Perth properties quickest to sell

Perth properties are being sold quicker than any other state capital, new figures show.

Research from property analysts RP Data and Rismark International shows it took 24 days to sell a house in November and two days fewer for units.

The time taken to sell a unit was the quickest in Australia, while only in Canberra (23 days) were houses sold quicker.

The average price for houses and units in the metropolitan area at the end of November was $460,000.

While that was a drop of 1.09 per cent on October, making Perth the only city where prices fell, it was still an increase of 6.47 per cent on the start of the year and a 5.87 per cent rise on the same time in 2008.

The average house price was $485,000, down 1.11 per cent on October, but up 5.94 per cent since the start of 2009, while units dropped 1 per cent on October, but rose 8.55 per cent in 2009, to average $385,000.

The news was not all good for homeowners. Landlords found rental yields dropping, to 3.94 per cent for houses and 4.41 per cent for units, both down 0.04 of a percentage point on October.

Rismark managing director Christopher Joye said the key drivers in the market in the latter half of 2009 were upgraders and investors, and this was expected to continue this year.

Once mortgage rates “normalised” to between 7 per cent and 8 per cent, price growth would drop back. As many borrowers did not reduce mortgage payments when rates fell, they should be well placed to absorb rises.

Source  :  www.watoday.com.au

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Petrol prices ‘rising’ in next fortnight

Further increases in petrol prices are predicted as Australia’s unleaded benchmark price scaled a 10-month high of almost $100 a barrel in the past week.  

While the continued signs of a recovery in the global economy had been great news for share market investors, the same could not be said for motorists, Commonwealth Securities economist Savanth Sebastian said.

The Australian Institute of Petroleum’s weekly report showed the unleaded petrol prices rose by an average 1.9 cents per litre in the past week to 124.5 cents.

The average metropolitan price rose by 2.6 cents a litre to 124.2 cents, while the regional average price rose by 0.7 cents to 125.1 cents.

“The glut of oil inventory on global markets is not putting downward pressure on prices,” Mr Sebastian said, adding traders and investors were focussed on the recovery story.

Even a strong Australian dollar has not been able to significantly absorb the rally in oil prices.

This resulted in the benchmark for Australian unleaded petrol – the Singapore gasoline price – rising to a 10-month high of $99.70 from $97.33 in the past week.

“If there is any consolation for motorists, it is that the rise in pump prices is likely to be rather sedate,” Mr Sebastian said.

“The petrol price will rise over the next fortnight, but only modestly, up around three to five cents a litre.”

Source  :  www.thewest.com.au

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Grocery Choice website scrapped

THE Rudd Government has dumped one of its key election promises, the Grocery Choice price monitoring website, after supermarkets failed to provide enough information to make the site reliable.

After a meeting today with major supermarkets, Competition Minister Craig Emerson announced that the measure – an election promise that was aimed at keeping grocery prices low – would not proceed, The Australian reported.

“Upon close examination of the data requirements for reliable price information, I have formed the view that it is not feasible to generate that information in a timely manner, “ Dr Emerson said.                                                                                                                                                                                                                                                   

The scheme had been due to be up and running next week.

The dumping of Grocery Choice comes after the Government last year abandoned FuelWatch after it was defeated in the Senate.

Mr Rudd campaigned heavily prior to the election on easing the cost-of-living pressures on working families and increasing competition in the petrol and grocery sectors.

Both FuelWatch and Grocery Choice were criticised for not putting downward pressure on prices.

Earlier this month it emerged that the consumer advocate Choice would be forced to go it alone on the website as the major supermarket chains continued to drag their feet over supplying price data.

Choice took over the running of the website from the Rudd Government, which launched it after campaigning on easing cost-of-living pressures before the election.

The $13 million site, which originally launched last August, was heavily criticised for displaying information that was too general and outdated to be useful.

Source  :  www.news.com.au

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Flights ‘cheaper than a carton of beer’

TRAVELLERS can fly to destinations around Australia for less than the price of carton of beer thanks to cut-price airline Tiger Airways. 

As part of its latest discount assault on rivals Qantas, Jetstar and Virgin Blue, Tiger Airways has aggressively cut the cost of some of its airfares.

For a limited time some of Tiger’s one-way flights from Sydney to Melbourne cost as little as $25.51, the Gold Coast to Melbourne from $23.33, or Adelaide to Perth costs $22.78, including taxes, The Advertiser reports.

But there is a catch. While there are 30,000 seats available for various destinations, the price is for a one-way flight which must be taken on a Tuesday or a Wednesday between August 4 and March 24.

The discount flights aren’t available during the summer school holidays, from December 15 to January 27, or on March 9 and 10.

Tiger Airways says the fares include all fees and taxes, so in essence, it is giving away the seat on the plane.

The fares include up to 7kg of carry-on luggage, but passengers are charged $10 for up to 15kg and $35 for up to 25kg of check-in luggage. The one-way discount fares include Adelaide to Sydney for $28.76 and to Melbourne for $25.14.

“For the price of a couple of movie tickets or a few beers you can travel some of Tiger Airways’ most popular routes midweek,” Tiger commercial director Steve Burns said.

“While everyone’s tightening their belts in the current economic climate, it’s nice to know you can still take a short break or get that work-life balance back on track with incredible deals like this.”

Comparable airfares from Adelaide to Perth aboard Jetstar during the same period currently cost $79, with Virgin Blue’s from $89 and Qantas’s from $129.

King William Travel manager Sandra Cosic said people needed to be wary of what they received for a low fare, taking into account extra charges for luggage and other services.

“But there are some great deals out there,” she said.

Tiger’s 30,000-seat “Just Pay Taxes and Charges” sale is on until midnight tomorrow.

HOW TO PAY FOR YOUR FARE

Don’t buy that carton of Platinum Pure Blonde for the weekend. SAVE $37.98.

Instead of heading out for dinner, stay at home and eat in. SAVE $20-$30.

Wait for that new movie to hit the DVD shelves instead of catching it on opening night. SAVE $34.

Give up that manicure. Your nails can wait a little longer. SAVE $40.

Bring instant coffee to work for a week instead of buying two a day. SAVE $35.

Catch public transport to work for a week instead of driving. SAVE $40.

Source  :  www.news.com.au

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A Boost for the Housing Industry

The residential construction industry has been assisted by growth in the first time home-buyer activity along with the low interest rate.

Home builders are offering some competitive priced housing, and in the last few months things have started to pick up as we see with the display homes traffic which has increased by around 1000 more visitors a week compared to the same period last year.

With the growing concerns of the recession, some homebuyers are investing in the single storey home which is allowing them to lower their debt, rather than building the two storey home.

The Commercial developments throughout Perth have slowed down, but the ones with less financial risk attached to them are still going ahead.

What is happening is there is a  big demand for the first home buyer homes, therfore a lot of  houses being sold are at this price range therefore bringing down the median house price. 

There are also alternative financing options in WA such as the WA Governments Keystart Home Loans which has helped a lot of new home owners get on the property ladder.

Activity in the residential construction is providing  jobs at time when needed.

The first homebuyer’s stimulus is moving through two stages this year  :

From now until October 1, 2009  $21,000 on a house and land package, or a new house built that  has not been lived in.

$14,000 for an established home.

From October 1 until December 31, 2009 the boost will be lowered to  :

$14,000 for a house and land package, or a new built house that has not been lived in.

$10,500 for an established home.

From January 1, 2010 is to be confirmed.

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Property : Buying at auction

By Sarah Mills
ninemsn Money

Auctions can be fun, frenetic and financially dangerous. With several hundred thousand dollars or more on the line, the tension in the room can be palpable. The stakes are high for vendors and buyers, so you need to make sure you understand the process, because it is a battleground that takes no prisoners.

Real estate agents will take a property to auction for a number of reasons. Usually, it is because the market is booming and they feel confident of extracting a higher price. Sometimes, however, the auction may be forced as part of a deceased estate or liquidation.

Home buyers on the other hand may attend an auction because they have decided on a property and are prepared to compete to lay claim to it. Others are undecided and some are hoping that the auction may turn in their favour and they get a bargain.

How does an auction work?

An auction is usually held in an Auction Room hired for the occasion or on-site at the property itself. Before you bid, you need to register with the auctioneer, giving your name, address and telephone number. You will be required to show proof of identity such as a driver’s licence, passport or credit card. This is to ensure that once you have placed a bid, you are responsible for it and can’t skip the scene. You may be given a number to display that you hold up during bidding.

The auctioneer starts proceedings by explaining the contract, terms of the auction and a description of the property. Bids are then invited from the floor. Some people may ask a real-estate agent or other person to represent them if they can’t attend but they must notify the auctioneer in writing. Make sure that before you bid, you gain all necessary, termite, building, structural and engineering reports as well as crucial legal title information.

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