Interest Rates Home Loan Demand Stumbles Stock Units a Higher by lindahy


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									      Home Loan Demand                                                      Interest Rates
Demand for home loans dived in              The RBA shocked seemingly everyone this week with their decision not to raise
January as the effect of three              interest rates. Most economists expected that the Bank would lift the cash rate
consecutive interest rates took its toll    from 3.75% to 4.0% which would have resulted in standard variable mortgage
on Australians borrowers.                   rates averaging about 6.9% (as long as the banks didn’t grab a little extra). Most
                                            of the economic news has been very positive of late however the ANZ Bank’s
According to data from Loan Market          survey of job advertisements across the major newspapers and internet found
Group, home loan approvals dropped          that job ads fell by 8.1% during January 2010. Business confidence figures also
by 40 per cent from its peak in 2009        showed weakness with the NAB index recording a fall of 11 points during the
quietest month since January 2006.          month.

"The three successive rate rises in the     The real estate market continues to record a strong start to the year with higher
final three months of 2009 definitely had   than normal levels of property professional activity during January. Comparable
an impact on homebuyers with the RBA        Market Analysis activity remains at levels not seen at any time during 2009. This
not putting rates up this month. Last       activity is a great lead indicator for future listing activity and we would expect
week, the Reserve Bank kept the cash        listings to ramp up further during the next month based on this activity
rate at 3.75 per cent, when most
economists had expected a further 25
basis point increase.

While there is still a possibility of rates                                        Stock
increasing in March, there is no need for
a big rise in the cash rate over the        Total properties listed for sale remain well below levels from 12 months ago.
course of the year, as it could             During the month to 17th January only 162,879 properties were listed for sale
undermine confidence in the Australian compared to 197,668 at the same time last year.
                                            Clearly there are fewer properties being re-listed but supply of new listings is
The wind back in first home buyer           also well down. The last month has seen just 15,286 new properties advertised
stimulus has also had a stalling affect     for sale, yet at the same time last year there was an additional 11,000 new
on homebuyers. The government's             properties advertised for sale.
increased first homebuyers' grant
ended on 31 December, returning to
                                                                    Units a Higher Turnover

                                             Most home owners tend to ‘hold’ their property for at least five years, but in
  Latest Auction Clearance                  many suburbs and regions around Australia the hold periods are much shorter.

                                              A suburb’s hold period is the average time period between when a property is
Auction markets are continuing to see        purchased and when it is re-sold. Across Australia’s capital cities, the average
activity levels grow with 306 auctions       ‘hold period’ for houses ranges from just 4.5 years in Darwin up to 9.3 years in
held during last week.                                                         Melbourne.

The weighted clearance rate across the       Units are typically held for a shorter period of time, ranging between 4 years in
combined markets was 44 percent, with                                Darwin and 8 years in Melbourne.
the largest auction market (Melbourne)
recording a poor clearance rate of 39
percent across 74 auctions.
                                   Top 10 buyer do’s and don’ts to consider
                            1. Do not be scared to buy something because it feels right or you just love it.

                         2. Do not let friends, family or colleagues put you off or talk you out of a purchase.

               3. Do not hand over any money unless you know it is to reputable party eg: Licensed agent or lawyer.

                        4. Do not be rude or upset the sellers as they will take it personally. Always be polite.

                            5. Do not turn up unannounced and do not expect everything to go smoothly.

                                           6. Do have a Professional Independent Valuation.

                        7. Do have a Professional Building Inspection for the structure and pest infestation.

                        8. Do use a lawyer; this is too much money to risk without knowledgeable guidance.

    9. Do not waste time, if you like it. Start the process promptly as sellers are more flexible with buyers that get things moving!

      10. Do watch out for special deals and investor specials including lots of extras, because guess who is paying for those!

                                                                                            Extract from Andrew Winter “Selling Houses Australia”

                   5 most important things to consider when selling your home
                     1. Your home is just another one ‘for sale’, expect to have to compete for a buyer.

    2. Is your home looking its absolute best – could you not tidy / hideaway a few more things, clean a little more?

                               3. Go out when people come to view, you will just get in the way.

                                4. Do not sell secretly, always get a board up and ADVERTISE.

      5. PRICE, be realistic. 99% of buyers never pay over the market value, so if you are asking over market value
                                                    you will not sell.

                                                                                            Extract from Andrew Winter “Selling Houses Australia”

                                                  JOKE OF THE MONTH
                                                     A YOUNG BUSINESSMAN

A young businessman had just started his own firm. He rented a beautiful office and had it furnished with antiques.

Sitting there, he saw a man come into the outer office. Wishing to appear the hot shot, the businessman picked up the
phone and started to pretend he had a big deal working.

He threw huge figures around and made giant commitments.

Finally he hung up and asked the visitor, "Can I help you?" The man said, "Yeah, I've come to activate your phone lines."
PROPERTY MANAGEMENT TEAM                                                               SALES TEAM
Property Manager                              Jessica Kelly                            Property Consultants         Emmanuel Voinot
Property Officers                             Ashton Buchanan                                                       Brent Jones
                                              Dianne Haumu                                                          Sharon King
                                              Courtney Doolin                          Sales Co-ordinator           Peta Hunt
Holiday Manager                               Trish Colley/Nicole Schiller             Principal/Licensee           Mark Zwemer
Commercial Manager                            Mark Zwemer/Seon Pierce

  SEXTON HILL UPGRADE                                                                   LANDLORD INSURANCE
  We have recently seen an influx of workers working                                    There are many insurance providers out there who now
  on the Sexton Hill Upgrade and also contractors                                       offer tailor made insurance for property investors. The
  employed by Reed Group and Seymour White                                              average yearly premium ranges from $280 to $360.
  Constructions for upgrades at local schools. We                                       Most policies cover loss of rent, accidental damage,
  have relocated a number of families in to some of                                     malicious damage, deliberate damage. Please give us a
  our furnished properties and are looking for more!                                    call to organise insurance on your property today.

  HOT CROSS BUN RECIPE                                                                  DUAL FLUSH TOILET REBATE
  150ml milk, warmed                            8g sachet dry yeast
  1 teaspoon caster sugar                       2 cups plain flour                       Single flush toilets are one if the biggest
  ½ teaspoon ground cinnamon                    50g butter, chopped                      users of water in homes, using 12 litres
  2 tablespoons caster sugar                    1 cup milk chocolate chips              of drinking water with every flush. Switch-
  1 egg
                                                                                        ing to a dual flush toilet can reduce this to four and
                                                                                        half and three litre flushes and save households
                                                                                        around 25,000 litres of water a year.
  2 tablespoons plain flour                     1 tablespoon cocoa powder
  2 tablespoons water                                                                   A $200 rebate is available to replace your old single
                                                                                        flush toilet with a new 4 star dual flush toilet between
  ¼ cup water                                   2 tablespoons caster sugar

  Preheat oven to hot, 200°C. Lightly grease a 22cm square cake pan.
  In a medium jug, combine milk, yeast and sugar. Leave in a warm place for 5-10        CALENDAR
  minutes, until mixture is frothy.
  Sift flour and cinnamon into a large bowl. Using fingertips, rub in butter until
                                                                                        March/April 2010
  mixture resembles fine breadcrumbs. Stir through chocolate chips and sugar.
  Whisk egg into yeast mixture. Add to flour mixture and mix to soft dough. Turn
  onto lightly floured surface. Knead 10 minutes, until dough is smooth and elastic.
  Place in lightly greased bowl and cover with plastic wrap. Stand in a warm place
  for 40 minutes, or until doubled in size.
                                                                                        Mid month accounting         Monday 15 March
  Punch dough down once with fist to release gas. Knead lightly. Divide dough into      End of month accounting      Wednesday 31 March
  32 equal pieces. Knead each piece until smooth. Shape into rounds. Arrange in         Good Friday                  Friday 2 April
  pan. Cover with plastic wrap or a clean tea towel and stand 20 minutes, in a          Easter Saturday              Saturday 3 April
  warm place, until doubled in size.
                                                                                        Easter Monday                Monday 5 April
  Crosses: in a small bowl, mix flour, cocoa and water to create a smooth paste.
  Pipe crosses on buns. Bake 12-15 minutes, until they sound hollow when tapped.
                                                                                        Mid month accounting         Thursday 15 April
  Glaze: in a small saucepan, combine water and sugar. Stir over low heat for 2-3       Anzac Day                    Monday 26 April
  minutes, until sugar dissolves. Bring to boil, without stirring. Reduce heat and
  simmer 1-2 minutes, until mixture thickens slightly. Brush over hot buns. Transfer
                                                                                        End on month accounting      Friday 30 April
  to wire rack to cool

Professionals Kingscliff & Cabarita Beach
p (02) 6674 9000                                            110 Marine Parade             PO Box 1432
f (02) 6674 3299                                Kingscliff NSW 2487           Kingscliff NSW 2487
                                                     Kingscliff - 3/22 Moss Street                                                                     For sale $985,000
                                                     Walking through the front door of this fabulous townhouse you will experience the tranquillity of
                                                     coastal living. From entry, the townhouse flows effortlessly from room to room, enhancing the
                                                     feel of spaciousness.
                                                     To view click on link—

                                                    Cudgen - 5/6 John Robb Way                                                                         For sale $335,000
                                                    Located a 3 minute drive or 10 minute cycle to the beach (2.7km) Cudgen Heights is a small
                                                    elevated village with a great community feel. This renovated townhouse features:

                                                    To view click on link—

                                                    Kingscliff - 3/184 Marine Parade                                                                  For sale 875,000
                                                    Kingscliff Palms at 184 Marine Parade in Kingscliff offers everything you need when looking for
                                                    quality beachfront living.
                                                    This middle floor north side 3 bedroom 2 bathroom unit has great water views
                                                    To view click on link—

                                                    Kingscliff - 15 Boomerang Street                                                                  For sale $695,000
                                                    Smack in the heart of Kingscliff and sitting on a 1018m2 block with a 2b medium density zoning,
                                                    is a quaint renovated weatherboard cottage

                                                    To view click on link—

                                                     Kingscliff - 65 Vulcan Street                                                                       For sale $895,000
                                                     Get the home you've always wanted before it's too late. With ocean and hinterland views all
                                                     around, this home offers 2 levels of family living. With 5 good size bedrooms, the master
                                                     bedroom has a WIR which you can access the main two way bathroom with spa .
                                                     To view click on link—

                                                                                 110 Marine Parade
                                                                                Kingscliff NSW 2487
                                                                                   02 6674 9000


DISCLAIMER:  This newsletter has been prepared by Kingscliff Professionals and the information contained is of general nature only & is not intended to be specific advice. Every effort
has been made to ensure the contents are accurate at time of publication. Professionals and their agents take no responsibility for any subsequent action that may arise from the use of
this newsletter.

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