3 and 5 year fixed rate thread

[Marty McDonald]

You never know.

Few ppl on this forum got the blinkers on with regards to economy......like that dude in the "we're building towards a construction boom" thread - he just can't let go.....it's all perma-bulls stuff for these guys while around them it's going belly up.

House prices rising / semi-boom my a**!

Not like that in sydney. While I agree the economy is not great overall house prices are definitely on the up in my neck of the woods. Free standing & semis in that $700k - $1.2 range would have gone up by 10% or so since this time last year. Supply and %'s are the drivers.

Multi speed economy I reckon.

 

[TMNT]

i think there was an article that said "experts" predict 2 more rate cuts this year,

if this were the case, what would happen to 2-3 year fixed rates, would the floor be 4.8%ish from the current 4.99%?

 

[Jenko]

House prices rising / semi-boom my a**!

Well I look at it the other way, rates drop more people will move into the peoperty market. Loans are more affordable and in some places a mortgage could be cheaper then rent. This will help drive prices up.
Lower interest rates will drive some investors out of money in the bank into shares or property. I would hate to be retired with money in the bank ATM.

 

[The Fence]

Well I look at it the other way....*snip*..........I would hate to be retired with money in the bank ATM.

Yeah much better to be retired with a heck of a load of debt (&lowering int rates) over positive cash flow portfolio ay..?

 

[Jenko]

Yeah much better to be retired with a heck of a load of debt (&lowering int rates) over positive cash flow portfolio ay..?

No just retired with no debt and living off the rent your properties are producing. Instead of live off the interest money in the bank would be making me.

 

[Shadow]

Few ppl on this forum got the blinkers on with regards to economy......like that dude in the "we're building towards a construction boom" thread - he just can't let go.....it's all perma-bulls stuff for these guys while around them it's going belly up.

That dude here.

Construction is definitely picking up strongly in Sydney, housing market is rocketing too, with auction clearance rates in the high 70% range and prices rising.

Latest rate cut just adds more fuel to the fire.

I'm no perma-bull, just calling it as I see it.

If you see things differently in Brisbane, so be it. But don't assume your own negativity is being felt by the rest of the country.

http://www.propertyobserver.com.au/...-since-july-2010-cba/mfaa-index/2013050961163

Housing market confidence rises to highest since July 2010: CBA/MFAA index

By Larry Schlesinger

Thursday, 09 May 2013

Confidence about the housing market has surged to its highest level in almost three years...

 

[Brady]

That dude here.

Construction is definitely picking up strongly in Sydney, housing market is rocketing too, with auction clearance rates in the high 70% range and prices rising.

Latest rate cut just adds more fuel to the fire.

I'm no perma-bull, just calling it as I see it.

If you see things differently in Brisbane, so be it. But don't assume your own negativity is being felt by the rest of the country.

Had a client who is a sub-contractor to a builder...

Said the builder he works for has so much work on that they will be busy until Christmas.

(Adelaide)

 

[Francesco]

You never know.

Few ppl on this forum got the blinkers on with regards to economy......like that dude in the "we're building towards a construction boom" thread - he just can't let go.....it's all perma-bulls stuff for these guys while around them it's going belly up.

Here's two very simple and very current examples of what it's REALLY like out there:

1) just got my haircut, talking to owner, chit chat about the state economy...she says her rep today said he's worried about his job as business is very bad....no one wants to buy supplies becuase less ppl are getting their hair cut....say's its bad in Brisbane and it's brutal on the Goldy.

2) my current contract is due for extension (I work in the Oil & Gas industry)....talking to my recruitment agent yesterday.....start talking about rates and what the market is like....he said his agency (think someone at the level of Talent 2, Davidson, Candle, etc) received a memo from RIO HR stating they are seeking a drop in rates for several contractors who contracts are about to come up for renew....he said that's a first and worrying for the industry

oh and I forgot, the main guage for a crippled economy....

3) RBA continuing to cut rates.

House prices rising / semi-boom my a**!

Just off topic I know. But with all the peripheral signs you are seeing to call it gloom in Brisbane, more directly are there good suburbs in Brisbane that you can see which have dropped in prices significantly. I would like to go around and see for myself if there is a bargain.

 

[Deltaberry]

You never know.

Few ppl on this forum got the blinkers on with regards to economy......like that dude in the "we're building towards a construction boom" thread - he just can't let go.....it's all perma-bulls stuff for these guys while around them it's going belly up.

Here's two very simple and very current examples of what it's REALLY like out there:

1) just got my haircut, talking to owner, chit chat about the state economy...she says her rep today said he's worried about his job as business is very bad....no one wants to buy supplies becuase less ppl are getting their hair cut....say's its bad in Brisbane and it's brutal on the Goldy.

2) my current contract is due for extension (I work in the Oil & Gas industry)....talking to my recruitment agent yesterday.....start talking about rates and what the market is like....he said his agency (think someone at the level of Talent 2, Davidson, Candle, etc) received a memo from RIO HR stating they are seeking a drop in rates for several contractors who contracts are about to come up for renew....he said that's a first and worrying for the industry

oh and I forgot, the main guage for a crippled economy....

3) RBA continuing to cut rates.

House prices rising / semi-boom my a**!

Hahaha. I'm up 30% on last purchase which settled last month. Not sure about you.

 

[Dan_p]

You never know.

2) my current contract is due for extension (I work in the Oil & Gas industry)....talking to my recruitment agent yesterday.....start talking about rates and what the market is like....he said his agency (think someone at the level of Talent 2, Davidson, Candle, etc) received a memo from RIO HR stating they are seeking a drop in rates for several contractors who contracts are about to come up for renew....he said that's a first and worrying for the industry

oh and I forgot, the main guage for a crippled economy....

3) RBA continuing to cut rates.

House prices rising / semi-boom my a**!

I too am in the oil and gas business and what was a sluggish start to the year, it is really picking up pace now.

 

[miximitosis]

Quite happy to fix at 5.29% with westpac for the first house for the next 3 years. >>80% LVR too.

 

[yeksetm]

Quite happy to fix at 5.29% with westpac for the first house for the next 3 years. >>80% LVR too.

I have a kid on the way, so decided to fix my % rate so I could manage my budget better.

I fixed with Westpac for 2 years at 4.99%, was pretty stoked with that.

 

[jonmardell]

ANZ dropped their 3 year fixed rate to 4.99 this week and a couple more lenders to follow soon is the word on the street

 

[Rolf Latham]

Meanwhile, across the Pacific

http://www.usatoday.com/story/money...gage-rates-weekly-nationwide-average/2146495/

ta
rolf

 

[Jenko]

Whatever happened to Japanese banks coming to aus to offer low interest rates loans, does anyone know?

 

[HotRod]

http://www.usatoday.com/story/money...gage-rates-weekly-nationwide-average/2146495/

ta
rolf

Wow, just wow.

Imagine 15 years fixed @ 2.61% here in Oz.

 

[Rolf Latham]

Whatever happened to Japanese banks coming to aus to offer low interest rates loans, does anyone know?

The hedge got em

ta
rolf

 

[HotRod]

The hedge got em

ta
rolf

They're not quite.....

 

[buzzlightyear]

Wow, just wow.

Imagine 15 years fixed @ 2.61% here in Oz.

All i can say is......click here

 

[Nth Brisbanite]

I have a kid on the way, so decided to fix my % rate so I could manage my budget better.

I fixed with Westpac for 2 years at 4.99%, was pretty stoked with that.

When did you get that? They wouldn't budge on 5.09% for 2 years last week.