We’ve seen this before. The method is to find isolated property bulls and represent them as some kind of booming movement. Via the AFR, apparently looming rate cuts and no more Hayne has:
…lifted a range of housing market indicators – open inspection attendances, auction attendances and auction clearance rates – above their levels of November and December, said Ray White Group managing director Dan White.
“The model we operate on regarding home lending from banks isn’t going to change in a major way. That’s a huge sentiment shift,” Mr White said on Sunday.
Note that it is a “model” not reality. But wait there’s more:
“We are definitely seeing astute investors out there who see there’s a correction in the market place but know that getting in before a potential grandfathered [negative gearing] clause is sensible investing,” said Property Investment Professionals of Australia chairman Ben Kingsley said.
…Alex Gassner, 30, had plans to buy an investment property in south-east Queensland by the end of the year but is gearing up for a pre-emptive strike if Labor wins the election.
At least the second story did acknowledge reality:
But even if investors want to buy in the current market, whether they can is a different story. The latest ABS figures show loans to investors slumped to a seven-year low in December, not just a result of weaker demand but also because of more stringent oversight of mortgage lending by the banks.
Here’s the chart:
There ain’t nuthin’ but fear and loathing there so far.
Domain has new management so perhaps it has forgotten what happened last time it went all-in on the fake recovery, volumes crashed as it only succeeded in freezing sellers not motivating buyers, damaging its own business before abandoning the strategy (ie ruining its own editorial).
