More bad news on Qld RE and China.

In response to our post on Queensland Real estate hitting bottom we received an e-mail from “Johnno” today pointing out an amusing story on news.com.au. A LACK of readily available land and high infrastructure charges are being blamed for the fifth consecutive drop in new home sales in Queensland. According to the Housing Industry Association,


Suprise!!! Retail sales are slowing.

Well actually not a suprise at all.. As we noted last month that something was going wrong in the “debt” world for the Australian consumer. It seems that Australians are starting to shun debt just like their american counterparts. This is obviously because interest rates are taking their toll on the spenders. This is not


Optimism is back.. For now.

Another month flies by, we are back at RBA decision day again. Where did July go ? We can’t see any rise on the cards from the RBA, in fact if you take about some of the “one-offs” in the CPI numbers you will find that Australias price growth is nearly stagnate in the last


Oz Real Estate. Brisbane hits rock bottom

Even after extending the catchment area of the Auction data into another city ( Ipswich ) , Brisbane can’t even manage double digit clearance rates for Auctions anymore. This weekends clearance rate was 6%. Many people will contend that you cannot concentrate on just one week of data and claim anything. However for us this


Is this why the dragon isn’t hungry?

As we mentioned a week ago China’s crazy stimulus lending risks are suddenly becoming issues. Shanghai banks are facing rising default risks on loans to real estate developers after the central government took steps to cool the sector, a senior banking official said in remarks published on Tuesday. Yan Qingmin, head of the China Banking


Cliff or plateau?

This week saw the release of the RBA’s June credit aggregates, as well as the first concrete evidence that house prices are rolling over from RPData. Neither was terrifying but neither also was reassuring. As usual, the mainstream media offered up a plate of bullish slop, preferring to quote quarterly growth figures over the much


Oz Real estate.. Death of a myth.

Just the other day we talked about the death of a spruiker. Today we note that morning money is reporting the death of a myth. Sure is a bad week for Oz property bulls.. And the Australian economy. Disclaimer: The content on this blog is the opinion of the author only and should not be


The "new abnormal".

Just read this, and try to stay positive. We have talked about the new normal before.. But that article is even more depressing. Considering that housing prices almost doubled from 1999 to 2006, there was always an escape hatch: Sell your house and make enough money to pay it all back. Wrong !!!! . Anyone


Oz real estate .. We warned you.

Well, all we can say is “don’t say we didn’t warn you.” Let us just recap on our warnings. Death of a spruiker The fat lady is singing Where have the first home buyers gone Sydney cools Cracks appearing in housing, bligh burns money Oz housing futures Wailing from first home buyers and many many


US Fed Member wakes up to deflation

Yes I know we have been talking about the fact that the US is sufferring from what looks like “debt deflation” for a while now, and as the government stimulus programs wind down the effect is going to get worse. In fact once you are trapped in a debt deflation spiral it is pretty hard


More on the Un-hungry dragon

Reuters is reporting that once again Chinese steel output is falling and stockpiling continues. Noone seems to have noticed last time, so they probably won’t again. China produced an average 1.65 million tonnes of steel per day in the middle of July, 2.4 per cent lower than the first 10 days of the month, data


Japan at policy crossroads.

In Sydney today for a conference, so not much time to post. However in a break we have time for a quick post as we just noticed some interesting news from Japan. Japanese industrial production probably grew at the slowest pace in more than a year last quarter, adding pressure on the government to extend


US Deflation.. There it is again.

Travelling today, so little time to post. However we would like to point out a story on Mish about durable goods orders that once again highlights that the USofA is not winning the fight against deflation and how few economists have recognised the signs that it exists. Disclaimer: The content on this blog is the


Oz Real estate, 1 story , many perspectives.

A reader “Billy” sent us an e-mail today to point out that the international business times has noted that mortgage demand in Australia continues to be very weak. Demand for new mortgages tanked by 20% during the June quarter when compared with the same time last year, figures from credit reporting agency Veda Advantage show.