here we go.
someone mentioned greece was the canary in the mineshaft - couldn't be more true. the ramifications of an insignificant economy (~1.5%) laden with debt affecting a larger economic zone is a hyperreaction - all because that little economy can't change it's own independant fiscal policy because it's now tied to the euro.
we now see funds refusing to lend to certain GERMAN interests because of their primary debtor concerns (greece/italy/spain). that spells disaster for the eurozone and the euro, but is a good thing at the same time because euro exports are suddenly great value, so german manufacturing looks likely to ramp up.
britain - what a basketcase - pass on comment.
what does it mean for the US? no one really cares, they're out of the spotlight now, the media don't report anymore on the (again) very poor data coming out of the USA. could see a lot of "made in detroit" tags on your clothes soon.
australia - rates to be cut back to around 3.50% and to sit there for a while IMPO - although they could go up in the short term as the RBA steers while drunk, bu i expect them come down in 50bp blocks at a time if they do. rents to only see moderate growth in the west and qld over the next year and then expect rampant runaway rises but mid-upper end values to rage like a wounded bull, sydney likely to get two feet on the ladder and melb a little too early to call - market could either be re-assessing or taking a breather for another leg up. quiet winner will be Darwin again.
affordable housing will be where it's at - anyone selling wants to be under median, anyone buying wants to buy at median or just above - to avoid the HUGE competition at anywhere under median. the sub $350k market is going to be VERY VERY VERY VERY (did i mention very?) strong in QLD and WA, any new developed product under this value will be hot to trot for OOs, IPs and renters alike.
my advice in any state is get as close to public transport as possible - if you're renting sign a 24m lease and lock in your rent now, if you're an OO look forward to good CG and if it's an IP only sign your leases for 6m at a time and you will get CG as well. you can bet your fat behind that oil companies will use this global turmoil as an excuse to ramp down production and raise prices - i expect $1.50 petrol by dec.
and there it is. i look forward to revisiting this in a year.
someone mentioned greece was the canary in the mineshaft - couldn't be more true. the ramifications of an insignificant economy (~1.5%) laden with debt affecting a larger economic zone is a hyperreaction - all because that little economy can't change it's own independant fiscal policy because it's now tied to the euro.
we now see funds refusing to lend to certain GERMAN interests because of their primary debtor concerns (greece/italy/spain). that spells disaster for the eurozone and the euro, but is a good thing at the same time because euro exports are suddenly great value, so german manufacturing looks likely to ramp up.
britain - what a basketcase - pass on comment.
what does it mean for the US? no one really cares, they're out of the spotlight now, the media don't report anymore on the (again) very poor data coming out of the USA. could see a lot of "made in detroit" tags on your clothes soon.
australia - rates to be cut back to around 3.50% and to sit there for a while IMPO - although they could go up in the short term as the RBA steers while drunk, bu i expect them come down in 50bp blocks at a time if they do. rents to only see moderate growth in the west and qld over the next year and then expect rampant runaway rises but mid-upper end values to rage like a wounded bull, sydney likely to get two feet on the ladder and melb a little too early to call - market could either be re-assessing or taking a breather for another leg up. quiet winner will be Darwin again.
affordable housing will be where it's at - anyone selling wants to be under median, anyone buying wants to buy at median or just above - to avoid the HUGE competition at anywhere under median. the sub $350k market is going to be VERY VERY VERY VERY (did i mention very?) strong in QLD and WA, any new developed product under this value will be hot to trot for OOs, IPs and renters alike.
my advice in any state is get as close to public transport as possible - if you're renting sign a 24m lease and lock in your rent now, if you're an OO look forward to good CG and if it's an IP only sign your leases for 6m at a time and you will get CG as well. you can bet your fat behind that oil companies will use this global turmoil as an excuse to ramp down production and raise prices - i expect $1.50 petrol by dec.
and there it is. i look forward to revisiting this in a year.