Territory Stories

The Centralian advocate Fri 4 Sep 2015



The Centralian advocate Fri 4 Sep 2015


Centralian Advocate; NewspaperNT




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Community newspapers -- Northern Territory -- Alice Springs; Tennant Creek (N.T.) -- Newspapers; Alice Springs (N.T.) -- Newspapers.; Australia, Central -- Newspapers

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Nationwide News Pty. Limited

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Alice Springs

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Copyright. Made available by the publisher under licence.

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Nationwide News Pty. Limited



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34 REAL ESTATE FRIDAY SEPTEMBER 4 2015 CAVE01Z01MA - V1 THE Reserve Bank has left its key interest rate at a record low before what is expected to be a limp set of economic growth figures. The central bank believes a cash rate of 2 per cent is appropriate for an economy expected to be growing below its long term average of 3 to 3.25 per cent for some time yet. In such circumstances, monetary policy needs to be accommodative, RBA governor Glenn Stevens said in a RBA puts rates on hold statement after Tuesdays monthly board meeting. Wednesdays national accounts show the economy grew at about 0.2 per cent in the June quarter, much less than expected. Shadow treasurer Chris Bowen said Treasurer Joe Hockey was gloating and boasting after the last national accounts and called anyone who questioned whether growth was sustainable a clown. Im not going to pre-empt the figures but obviously hell also have to take responsibility for the figures and explain his plans for growth in the Australian economy, Mr Bowen told reporters in Sydney. The tepid result partly reflects exports detracting from growth in the quarter due to bad weather in April closing some coal ports and preventing export of the commodity. Figures on Tuesday showed exports cut a larger than expected 0.6 percentage points from growth in the June quarter, although other data showed government spending in the same period was larger than forecast. Assistant Treasurer Josh Frydenberg played down speculation that the economy could be set to shrink. He pointed to the ASX 200 companies, of which 170 had reported to date and 61 per cent achieved better results than the previous year. He told ABC radio a lower Australian dollar, low interest rates and energy costs were all factors contributing to good growth across the economy. Yet the latest Essential Research online poll found 41 per cent of respondents saying the economy is heading in the wrong direction, compared with 35 per cent who said it was heading the right way, and over half saying they were concerned about the cost of electricity and gas. However, a separate survey, the weekly ANZ-Roy Morgan gauge of consumer confidence, showed sentiment rising by 0.3 per cent, a third consecutive week it has held above its long-term average. ANZ chief economist Warren Hogan said this was a surprising result given last weeks volatility in the Australian and global stock markets. COLIN BRINSDEN AAP Renters and homeowners will seek out properties that suit their needs. Quality, not the size, counts in property BUILD small, live tiny. Apparently if you consider that an attractive housing option for you, or you simply want less square metres in exchange for quality, location or view you are no longer allowed to make that decision because our state governments believe size, or lack of it, is potentially the source of a poor quality housing product. My opinion, as someone who spent many years working in the central London real estate market is: sorry NSW, you are completely wrong. Actually lenders have this rather bizarre size obsession too. Creating legal blanketstyle minimum sizes for a studio, or one, two and threebedroom units is about as worthwhile and desirable as a leather bound, hand-stitched ejector seat in a helicopter. It sounds great until you consider the practicality. I do understand why this legislation has been implemented. There is a general misconception that if a property is too small it will not be an attractive place to live. That simply is not the case. I presume the aim is to avoid creating slums, or other undesirable and unlivable housing accommodation of the future. But such dictatorial legislation will not have the desired effect; the same old mistakes will continue to be made, just a bit bigger. Consider who would buy or rent and live in a studio or a one-bedroom unit. It would be a single person, maybe a couple, in maybe their first home. It is a chance to get on the property ladder, or a good value rental option to avoid sharing. If the property is too small for their particular needs they will not buy, rent or live in it that is called market forces, but it gives the public choices. Why do we need the government telling us we have to live in more space? Options to build smaller can equate to a chance for people to be able to afford a place of their own in a location more desirable for them. Banning small does not aid the affordability crisis in any way; in fact it actually makes it potentially worse. Legislating and focusing only on size does not stop the national obsession with highrise unit building. Apart from when you are young, holidaying or after a pied-terre, who do you know that wants their full-time home to be in a highrise? Yes there are a few a niche market yet Melbourne, Sydney Brisbane, the Gold Coast and others all think it is great to build more highrise units for overseas buyers and misguided investors to sink their money into. Creative forward thinking and innovative design is what is needed. If a developer is seeking approval for their scheme, why on earth cannot the floor plans of the scheme be considered on their own merit? Rooms can be small providing they function correctly and in my experience have sufficient access to natural light and some form of aspect. These elements are more vital for the wellbeing of a resident than arguing over a few square metres. Andrew Winter is host of Selling Houses Australia. Andrew Winter House prices down WINTER has slightly cooled the Australian property market, with the pace of growth in housing prices across the mainland state capitals slowing and new home sales falling. Preliminary data from analytics firm CoreLogic RP Data showed prices in the mainland capitals rose 0.5 per cent in August, after rises of 2.8 per cent in July and 2.1 per cent in June. After prices rose 1.1 per cent in August last year, the latest monthly rise suggests annual growth slowed to about 10.5 per cent in the year to August, from 11.1 per cent over the year to July. CoreLogic RP Data head of research Tim Lawless said the monthly growth slowdown was most evident in Melbourne, where prices were relatively flat, up only about 0.1 per cent on average in the first four weeks of August compared with the July average. Sydney prices were up about 1 per cent. CoreLogic will release its detailed figures on Tuesday. Meanwhile, Housing Industry Association data showed new home sales eased 0.4 per cent in July, after rising 0.5 per cent in June. But HIA chief economist Harley Dale said home sales remained in strong shape, drifting along at historically high levels in mid-2015. It appears that the cyclical peak for total new home sales occurred in April but the subsequent downward trend is very mild, he said on Monday. Dr Dale acknowledged there was little prospect for further growth in new home construction in 2015-16 but, after three years of strong growth that have helped prop up the domestic economy, he said Australia was still in for another healthy year. Detached house sales rose 0.7 per cent in July. Multi-unit sales fell 4.2 per cent. For Sale Lot 4219 Stuart Hwy, Alice Springs (former Blackwoods site) An exceptionally well located warehouse and showroom complex with dual frontage to the North Stuart Highway and Stokes Street. Improvements comprise a warehouse of 456 square metres and an air conditioned showroom with internal offi ces of 206 square metres. ASKING PRICE $940,000+GST Contact: Doug Fraser 0418 897 768 dfraser.admiral@ljh.com.au LJ Hooker, 2/52 Hartley Street Alice Springs Licenced agents ljhooker.com.au