector, as far as employment numbers are concerned. [Read more…]

Distortion Guaranteed?

While the Rudd government may have moved quickly to provide guarantees for the major Banks during a financial turmoil … the impact of doing so has been disastrous for borrowers.

Right now, these major Banks seem to account for virtually 80% of all owner-occupier loans for property.

As such, the margins they are charging have never been higher — despite the Banks’ protestations of being “squeezed”.

RBA's Dilemma

RBA's Dilemma


Therefore, overall borrowings borrowings have been slowly trending downward over the past six months — because the major Banks have effectively amplified the rate increases handed down by the RBA.
[Read more…]

"Statistics Never Lie, or Do They?"

There are some interesting outcomes emerging from a wash-up of the recent financial turmoil.

Australia has fared best among the Western countries, with its unemployment rate at only 5.3% and falling. But does this now mean you’ll start to see wage pressures emerging?
[Read more…]

State of the Commercial Market?

CBD Office Vacancies

CBD Office Vacancies


As you would expect, the financial turmoil worldwide has had a significant effect on most property markets. However, the effect has not been the same across the board.

The current state of the various CBD office markets is probably your best barometer of future activity for two reasons. First, the Property Council of Australia (PCA) conducts six-monthly surveys to establish the CBD vacancy rates right around Australia.
[Read more…]

How You Can Capture a Strategic Advantage

With the recent financial turmoil, you’re seeing a number of potential buyers who have pulled back from the Commercial Property Market for the time being.

Therefore, for some properties, you are starting to see the “Neglect Effect” come into play.
[Read more…]