Of Course I Hear You – I’m Just Not Listening!
Carbon Tax: truth or scare time?
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Just two more sleeps, then Julia Gillard will reveal to all, her Top Secret Carbon Tax. So intricate and delicate is this most Secretive Weapon of Mass Taxation (SWMT) announcement, it demanded complete denial during the 2010 federal election. The complexities of this SWMT are so mentally demanding, that a collaboration of the finest minds was necessary to make this decision for and on our behalf: namely, the Multi–Party Climate Change Committee. An elite membership of minds requiring just the one common denominator, i.e. absolutely no business experience.
Fading public support spells doom for carbon tax where it would be fair to suggest that the vast majority of Australians don’t like the manner in which the tax was introduced which then opens the debate on whether the government can be trusted. If the polls are an indication, the answer is a clear ‘no’. Liberal states band together for carbon tax showdown with Julia Gillard by questioning warnings of heavy job losses and unprecedented power price rises. Throw in an industry push to wipe out carbon price where some of Australia’s biggest industry organisations plan to spend millions of dollars (of their own money) to fight the tax. The Gillard government will go toe-to-toe with its advertising campaign and will be using taxpayer monies.
Ita Buttrose blasts Prime Minister Julia Gillard when she ripped into Julia Gillard’s leadership (or lack thereof) – unleashing a harsh critique of the PM’s time in office and challenging her to call an election. Next a political bombshell! Rangas dump fellow redhead Julia Gillard when the Red And Nearly Ginger Association (RANGA), who claim to represent the nation’s redheads, said it was withdrawing its support because she is giving gingers a bad name. The RANGA group cited disloyalty, dishonesty and incompetence as the three contributing factors.
No rivers of gold in Canberra’s Gold Creek – which today resembles Fort Fumbles budget deficit. Get those rivers of gold flowing again so bring in a carbon tax we’ll call it Gillard’s Gold – The Eureka of Taxes.
Little wonder nervous Labor MPs quiz Julia Gillard in caucus over key issues given the SWMT has their political careers on life support. As Labor support plummets in Queensland: Newspoll where even Australia’s greatest ever Treasurer Wayne Swan could be voted out – ah it’s that SWMT again. So Professor Gillard reverted back to scientific debate renewing climate change warnings with doomsday – like comparisons although we all know that Australia’s SWMT reductions will play next to no role in global reductions. Alas! Constituents battle this mentally taxing issue: albeit without consultation and participation.
What a wonderful democratic society we now find ourselves in where the kryptonite for constituents to rely on is otherwise known as polls – Julia Gillard’s Fort Fumble has rapidly morphed itself into Kristina Keneally’s Fort Crumble Mk II. Can the carbon tax refloat the beached ALP ship? Graham Richardson has made up his mind. Labor is shot to bits and there is no way back for Julia Gillard or the party she leads. Put down the glasses and wait for 2013 to deliver the first Abbott administration.
The Australian – Order Bill Leak’s Print
Carbon scheme to hit state dividends the chief of NSW state-owned power provider Macquarie Generation, Russel Skelton said he expected additional costs of up to $700 million per year, which would lead to the elimination of all dividends his company would have paid to the state, The Australian reports. Just what NSW needs when Treasurer Mike Baird warns of NSW budget cuts with the state’s finances “utterly out of control” given the inherited $5.2 billion black hole, care of the previous Keneally government. NSW is broke, with the budget in complete disarray to the extent that the state is not funding its operating costs from current revenue models.
Reserve Bank of Australia holds interest rates as growth stalls given the RBA’s forecast of 4.25 per cent economic expansion in 2011 – 12 can’t be met (Treasury predicted 4.00 per cent). If you are in the mining industry you are doing brilliantly. For those not in mining, the future is looking bleak. The good news is that interest rates will not be rising this year given the RBA revised down growth predictions from 4.25 per cent to 2.5 per cent which sends a very strong indication that the Australian economy is going backwards. Unless of course you are in mining!
The Mosman, Cremorne and Neutral Bay property markets appear to be enjoying the annual winter hibernation given the unprecedented low levels of available properties. I’ve been writing Virtual Realty News for eleven years and can’t ever remember such low stock levels especially in house volumes. No panic selling – more a sign of battening down the hatches.
MOSMAN – 2088
- Number of houses on the market last week – 87
- Number of houses on the market this week – 83
- Number of apartments on the market last week – 97
- Number of apartments on the market this week – 99
CREMORNE – 2090
- Number of houses on the market last week – 15
- Number of houses on the market this week – 16
- Number of apartments on the market last week – 33
- Number of apartments on the market this week – 34
NEUTRAL BAY – 2089
- Number of houses on the market last week – 9
- Number of houses on the market this week – 7
- Number of apartments on the market last week – 67
- Number of apartments on the market this week – 62
For this week’s sales in Mosman real estate, Beauty Point real estate, Clifton Gardens real estate, Balmoral real estate, Cremorne real estate, Cremorne Point real estate, Neutral Bay real estate, Cammeray real estate Click Here
By sheer definition, a tax means that either directly, or indirectly, somebody must pay. Recently I wrote Nothing new about for NSW for Property Observer a carbon tax is the last thing the NSW Liberal government needs, considering that the previous NSW Labor government has all but bankrupted the state.
The prime minister keeps telling us that Australia is in a very strong economic position – obviously economics is not her strong point. Next Tuesday, the latest Newspoll will be released and her popularity will, in all probability, remain in freefall.
The O’Farrell NSW government is concentrating on infrastructure. It would appease Australians if the Gillard government followed suit. Construction shrinks for 13th month the Australian Industry Group/ Housing Industry Association performance of construction index fell by 3.8 points to 35.8 in June. The benchmark is 50 – anything above represents expansion and below, identifies contraction.
“Building a better Australia” – Ms Julia Gillard.
It’s not just the carbon tax causing truth or scare for Australians!
Cheers ^__^
‘Big Party’ in NSW: the patrons left what is now a ‘very small’ party!
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Last Saturday’s NSW election delivered a cataclysmic demolition leaving Australia’s oldest party cracked at foundation with damage – so severe it may never recover. A political party with an insatiable self interest and indulgence whose ethos became – “Bugger you Jack – I’m all right.” Sixteen years in power and nobody has anything nice thing to say about them. What a legacy!
The Estate of the Late Fort Crumble remains a rotting carcass with plenty of family members driving more nails into an already splintered coffin. NSW Labor has lost its base, and the plot to such an extent that NSW a drag on Julia Gillard: Paul Keating who once coined the phrase “where goes NSW Labor, goes federal Labor” as this stinging loss sends federal message although Fed govt downplays NSW Labor defeat.
Paul Keating has certainly not been silent no room for ‘sicko populism’ as Keating unloads on Labor where a herculean effort needed if Labor is to rebound. Even though likely NSW Labor leader is the worst choice possible as even Bob Hawke calls for ALP makeover given the Labor ‘disease’ will prove hard to heal and it is abundantly clear that they are ignoring their very own medical advice. No time for fighting, fix the factions and let the learning begin where only now we can read Paul Keating’s Dear John letter.
A new political dawn for NSW and everyone is hoping for a new beginning as business leaders’ call on new NSW government for quick action. Barry O’Farrell deserves credit where it’s due – they just didn’t see him coming as well as the three biggest myths of the NSW election result.
We still have Julia Gillard’s Fort Fumble which suddenly, is starting to resemble the Estate of the Late Fort Crumble with battles breaking out on all fronts. Bob Brown says Greens won’t rubber – stamp Labor’s mining tax as Resources Minister Martin Ferguson calls Greens basket – weavers and labels leader ‘soapbox’ Bob which left observers declaring – “them’s fightin’ words”. The NBN then turned ugly as Fort Fumble refused to rule out using federal laws against states that oppose its plans to connect with Labor ready to use law to force NBN link – up – that would be the democracy prayer.
No hope for PM’s East Timor solution – Now up a creek without a paddle. As experts undermine government’s climate policy as that NSW word appears again – carbon is poison to tax reform. Even the Productivity Commission chief turns up heat on carbon tax debate although the knockout blow came as Andrew Wilkie sets deadline for pokie plan so Fort Fumble has just over six weeks to introduce this reform that will attack every pub and club across Australia or lose its balance of power. “Where goes NSW Labor, goes federal Labor” Hi Ho – Hi Ho – it’s off to the polls we go!
There is no denying that Barry O’Farrell has a huge job ahead and none is greater than taming the volatility of our property markets. Crisis looms as first – home buyers priced out of market and rents are expected to now grow faster than inflation. The Real Estate Institute of New South Wales (REINSW) issued a statement last week that State’s next Premier faces immediate housing supply and affordability crisis as the overall rental vacancy rate in Sydney fell 0.4 per cent to 1.1 per cent in February and the vacancy rate for Sydney’s ‘inner’ suburbs (0 – 10km from the CBD remained unchanged at 1.2 per cent). In a perfect city (if that exists anymore) the vacancy rate should sit somewhere from 2.5 per cent to 3.5 per cent – Bazza you have a big problem! The REINSW cited “the rental crisis is a direct result of an inadequate, expensive and complex planning system and an inequitable property tax regime including high stamp duty rates, the raft of other imposts including land tax and the recently introduced ‘ad valorem’ tax.”
Well for starters, with the removal of Australia’s most incompetent, corrupt and inept government last Saturday – Big Bazza promised to abolish the ‘ad valorem’ tax if he was elected Premier. The NSW ALP (now known as the NSW Australian Lost Party) was responsible for we’re out of here, say hordes hankering for state satisfaction as people are now fleeing NSW at a rate of 50 packed cars each day and the NSW population is growing at the third – slowest rate in the nation. The picture that emerges from the Bureau of Statistics figures is of a state Australians move to and leave. About 19,000 Australians moved to NSW between the June and September quarters, and 21,000 left. In contrast, Queensland also had 19,000 arrivals, and only 9000 departures.
Western Australia is the fastest growing state, boosting its population at an annual rate of 2.2 per cent, followed by Queensland (1.6 per cent) and Victoria (1.5 per cent) NSW is fourth at (1.2 per cent), ahead of South Australia and Tasmania. Once upon a time NSW used to be number one, but this changed when the Australian Lost Party took over.
How to slash out– of–control house prices – cap city populations which would have catastrophic consequences with predictions that in Sydney alone, house prices would fall by more than 18 per cent over the next ten years. No need to sugar coat the real estate market as home prices flat line in difficult market.
It is quite simple to explain the problems that caused our real estate markets to flat line because the stressed don’t spend. Suncorp revealed its analysis of what causes Australians the most stress and here are the seven most stressful events.
- Having your home and belongings destroyed by a natural disaster
- Serious illness or injury
- Losing your job
- Getting divorced
- Having a child
- Moving house
- Getting married
Australians are more concerned about losing their jobs – which explains why that ring of confidence is presently missing in our property markets. Also, we need better taxes, not bigger taxes so in another amazing announcement by Julia Gillard PM orders GST review to punish states that let economies stagnate. So a Carbon Tax won’t impact productivity? We have been warned this week that we can expect to be paying $2.00 a litre for petrol!
Robbie Mac was right (he predicted on the blog this week that I would run out of room to announce the $5.000 + Mosman house sales from 2005 – 2010). Next week hopefully, as I have compiled all the results.
John Robertson was elected as Opposition leader for the Estate of the Late Fort Crumble to which the general public responded – try telling somebody who actually cares!
As Paul Keating once said – “where goes NSW Labor, goes federal Labor!
Cheers ^__^
This week’s sales Mosman real estate, Beauty Point real estate, Clifton Gardens real estate, Balmoral real estate, Cremorne real estate, Cremorne Point real estate, Neutral Bay real estate, Cammeray real estate Click Here
NSW votes – four Premiers in four years?
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They’re funny things these state elections – where all the focus (for obvious reasons) is directed to marginal seats. This would explain why, for the last sixteen years one could in all probability count on the one hand, the number of times the Premier(s) travelled north of the Harbour Bridge. Not even sure who the candidates are (outside the sitting Liberal member) given none have been seen or heard in Mosman. Ironically, the lower north shore and upper north shore households donate billions in stamp duty and land tax with all their donations directed to those marginal seats.
I must have been at a property inspection when the Keneally and O’Farrell buses toured Mosman. Possibly the traffic congestion was a valid reason for the detour, although our taxes are very sweet and a high priority for their coffers.
Pre – election marketing campaigns have been fascinating when, after sixteen years, NSW Labor could not even use this opportunity to boast and show off their achievements. Possibly a thirty second television advertisement was too long to fill that time slot? The reason why is simple. It will be remembered for all the stuff – ups and constant controversies with an oversupply of sex, lies and those video tapes. Fort Crumble is now in its final 48 hours – life support has been switched off as Premier Bambi learns that with a state election there are no strings attached.
Rogues who drove Labor to oblivion – here we go again. “Six days and counting. From debauched office parties to sex and drugs sessions, corrupt conduct, rorting, poisonous infighting and plain mismanagement and ineptitude – the list of sins behind NSW Labor’s decline and spectacular fall rivals ancient Rome’s excesses.”
Question: Would Julia Gillard be in ‘The Lodge’ today, if she went to last year’s federal election on that mandate? Of course not – although it get’s interesting given Gillard gains ground in Newspoll. The problem facing Julia Gillard is her credibility where nobody in Australia knows just who is running Australia. Will the real Julia please stand up? Tree – hugger and King of Weeds Bob Brown denies forcing carbon tax on PM. Whilst Australia’s biggest steelmaker, who we can assume knows a thing or two about the subject Julia Gillard rejects Bluescope Steel criticism of carbon tax. Julia Gillard’s carbon tax hit a hiccup when Garnaut calls for $30 billion of ‘taxpayers’ money to be spent on green technology. Great article by Annabel Crabb – Prime Minister! The people are revolting. Alas all over the world today we see that s%&! happens.
Key adviser Gary Banks sees risk in carbon tax as Labor MP’s ordered to distance government from the Greens as it bids to sell carbon tax. Carbon tax in my opinion is easily resolved – it is not a matter that Australia needs it rather can we afford it? Yes Brian, politics and real estate are closely synchronised – carbon tax will hurt housing affordability: Brickworks. One of Australia’s biggest building material businesses has slammed the federal government’s proposed carbon tax, saying it will increase the cost of housing and spark a mass exodus of manufacturing jobs and investment. We already have unaffordable housing. This week the Reserve Bank of Australia reported that in 2010 households were saving ten per cent of their net disposable income, compared to levels below four per cent early in the decade.
Sydney’s housing shortage to continue so don’t forget that Brickworks are predicting a further 10 per cent rise in building costs with a carbon tax. The National Housing Supply Council suggests that we are approximately 178,400 houses short from the required number at present, with this deficit set to increase to 308,000 within the next five years and a frightening 640,000 by the year 2028. Property developers are fast becoming an extinct species given rising costs of construction, GST and then another $200,000 to build in NSW due to government taxes. Hello – no wonder they have relocated to other states when the numbers don’t stack up and it is no longer financially viable. That would need something called a feasibility study and that is beyond political comprehension. In western Sydney buyers are being forced to buy to avoid the out of control rental market.
Labor backflips on its NBN promise to regional Australia where legislation circulated by Communications Minister Stephen Conroy reveal that the NBN Co could have the discretion to charge different prices for bush communities using wireless and satellite services than their city counterparts using fibre – optic cable. So what happened to uniform pricing? It has been replaced by monopoly pricing, that’s what happened
Swan prepares ground for tough budget, and eventual surplus otherwise known as a massaging process for more bad news to come. Of course natural disasters make it difficult. Wayne, the real estate market at present is difficult too!
I’ve been selling real estate for twenty six years and the current market is without a doubt right up there as being most confusing. It is obvious with the RBA announcement that households are fast reducing debt and now Julia Gillard wants to spike the cost of living with a carbon tax – yet to be costed?
Julia Gillard and Wayne Swan have never before run a business and the same could be said for John Howard. My concern is, that Gillard and Swan are attempting to reform an injured economy when in fact they are actually deforming it. The signs are certainly prevalent – most notably, this week’s NSW election which has already been decided before NSW votes. Telecasts commence at 6.30 pm and in all probability will switch to alternate programs by 8.00 pm.
Apologies. We will continue the Mosman plus $5,000,000 sales from 2005 to 2010 next week. Last week’s blog has been energetic and thought provoking. When consumers err on the side of caution, it impacts Australia’s circular flow of income. When consumers reduce spending, this is never construed as a vote of confidence in the government of the day.
The sooner we get back to basics the better! As for tomorrow’s state election – always impartial so all that I will add is “may the best man win”.
Cheers ^__^
This week’s sales Mosman real estate, Beauty Point real estate, Clifton Gardens real estate, Balmoral real estate, Cremorne real estate, Cremorne Point real estate, Neutral Bay real estate, Cammeray real estate Click Here
Politicians in 2011 are shrinking the Australian economy
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Had to agree with Mungo MacCullum when he wrote this week – Has Australian politics ever been more depressing? To such an extent that even Rudd, Turnbull overshadow leaders in poll. Add a NSW state election next week where Premier Bambi is learning fast that in NSW they like her, but don’t rate her. At least Barry O’Farrell announced “if we don’t deliver, kick us out” which is no doubt a stinging rebuke at Julia Gillard who prefers to pursue policies of lies and deception.
The key is consistency, Labor is lacking where the only thing consistent with our Prime Minister is an inability to lead. Carbon Tax, border protection, health, mining tax announcements all remain atop of the in–tray, none of which are resolved. Throw in pokies cost – benefit study could make reforms tougher, threatening Labor alliance with Wilkie. Now the Prime Minister is taking on 7,500 pubs and clubs in Australia to appease one “Green vote”. The odds against Australia’s 27th Prime Minister are shortening. Clue?
When Newspoll results are revealed next Tuesday, the “faceless men” will again come to the fore (somewhat identical to our Australian economy). A carbon tax really needs a mandate to become a reality. Should Julia Gillard be removed (it could happen) Australia’s most unpopular government ever, has a – rocky road ahead. We all know that the carbon tax is hurting Labor: Nathan Rees as Gillard running out of options on carbon tax as attempts to sell it fail. What will be interesting is to see if tax payer monies are spent advertising her new tax when no monies were available to alleviate a flood tax?
Wolseley Road is the world’s ninth priciest in the world which equates to approximately $20,500 a square metre value based on recent comparable sales. Australia’s number one address for residential real estate? I still can’t go by Balmoral as my preferred location.
Emissions charges ‘to skyrocket’ by between 118 per cent to 315 per cent when the carbon tax converts to an emissions trading scheme, according to new modelling conducted for the resources industry. In an extraordinary back–flip, Julia Gillard turns on Greens in carbon tax debate which suggests our prime minister has become delusional and is drowning in her deceptions .
Source: The Australian
Interesting to note that property hits new records which further explains why house prices ‘too high for cops, teachers which is easily explained by governments ignoring transport infrastructure where Sydney has the most million – dollar properties.
So let’s look at Mosman house price movement from 1999 to 2010. This week we look at price movements from 1999 to 2004. Next week 2005 to 2010 where market movements are staggering, considering that all was rosy until the global financial crisis.
1999 – MOSMAN HOUSE SALES ABOVE $5,000,000
- Number of houses sold – 1
- Total Value – $6,400,000
- Average Price – $6,400,000
- Highest Price – $6,400,000
- Auction Clearance Rate – 0 per cent
RWM Research observations: With hindsight, this sale was a historical moment for Mosman top – end properties where this acquisition was amalgamated with the adjoining property (acquired earlier) to create today, Mosman’s most expensive landholding (nearly 6,000 square metres). This was also the beginning of site consolidations along Hopetoun Avenue.
Source: Domain Property Data
2000 – MOSMAN HOUSE SALES ABOVE $5,000,000
- Number of houses sold – 4
- Total Value – $22,550,000
- House Sales – $5,000,000 – $5,999,000 – 4
- Average Price – $5,637,500
- Highest Price – $5,900,000
- Auction Clearance Rate – 0 per cent
RWM Research observations: Three sales on The Esplanade and one on Burran Avenue for $5,600,000. The $5,000,000 + markets are now starting to gain momentum.
Source: Domain Property Monitors
2001 – MOSMAN HOUSE SALES ABOVE $5,000,000
- Number of houses sold – 14
- Total Value – $91,860,000
- House Sales $5,000,000 to $5,999,000 – 7
- House Sales $6,000,000 to $6,999,000 – 3
- House Sales $7,000,000 to $7,999,000 – 2
- House Sales $8,000,000 to $8,999,000 -1
- House Sales $15,000,000 to $15,999,000 -1
- Average Price – $6,561,428
- Highest Price – $15,500,000 (RWM)
- Auction Clearance Rate – 57 per cent
RWM Research observations: This was the first time Mosman broke the double digit top–end sales market – much like first on the real estate moon. RWM was the first agency to break the $10,000,000 + real estate market.
Source: Domain Property Monitors
2002 – MOSMAN HOUSE SALES ABOVE $5,000,000
- Number of Houses Sold – 12
- Total Value – $79,050,000
- House Sales $5,000,000 to $5,999,000 – 5
- House Sales $6,000,000 to $6,999,000 – 3
- House Sales $7,000,000 to $7,999,000 – 2
- House Sales $8,000,000 to $8,999,000 – 1
- House Sales $9,000,000 to $9,999,000 – 1
- Average Price – $6,587,500
- Highest Price – $9,400,000
- Auction Clearance Rate – 40 per cent
RWM Research observations: Sales fell from 14 to 12 and the average price above $5,000,000 consolidated. It should be noted that no properties sold in excess of $10,000,000 with $9,400,000 being the highest recorded sale.
Source: Domain Property Monitors
2003 – MOSMAN HOUSE SALES ABOVE $5,000,000
- Number of Houses Sold – 25
- Total Value – $157,900,250
- House Sales $5,000,000 to $5,999,000 – 14
- House Sales $6,000,000 to $6,999,000 – 8
- House Sales $7,000,000 to $7,999,000 – 1
- House Sales $8,000,000 to $8,999,000 – 1
- House Sales $9,000,000 to $9,999,000 – 1
- House Sales $11,000,000 to $11,999,000 – 1
- Average Price – $6,316,000
- Highest Price – $11,000,000
- Auction Clearance Rate – 40 per cent
RWM Research: Sales more than doubled to 25 although the average price reduced marginally. This consumer sentiment heralded that the Mosman top – end markets were alive and well. For the time being “money was not an object” money was the lifestyle where the two resided in harmony.
Source: Domain Property Monitors
2004 – MOSMAN HOUSE SALES ABOVE $5,000.000
- Number of Houses Sold – 18
- Total Value – $124,951,000
- House Sales $5,000,000 to $5,999,000 – 6
- House Sales $6,000,000 to $6,999,000 – 9
- House Sales $7,000,000 to $7,999,000 – 0
- House Sales $8,000,000 to $8,999,000 – 0
- House Sales $9,000,000 to $9,999,000 – 0
- House Sales $10,000 to $10,999,000 – 2
- House Sales $11,000,000 to $11,999,000 – 1
- Average Price – $6,941,722
- liHighest Price – $11,000,000
- Auction Clearance Rate – 0 per cent
RWM Research: Top end auctions non–existent with the average prices showing a marginal increase. Sales volume down from 25 to 18 as was the total value sold from $157,900,250 to $124,951,000. Three sales in excess of $10,000,000.
Source: Domain Property Data
A strong possibility that in 2011, the highest sale will be below $10,000,000 – interesting to see what happened to top – end properties in Mosman during the global financial crisis. All revealed in next week’s edition.
Watch the Newspoll results next Tuesday – should her popularity continue to decline (to record lows) her position as prime minister will be all but untenable. I stand by my prediction that by Easter we will have yet another prime minister. Kristina Keneally gone next weekend and Gillard recording the lowest-ever approval rating as a prime minister in Australia’s political history.
Strong possiblity of a challenge next week – The Emperor (KRudd) wants to attend the Royal wedding.
Cheers ^__^
Take a look at look at this week’s property results which is indicative of what happens with new taxes and disasters
This week’s sales Mosman real estate, Beauty Point real estate, Clifton Gardens real estate, Balmoral real estate, Cremorne real estate, Cremorne Point real estate, Neutral Bay real estate, Cammeray real estate Click Here
When you struggle with the truth – you struggle at the polls!
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The carbon tax debacle went toxic for Labor this week when Newspoll announced its fortnightly report card – record Labor low on carbon fury. In just two weeks, Julia Gillard’s personal support has gone from its highest since becoming Prime Minister in June last year, to her worst. The Party’s credibility is now in free fall. In an astonishing revelation, Julia Gillard announced “I will continue to press to price carbon and we will get this done from 1 July, 2012”- despite anecdotal evidence that most voters believe PM broke carbon tax promise. The present carbon tax model is doomed for failure although Julia Gillard told carbon tax debate will be easy to win once the public is informed. This is too funny for words given that due diligence thus far, is zero.
High price of short – term tactics which begs the question, will this be a short term government when it is abundantly clear that an early election is the only way out when Australia is virtually ungovernable. “Julia Gillard has learnt this week that politicians who ignore the lessons of history find themselves with historically low popularity ratings. Instead of taking a leaf out of John Howard’s script on the GST, the Prime Minister has dug a hole for Labor by trying to fast track a carbon – cum – emissions trading scheme. It is yet another sign of failure of the Gillard and Rudd governments to put long – term strategic goals ahead of short – term political tactics.”
Australia ducked the Global Financial Crisis (GFC) and it now it is faced with the Gillard Financial Crisis – Gillard is now Prime Minister in name only. Plans for a carbon tax appear to have shaken consumer confidence as carbon tax blamed for contributing to slump in consumer confidence. “Pessimists now outnumber optimists in their outlook on family finances over the next 12 months for the first time since March 2009, when Australia risked falling into recession. Westpac chief economist Bill Evans said the key factors behind the unexpectedly large fall in the index – down 2.4 per cent in March from a month earlier – seemed to be concerns over budget and tax issues, and petrol prices. While there is no specific evidence – we expect that the key negative for households … relates to the government’s commitment to price on carbon by July next year.” The Greens are killing Labor as the PM sees green and her MPs see red.
The carbon tax announcement is arguably the dumbest announcement ever made within the foundations of Australia’s political history. “Operation Abort” is already being announced – Windsor savages carbon tax strategy with the accusation of “putting the cart before the horse” because of “pressure from the Greens.” Ironic that Julia Gillard became Prime Minister with blood on her hands and months later she is haemorrhaging profusely with short – term policies that threaten the profitability of households – carbon tax is a dog ready to bite Labor.
Ziggy Switkowski wrote an interesting piece on Business Spectator Only carbon fools rush in despite industry recommending that Fort Fumble hold – off with the carbon tax until details have been formulated. Combet: An early announcement was appropriate despite a carbon tax framework with no details to negotiate with industry. Despite business pressure for a delay, Deputy Prime Minister Wayne Swan rejects calls to delay carbon tax. This will get ugly and eventually end up with another meteoric back – flip where Caucus will take Gillard and Swan as the carcass. Keep watching the polls which will get worse for Fort Fumble especially when Kristina Keneally gets whipped at the election in two week’s time.
Property sales reach 10 – year low and the Gillard Financial Crisis is not helping matters. We note that Sydney rental market to tighten as lease is more in the new Australian dream. This does not help Australian construction contracted for the ninth consecutive month in February as the tools go down slow – down in construction activity . What we are witnessing now could be described as what the hell? Nation in regional retreat as consumers continue to tighten the belt as purses remain shut tight.
“In a grim picture revealing many families are doing it tough, about 700,000 taxpayers entered into special repayments with the Tax Office in 2009/10 – an increase of 32 per cent in four years” as Australians crippled by tax burden. The number of Australians failing to lodge a tax return has blown out to about 4 million and small businesses have racked up a crippling $9.4 billion in Tax Office debts. Households in retreat increase pressure on carbon tax with the inevitable outcome that rising bills cause consumer blues.
Every week we post on our website the weekly recorded sales activity for our demographic , so it came as little surprise when I read auction rates fudged by failed campaigns. Mosman in all probability (based on my observations) has the lowest auction clearance rate in Australia, based on results of the number of properties submitted. Yes, each week we see auction properties that are passed in and the results conveniently buried. Some week’s/months later, when sold, they are recorded as auction sales. The last time we extrapolated the data, the auction clearance rate in Mosman was just under twenty (20) per cent. So yes, the current system is rorted. In fairness, we are really a private treaty business (maybe in 2009. we auctioned five or seven properties in total).
We intend to publish the Mosman sales results for the “above $5.000 million house market” for the past ten years, in next week’s edition.
As you will be aware, I have a bee in my bonnet over the carbon tax which every day is fast-tracking the Home Insulation Scheme. Our economy is struggling and Julia Gillard has her foot firmly on the accelerator of destruction. Alas, the Gillard Financial Crisis!
This week’s sales Mosman real estate, Beauty Point real estate, Clifton Gardens real estate, Balmoral real estate, Cremorne real estate, Cremorne Point real estate, Neutral Bay real estate, Cammeray real estate Click Here
Cheers ^__^
Miners and politicians are digging different holes!
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On one hand we have a federal government and on the other, state/territory governments and today, the left hand has no idea what the right is doing. Back–flips in politics these days are nearly as frequent as another installation of a red light speeding camera on our roads – Government backs down on health GST deal. After months and months of political rhetoric Julia Gillard proposes 50 – 50 hospital deal then surprise, surprise as Tony Abbott says Julia Gillard revamped health reform package is yet another back down. Next a constitutional crisis was averted as Abbott concocts constitutional strife with crossbench offer for rural students bringing yet another back– flip as Labor backs down on youth allowance, admitting faults in scheme for regional students. This back – flip set another extraordinary political precedent given the Julia Gillard cave – in heads off crushing defeat.
Sitting well above ground, the Governor for Moolah announced to his fellow Australian shareholders that interest rates are where they should be. Unlike Fort Fumble, which is carefully manoeuvring itself from a dastardly week of failed policy capitulations, the Governor says mining the focus, not floods. On the flip– side, our Gov urges Australians to keep saving and shareholders should see that statement as a clue, given our household debt is high.We need to be realistic given nothing will stop prices soaring as an Australian Industry Group announced that the annual bill for a typical Sydney household will climb from $1,257 to $2,012 between 2009 – 10 and 2012 -13.
You can erase policy fails to keep up with the boom given the ALP is earnestly pursuing a self proclaimed renaissance – ALP’s plan to reverse membership slump would give supporters a say in pre – selections. Fascinating theatrevin Rudd takes aim at party’s faction culture; wants party’s full review made public a self-proclaimed communist Julia Gillard rejects Rudd’s call to release election review. Which no doubt would have caused face flushes when it was revealed ALP – take a Bex, Gillard tells union heavyweights who just so happen to be the anointed ones who fast tracked the demise of The Emperor – one KRudd. Somewhat riveting, in that The Emperor – Kevin Rudd takes aim at party’s culture; wants party’s full review made public a self proclaimed communist Julia Gillard rejects Rudd’s call to release election review. Which no doubt would have caused face flushes when it was revealed ALP numbers all point the wrong way.
Australia to have carbon price from July 1. 2012, Julia Gillard announces. Now hold on a moment! In the run–up to the last federal election, Gillard ruled out a carbon tax? Not much clear in Gillard and Greens carbon framework given the key differences between the Greens, Labor and the independents that still need to be resolved. Nothing has been decided, nothing has been achieved – just another announcement hence people’s revolt looms on Australian carbon tax, Tony Abbott predicts.
The show goes on and hold your seat – Infrastructure Australia has all but derailed which is an adoptive analogy for our inept, floundering and totally incompetent NSW government. “The Gillard government’s confirmation that it will contribute $2.1 billion to building the Epping – Parramatta railway line in suburban Sydney will probably not help Labor in NSW, but it has delivered a fatal blow to the credibility of Infrastructure Australia.”Labor election strategy in chaos as voters cut Keneally loose with their primary vote down to 23 per cent and getting worse – one month tomorrow until NSW goes to the polls. Not only (according to the polls) is Keneally gone, the result will be the greatest hiding in Australian electoral history. Power sale ‘will raise only $700m’ a tad down from the predicted $5 billion – I refer you back to this week’s photo by the great Tim Mooney (with a few strikes of genius).
Last week, we commenced our exclusive breakdown of Mosman house prices from 1999 to 2010. In last week’s edition of <em>Virtual Realty News</em> we covered house prices from 1999 to 2005 up to $5.000 million – here are the 2006 to 2010 results. The data has been downloaded from <em>Domain Property Data</em> and calibrated by <em>RWM Property Research.</em>
2006 – MOSMAN HOUSE SALES TO $5,000,000
- Number of houses sold – 352
- Total Value – $742,885,130
- Median Price – $1,855,000
- Average Price – $2,110,469
- Highest Price – $15,000,000
- Auction Clearance Rate – 40 per cent
- House Sales to $999,999 – 48
- House Sales above $1,000,000 – 146
- House sales above $2,000,000 – 86
- House sales above $3,000,000 – 45
- House sales above $4,000,000 – 27
RWM Research observations: Mosman has approximately 4,900 houses so 7.1 per cent of houses sold. House sales up to $999,999 were 48 which is approximately 13.5 per cent of total sales. The average price increased from $2,017,809 to $2,105,327. Auction clearance rates increased from 36 per cent to 40 per cent.
2007 – MOSMAN HOUSE PRICES TO $5,000,000
- Number of houses sold – 356
- Total Value – $815,749,720
- Median Price – $2,165,000
- Average Price – $2,291,431
- Highest Price – $22,500,000
- Auction Clearance Rate – 57 per cent
- House Sales to $999,999 – 28
- House Sales above $1,000,000 – 126
- House Sales above $2,000,000 – 111
- House Sales above $3,000,000 – 53
- House Sales above $4,000,000 – 38
RWM Research observations: Mosman has approximately 4,900 houses so 7.2 per cent of houses sold. House sales up to $999,999 were 28 which is approximately 7.8 per cent of total sales. The average price increased from $2,110,469 to $2,291,431. Auction clearance rates increased from 40 per cent to 57 per cent.
2008 – MOSMAN HOUSE PRICES TO $5,000,000
- Number of houses sold – 231
- Total Value – $523,725,612
- Median Price – $2,200,000
- Average Price – $2,267,210
- Highest Price –$14,700,000 (RWM)
- Auction Clearance Rate – 35 per cent
- House Sales to $999,999 – 25
- House Sales above $1,000,000 – 83
- House Sales above $2,000,000 – 71
- House Sales above $3,000,000 – 30
- House Sales above $4,000,000 – 22
RWM Research observations: Mosman has approximately 4,900 houses so 4.7 per cent of houses sold. House sales to $999,999 were 25 which is approximately 10 per cent of sales. The average price dropped from $2,291,431 to $2,267,210. Auction clearance rates dropped from 57 per cent to 35 per cent.
2009 – MOSMAN HOUSE PRICES TO $5,000,000
- Number of houses sold – 277
- Total Value – 630,499,751
- Median Price – $2,085,000
- Average Price – $2,276,172
- Highest Price – $13,200,000 (RWM)
- Auction Clearance Rate – 42 per cent
- House Sales to $999,999 – 18
- House Sales above $1,000,000 – 114
- House Sales above $2,000,000 – 83
- House Sales above $3,000,000 – 36
RWM Research observations: Mosman has approximately 4,900 houses so 5.5 per cent of houses sold. House sales to $999,999 were 18 so 6.5 per cent sold. The average price increased marginally from $2,267,210 to $2,276,172. Auction clearance rates increased from 25 per cent to 42 per cent.
2010 – MOSMAN HOUSE PRICES TO $5,000,000
- Number of houses sold – 299
- Total Value – $704,286,155
- Median Price – $2,100,000
- Average Price – $2,355,472
- Highest Price – $12,600,000 (RWM)
- ,Auction Clearance Rate – 42 per cent
- House Sales to $999,999 – 9
- House Sales above $1,000,000 – 112
- House Sales above $2,000,000 – 86
- House Sales above $3,000,000 – 58
- House Sales above $4,000,000 – 34
RWM Research observations: Mosman has approximately 4,900 houses so 6.1 per cent of houses sold. House sales to $999,999 were 9 which is approximately 3.00 per cent of sales. In 1999 sales up to $999,999 made up 88.5 per cent of sales. The average price continued to climb ever so slowly to $2,355,472.
Next week we look at Mosman house sales above $5,000,000 from 1999 to 2010 and again we get a most interesting snapshot of how our top–end is travelling. It is doing much better than the combined efforts of Forts Crumble and Fumble.
Cheers ^__^
This week’s sales Mosman real estate, Beauty Point real estate, Clifton Gardens real estate, Balmoral real estate, Cremorne real estate, Cremorne Point real estate, Neutral Bay real estate, Cammeray real estate Click Here
2011 will be a battle for poll position!
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Stop for a moment and consider your weekly participation in online polls. Do they give you a better understanding of the impact they may have on our political decision-making process? Annabel Crabb the ABC’s Online chief political writer, hit the nail on the head this week when she wrote – My name is Annabel. I’m a pollaholic. “And what could be more democratic than acquainting oneself regularly with the tabulated views of the community at large?” We participate in these polls out of curiosity and await the results in the hope that we remain in tune with our values and perceptions. Politicians react immediately when the general public judge them (and their perceptions) as deceitful or, these days, as being “out of touch with the electorate”.
Alas – the decision making process for 2011 and beyond.
Such is the impact of our brave new world – a classic example voters back Julia Gillard’s flood levy where the first federal Newspoll for 2011 revealed that 55 per cent of Australians support the new tax. Just as interesting are the 73 per cent of Labor voters in favour and the 62 per cent of Coalition supporters who are against it. The major problem with the Gillard/Swan levy is that already, so many have donated. So it’s a double–dip, especially when it came to light that Taxpayers foot the bill for Queensland’s incompetence.
When questioned about Anna Bligh’s failure to take out an insurance policy against natural disasters (which every other state and territory within Australia does) Julia Gillard said Queensland’s lack of insurance for its assets was “a matter for Queensland”. DOH! Julia, if that is the case, why then impose a national levy for government incompetence? If the rest of Australia has to bail out the government, then Anna Bligh should resign on the grounds of total incompetence.
Obviously Julia Gillard is listening intently on her i Pod to “Julie Julie Julie – do you love me” and those wretched polls are as appealling as her dulcet tone. No doubt Julia was glued to the ABC this week when Four Corners ran The Real Julia. “Tonight we’re going to focus on the leadership of Prime Minister Julia Gillard, with the year’s first poll reminding us again that Labor and its leader are struggling”. Q&A followed, with playwright David Williamson commenting “Well, she’s acting very badly. That’s all I’m saying. I said that what she comes across as is a headmistress talking to a very, very dull class.” Julia must have been listening intently because the next day when Parliament resumed tears flow as Julia gets real.The online blogs went off “no she didn’t, I just watched it. Dry tears and fake crying, it was pathetic!”
School building data will soon be known where the suggested $2.600 billion of taxpayer–funded waste would have removed the need for a temporary flood levy. Throw in the $2.500 billion lost on the doomed Home Insulation debacle and we have $5.000 billion down the gurgler. Looks like Fort Fumble is about to get a name change with the announcement no more bungles, the PM insists – enter Fort Bungle. KRudd/Gillard Labor will go down as in Australian history as the government that spent the most, borrowed the most and then back flipped on the greatest number of policies. Even Julia doesn’t trust herself with public money so in the hope of circumventing further bungles Prime Minister Julia Gillard asks Liberal John Fahey to scrutinise natural disaster recovery spending.
Taxpayers lead the world in funding Labor broadband bill as our imposed NBN report: one – tenth the speed at 24 times the price. Not sure what you think: I would prefer to see Australia spend the $36 billion on building the world’s best hospitals instead of very average broadband network.
Our property markets have started the 2011 year slow and steady. Buyers and sellers test the breeze – buyers hope that prices will drop and vendors hope that the Mosman market will increase by ten per cent! Whilst our markets appear somewhat polarised by the incompetent governments of the day, it will be interesting to watch the change in sentiment when Fort Crumble’s Premier “Bambi” Keneally is rolled in next month’s election.
Our blackouts are third world combined with lies, damned lies and electricity policy given we have a Keneally imposed new crisis in NSW housing. In 2000 – 01, Sydney produced 7,731 housing lots at an average cost of $263 per square metre. In 2007 – 08 the number of housing lots had dropped to just 1,723 – 22 per cent of the 2000 – 01 levels – at an average price of $483 per square metre. Up almost 100 per cent. The Planning Minister then was Kristina Keneally who held that portfolio for three years.
If our broadband is that sick, then why was the 11th and 12th of December 2010 the highest recorded online shopping day in Australia’s history. I bet Anna Bligh has home insurance, so why did she not insure Queensland against catastrophes? Julia Gillard appoints a Liberal to administer the flood/cyclone rebuilding simply because nobody in her cabinet has the ability to be manage it responsibly.
In the real business world a CEO resigns or is sacked when a business model goes belly–up. When will politicians adopt this ethic? Cyclone Larry cost Australia $500 million. Kristina Keneally blew that with the CBD Metro debacle.
Cheers ^__^
This week’s sales Mosman real estate, Beauty Point real estate, Clifton Gardens real estate, Balmoral real estate, Cremorne real estate, Cremorne Point real estate, Neutral Bay real estate, Cammeray real estate Click Here
2011 – A year of smart initiatives or dumb decisions?
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We are all well acquainted with the phrase ‘policy on the run’ and in 2011,we are already seeing politicians on the run! Has all this spin left our pollies dizzy?
Welcome to our first edition of Virtual Realty News for 2011 where we start the year with a levy, a tax or a necessary evil and what does this say for future natural disasters if this sets a precedent? Will Australians be as generous with their donations of money, clothes, furniture and time? Of course they will. It’s just that immediate fund raising efforts will be severely affected. Is this announcement a smart initiative or just plain dumb? The levy is expected to raise $1.8 billion, but in all probability, the fund raising events that are and have been organised across the country, would easily surpass this figure. Australians love to give – just not to incompetent governments. If there is a shortfall then bring in yet another tax (such an ugly word.)
Gillard’s spinning in a straightjacket – “to put the economic significance of the $1.8 billion that will be raised by the “one – off” levy in perspective, it represents less than 0.5 per cent of the government’s $362 billion of budgeted spending for this year.” Another public spending programme that goes pear shaped, with nobody in the government being held to account. Building projects are not exactly a strong point at Fort Fumble BER bungle is uncool for school. It has now been revealed that eight out of ten new classrooms (1284 out of 1639) built in NSW have no air-conditioning. A smart initiative or just plain dumb?
We celebrated Australia Day this week and surprise surprise, Tim Mooney coaxed the seaweed at Castle Rock, Clontarf to join in the celebrations.
Julia Gillard backs FOI exemption for taxpayer – funded NBN to avoid public scrutiny. I can think of 36 billion reasons why this roll out should not be exempt. A smart initiative or just plain dumb?
Moving on to Fort Crumble which is now on life support and given less than two months to live, the voter support system has been turned off. Not exactly a “say it loud, say it proud” endorsement Deputy Premier leaves ‘Labor’ off campaign leaflet given it is too late to sack Premier Kristina Keneally. The 7.30 Report this week ran its views on the Power struggle. “The NSW Labor Government’s fire sale of the state’s electricity assets may prove to be New South Wales Labor’s most diabolical scandal yet – just two months before it heads towards electoral abyss after 16 years in government.”
In a nutshell – Andrew Clennell, State Political Editor, Daily Telegraph, “It’s burning the villages on the way out. It’s a scorched earth policy. They didn’t want Barry O’Farrell to come in a position where he could sell the electricity assets for $15 billion; then have all that money to spend to keep himself in office for 12 years. They wanted to trash it. I mean, they deny it absolutely, but the NSW Labor right machine is the most ruthless political machine in the country without a doubt.” Now that is just plain dumb. This election can’t come soon enough and explains why the Deputy Premier (wife of federal infrastructure minister) left all mention of Labor off her pamphlets.
Now to property – interest rate hikes are on the way – it’s just a matter of when. The Reserve Bank of Australia (RBA) won’t do anything until the end of the June quarter at the very earliest, despite worsening business conditions.
Inflation outlook surges and it will only get worse given the flooding in Queensland where food prices will jump immediately inflation fears at highest level in 2.5 years. Petrol prices are already on the way up and predicted to climb above $100.00 a barrel in the first quarter of 2011 and $120.00 in the second quarter as millions fear cost of living increases.
Which is why I agree that property prices won’t be doing much in 2011 and this not really not a bad thing. Already in Mosman it appears that we will see modest offerings and that is unlikely to change throughout the year. It appears that households are consolidating and economy’s growth prospects dim. To put this into perspective Sydney prices higher than NY, London and more importantly Aussies turn their backs on credit cards where in the December quarter of 2010, credit card debt was slashed 14 per cent, from 2.1 per cent to 1.9 per cent.
Mosman house prices will be competitive given fewer offerings (at the start anyway). Here is our review of Mosman house/semi sales for 2008, 2009 and 2010.
- 2008 – $774,865,612
- 2009 – $668,966,377
- 2010 – $777,865,158*
- 2008 – 360
- 2009 – 334
- 2010 – 334*
- 2008 – $2,275,000
- 2009 – $2,000,000
- 2010 – $2,100,000*
- 2008 – $2,738,041
- 2009 – $2,397,728
- 2010 – $2,483,864*
Total Value Sold
*Still being compiled
Total Number Sold
*Still being compiled
Median Mosman Price
*Still being compiled
Average Mosman Price
*Still being compiled
Source: Australian Property Monitors
Interesting to note the average price falling and I attribute this to the fewer numbers of merchant bankers in the market (especially at the top – end). More on this in future editions, when we break the markets down further.
Australia has the highest interest rates in the western world and now the highest levy (tax) ever imposed by a federal government in its history.
Ironic that our new big tax is heavily weighted at those who didn’t vote Labor! A smart initiative, or just plain dumb?
Labor’s big bill for poll research as the Gillard government increased spending on market research by 42 per cent to $31 million in the year preceding the election.
With the latest new tax/ levy, I believe that Julia Gillard has completely misread the Aussie ethos and should watch the NSW Labor right machine whose members are about to have plenty of time on their hands.
Ask one Kevin Rudd? I predict yet another PM spill in 2011.
Let’s finish the edition with a great story – the official launch of our Richardson & Wrench Mosman & Neutral Bay Corporate video for 2011.
Video by Visual Domain
Cheers ^__^
This week’s sales Mosman real estate, Beauty Point real estate, Clifton Gardens real estate, Balmoral real estate, Cremorne real estate, Cremorne Point real estate, Neutral Bay real estate, Cammeray real estate Click Here
Mind your business – build infrastructure and communicate in 2011
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We keep hearing when the “going gets tough the tough get going” so you could be excused from thinking anytime soon that our luck has changed (for the better). A stark reality of the global financial crisis (GFC) has been the over reliant business concept where the hope factor remained the dominant strategy moving forward – trying hard and out of luck. No better example than that of our politicians where today, their decision making process is directed by polls as against policies.
The GFC was actually a great measure for businesses and governments although they responded in totally opposite directions. Businesses paid down debt and governments amassed debt which should not come as a great surprise as one is personal debt over other people’s debt. As a result of the GFC two words spring to mind: communication and infrastructure which is what I believe will be the key business strategies moving forward and succeeding in 2011 and beyond.
In that perfect world put simply: if we have every intended purchaser and vendor on our database (communication and infrastructure) we would be one of the most successful businesses on the entire planet – today we (most) strive in business to deliver the perfect consumer model. Just another part of life’s ongoing business challenges – so many businesses ignore and fight online which is now our future. No point fighting it – work it, use it and more importantly dominate it as it reciprocates one hundred fold (plus).
Our thanks to Tim Mooney for again spoiling us in 2010 with his amazing aerial captures which are simply breathtaking and most often mind boggling. Many subscribers contacted Tim throughout the year requesting aerial shots of their respective homes – they make for sensational Christmas cards.
Another fascinating year in Australian politics – a federal election, hung parliament, cross deals, resignations, scandals and the sacking of the Prime Minister. We pretty well had it all and more. Next March NSW is off to the polls as Fort Crumble limps to its final days make that 19: NSW Labor resignations which is unprecedented in Australian political history. A Christmas wish as Premier ‘Bambi ‘Keneally begs for a second chance despite revelations this week that $350 million wasted on Metro, audit reveals then insisting that when she dumped the Metro the money had not been wasted. Oh dear!
Congratulations to our very own Steve Patrick and Jacqui Rowland – Smith who posted Mosman’s top sale for 2010 with the sale of Morella Road also the twelfth highest sale in Sydney for 2010. Steve also posted Mosman’s second highest sale when he sold a home in Stanley Avenue Balmoral last month – Mosman recorded four sales in Sydney’s Top 20 sales for 2010. Of interest is that sixteen (16) houses that Richardson & Wrench Mosman & Neutral Bay (RWM) sold in 2010 set new street records – an amazing feat in a difficult market. RWM have posted Mosman’s highest recorded house sales in 2008, 2009 and 2010.
This week we set an Australian record when we posted $1 billion in subscriber sales to our online business which now sits at $1,001,770,228. Our first subscriber sale was recorded in October 2000 when we sold an apartment for $270,000 – our real estate online model is considered an Australia leader within our industry. Nobody really knew what we were trying to achieve when we rolled it out ten years ago – today it is recognised as a leading example for our industry.
MOSMAN HOUSE SALES – 2008, 2009 & 2010 A COMPARITIVE ANALYSES
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- 2008 – Total Value Sold $774,865,612
- 2009 – Total Value Sold $668,966,377
- 2010 – Total Value Sold $692,658,555*
- 2008 – Total Number Sold – 360
- 2009 – Total Number Sold – 334
- 2010 – Total Number Sold – 320*
- 2008 – Median Price $2,275,000
- 2009 – Median Price $2,000,000
- 2010 – Median Price $2,100,000*
- 2008 – Average Price $2,738,041
- 2009 – Average Price $2,397,728
- 2010 – Average Price $2,500,572*
*Still being compiled
*Still being compiled
*Still being compiled
*Still being complied
Source: Australian Property Monitors
What to watch closely in 2011?
Many thanks to the team at Macquarie Research for sharing their graphs with us in 2010
This is your final edition of Virtual Realty News for 2010 and we would like to thank you for your support in 2010. Next year will be our eleventh year of publishing Virtual Realty News and we have plenty in store for you in 2011. With each edition in 2011 we will also be launching a weekly video where we tackle what is happening with our property markets – sure to be controversial (if I get my way.) I will be endeavouring to interview as many interesting people as we can. This will be brought to you by Visual Domain our video partner with Virtual Realty Videos.
Thanks to Ryan and Peter at Agentpoint our online web developers whom I drive absolutely mad with my online impulsive disorders where we constantly dare to be different. You guys are without a doubt the best in the business and an absolute pleasure to work with.
Whilst on videos here is our Christmas video for all of our subscribers (I suggested in last week’s edition that one of our staff was at a recording studio) – it is 100 per cent his voice. So turn your volume – up and click on full screen. Our Christmas video has already been nominated for best real estate Christmas video for 2010.
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As you can see we work with a fantastic team (I think that shows) you would have observed that our family is growing. On behalf of Steve, Rich and everyone else at RWM we want to say to each and every one of you – thank you very much!
Have a very Merry Christmas and a Happy New Year – see you again in 2011 for much, much more.
Cheers (and stop calling me Baz Lurman) ^__^
This week’s sales Mosman real estate, Beauty Point real estate, Clifton Gardens real estate, Balmoral real estate, Cremorne real estate, Cremorne Point real estate, Neutral Bay real estate, Cammeray real estate Click Here
Beware when politicians suggest that things are looking up!
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What we are seeing today is that a statement such as this, generally refers to the cost of living which shows no signs of abating anytime soon. Solid economic growth still likely, index shows which is somewhat contradictory, because while Australia can expect a solid growth rate in the first half of 2011,the annualised Westpac – Melbourne Institute growth rate is already being revised down. With the leading index coming in at 4.6 per cent in September and remaining above the long term trend of 3.1 per cent, it should also be noted that it is well down from the 10.3 per cent index recorded in March this year.
Julia Gillard’s Fort Fumble urgently needs an economic architect given Canberra’s delusion: the budget is the economy which now has our elected federal Government at scary cross roads – OECD takes aim at Labor policies. “Australia’s proposed mining tax is too low; the goods and services tax should be higher and extended to food, and the approach to the national broadband network conflicts with international studies.” In a hung parliament, the words ‘looking – up’ should be removed from political rhetoric along with the hopeless policies that shadow the Gillard/Swan shaky leadership foundations. The problematic elephant (aside from the NBN) that constantly circles the ALP ring of confidence is the time to clear the decks of the Rudd mistakes. This is not likely anytime soon, as the polls are recording a revolt of disappointment which is hardly a policy affirmation for economic reforms. More voter angst!
A stunning revelation when RBA expected higher rate rises by banks based on strengthening economic activity and rising inflation which makes for interesting times and it is more than likely, that the annualised Westpac – Melbourne Institute growth rate will continue its decline. Nobody would have been surprised to read that banks’ fattened margins exposed when figures released by the Prudential Regulation Authority revealed that the banks’ average cost of funding loans, escalated by less than the RBA cash rate in the year to June. The figures revealed that the Reserve cash rate climbed 1.36 percentage points between June quarters 2009 and 2010. The average rate by the big banks to secure funding, climbed 0.88 points. Given the banks are well ahead of the official RBA cash rate it is highly unlikely that the RBA will raise the cash rate at its next meeting in December (the next scheduled meeting is not until February 2011). Just as interesting Reserve Bank data unfairly abused in rates debate and a strange sequence of events as banks slower to lift deposit than interest rates which would not surprise anyone.
A great read Re – regulating the banks in public view by Dr. John Hewson “While legislation to give/increase the powers of the ACCC in relation to “price signalling” etc and bans on mortgage exit fees etc are likely to be helpful, they are, in reality, unlikely to make much substantive or sustainable difference. Look at the way other “oligopolists” such as Woolworths and Coles consistently snub their noses at the ACCC, as do the oil companies. Of course, substantial penalties and making “cartel behaviour” a criminal offence, with the risk of jail for the senior executives involved, as in some countries in the airline industry, may give such processes real teeth, but none of our political leaders have yet been prepared to go that far.” I always enjoy reading the blog comments “Margaret Thatcher’s often repeated line, “there is no such thing as a society. Just individuals and families.” Treasurer Wayne Swan is due to release Fort Fumble’s response to the “Bank Debate” next month probably sometime between Christmas and New Year.
Probably, it will coincide with Australia’s broadband release as Conroy defies pressure to release NBN report which (conveniently) just so happens to occur after Parliament has risen for the summer break. In a perfect Parliament, politicians who approve taxpayer funded policy initiatives that turn out to be costly “white elephants”, should immediately resign – as is generally the case in big business. Rest easy as Prime Minister Julia Gillard vows to put fine tooth coomb through NBN on behalf of Fort Fumble, which is getting very interesting given bid to gag minister in Senate.
For example: NSW could have been $4.6b ahead if the state government (Fort Crumble) had borrowed to fund the building of all tollways built in the city. The NSW state election is due in March 2011 – Keneally welcomes Labor exodus which is actually more like a mass evacuation. Unfortunately premier “Bambi” has resisted the lead of her fellow politicians.
Things are looking up: rents to rise as home building lags as economic forecaster BIS Shrapnel predicts renters (one third of our market) will have to get used to annual increases of between 5 to 7 per cent in Perth, Brisbane and Sydney and 3 to 5 per cent in Melbourne, Hobart and Adelaide over the next 24 to 36 months. Data from the Australian Bureau of Statistics (ABS) identifies that building approvals fell to a 15 month low in September. Throw in Melbourne, Sydney and Brisbane which are in the top 10 most expensive markets in the world and you can draw two conclusions. Tax receipts from small businesses to Fort Fumble will continue to decline and the budget deficit will continue to grow as Sydney No. 2 in prime rents.
Yes, the cost of living is certainly looking up!
“There is no such thing as a society. Just individuals and families – Margaret Thatcher”
Cheers ^__^
This week’s sales Mosman real estate, Beauty Point real estate, Clifton Gardens real estate, Balmoral real estate, Cremorne real estate, Cremorne Point real estate, Neutral Bay real estate, Cammeray real estate Click Here
