It’s amusing watching Australia’ most aggressive housing bulls gather for a bear session aimed at preventing interest rate rises. From the AFR on Saturday:
…Macquarie’s head real estate strategist Rod Cornish…expects rates to remain on hold this year…”We won’t see the rampant growth of 2013 but we’re still at a point where we’ll see some more growth across the capitals this year – except Perth”
…SQM Research managing director Louis Christopher said Australian property was 3 to 4 per cent overvalued at most.
…AMP Capital’s chief economist, Shane Oliver, said…“We’ve only had one year of strong growth and lending standards haven’t substantially shifted, while prices will rise further, I don’t think we’re headed for a bubble,” he said.
“Some of the risk factors are there but we’re not seeing strong credit growth or homeowners drawing on their mortgage to pay for cars and holidays, right now more people are talking about the cooking shows on TV than the property shows,” he said.
Sydney real estate boss John McGrath said…“Sydney will stay on an upwards trajectory, the cycle still has some way to go but it will slow, which is a good thing…You need stabilisation before growth and that’s what we’re seeing in Brisbane, I’m still confident we will see that market improve,”.
Decoded for you:
- it’s the pause that refreshes
- there’s no bubble
- calm down and plan your next investment property
One wonders if this isn’t a direct propaganda response to Chris Joye’s fire-breathing effort on Friday afternoon.
