Rental Market News Oct 23 – Oct 30 2020

Jason Mudford General Manager OBrien Real Estate

A time for the dreamers

Hi Guys, it’s Jason Mudford from OBrien Real Estate with another edition of the Property News for 2020 where real estate information is on the house.

Our lessons learnt in life and our true purpose is often found through adverse times. In late 2018 the McCrindle research group released a Life Satisfaction Survey on people’s biggest regret’s in life. The report made the front page news of the Herald Sun at the time and the top 3 regrets were: No.1 Family & Relationships, No.2 Not Pursuing A Dream, and No.3 was Travel. 22% of the people surveyed said they hadn’t stepped out and taken a chance. It’s time to rekindle some of those dreams and put the Covid-19 lessons to good use.

The trend we are finding in the market this last week is that many renters and landlords are closely monitoring what is currently available on the market and then determining how it compares with the property they own or rent to try and better understand the competing rental offerings and where price adjustments are.
REA rental insights

  • You’ll see from the above graph supplied this week by Australia’s number 1 listings platform that the weekly rental demand has subsided a little. This is due to not just the low overseas visitor rate but because the HomeBuilder scheme is encouraging renters to become first home buyers to purchase.
  • There could be some good news on the horizon for investors with the possibility of interest rate news on Melbourne Cup Day.

Here are my top 4 tips if you’re a landlord trying to better your position.

No.1 – Speak to your bank about a better interest rate and play hardball. You’re the consumer and you have the power. And when you speak to the banks be prepared, know your facts, quote what their competition is offering. Right now Westpac is offering $3000 cash for refinancers and fixed rates for investors is as low at 2.49% fixed for 3 years with Westpac.

No.2 – Object to your Rates Valuation. Councils slugged ratepayers with a standardised 2.2% increase. If values for your area have decreased then object to your council. The valuation not only affects the rates you pay it also affects your land tax assessment. If you need help just ask us and we can assist.

No.3 Check your Insurance Policy. Being properly insured is important so check you have the right Landlord cover. And while you’re on the phone, if you have been loyal to your insurance company ask them for a discount. Because the cost to keep a customer compared to gaining one is 10 times cheaper.

No.4 Check you are claiming all the tax deductions available to you. Even if your home is older deductions are still. If your not sure get in touch with us we can put you in contact with the right tax accountants.

That’s all for this week, I’m Jason Mudford and remember the information provided is of a general nature you should always seek independent legal, financial, taxation or other advice in relation to your unique circumstances.

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