Canada’s plan to tax foreign investors is already working

IF you’re looking for a home in Sydney or Melbourne, chances are you’re feeling frustrated, overwhelmed and irate, priced out of the market you were born to buy into. Most are quick to blame the deep pockets of foreign investors, with high demand seeing properties sell for hundreds of thousands of dollars over reserve. Recent figures show one in 10 properties in NSW are being snapped up by foreigners, and with interests rates so low, this trend shows no signs […]

Overvalued but no property crash on the horizon

The bad news for would-be homeowners is that on a range of measures Australian property is still overpriced. The good news, at least for those that own a house, is there’s not going to be a crash. Well, there won’t be if we can avoid falling into a recession and interest rates don’t go through the roof, both of which are looking “unlikely”, according to AMP Capital’s chief economist Shane Oliver. The only other way there could be a crash […]

The Commonwealth Bank reduces the maximum loan-to-value ratios from 95 to 90 per cent

AUSTRALIAN property investors are set to be hit again as the nation’s largest bank tightens the screws on investment lending. Investors will be forced to stump up larger deposits to buy property after the Commonwealth Bank revealed it would reducing the maximum loan-to-value ratios from 95 to 90 per cent. This means borrowers must have a 10 per cent deposit instead of five per cent which was previously allowed to buy an investment property. This means for a $300,000 property […]