Property and Infrastructure

Valad Property’s convertible note issue raises more questions than it answers in regards to this once preferred REIT.

If RAMS was the victim of credit crunch wave #1, Centro is the victim of wave #2. But did wave #1 ever pass?

Wall Street’s mood has turned decidedly sombre as fears of a recession gain further traction. The Dow fell 172 points.

Housing affordability is an election issue but while house prices continue to increase in inner city areas in particular St George Bank notes household balance sheets remain in good shape.

According to the Commonwealth Bank housing prices provide a good indicator for interest rate movements as increases mean increased wealth, which spurs consumer spending.

According to Westpac housing affordability has fallen significantly in Brisbane, Melbourne and Adelaide and this may limit any price gains during the next upswing in housing.

Credit problems at a leveraged prime mortgage lender and lowered expectations from Wal-Mart conspired to send the Dow tumbling 200 points once more.

Yesterday’s increase in official interest rates will hurt those with mortgages, but those complaining of doing it tough in meeting repayments need to examine their own role in the issue.

According to TD Securities today’s housing finance data for June supports the RBA’s decision to lift rates as it implies ongoing inflationary pressures in the economy.

Housing finance recorded a smaller than expected increase in May but economist agree further increases are likely in coming months as demographic changes mean the market is under-supplied.