22 March 2009
Housing crash unlikely: RBA
27/03/09 11:30
A repeat of a US-style subprime crisis is unlikely to occur in Australia, according to the Reserve Bank of Australia's analysis of the housing sector.
In an address to the Fourth Annual Housing Congress yesterday, the RBA's head of Economic Analysis department, Anthony Richards, quelled concerns that low mortgage rates in Australia could lead to the same problems experienced in the US.
"So the question arises whether a period of low interest rates in Australia (combined with the boost in grants to first homebuyers) could lead to an expansion of lending to riskier borrowers who will only be able to afford their mortgages as long as interest rates remain low. I think there are good reasons to think this is not a major risk." Click here to read more...
In an address to the Fourth Annual Housing Congress yesterday, the RBA's head of Economic Analysis department, Anthony Richards, quelled concerns that low mortgage rates in Australia could lead to the same problems experienced in the US.
"So the question arises whether a period of low interest rates in Australia (combined with the boost in grants to first homebuyers) could lead to an expansion of lending to riskier borrowers who will only be able to afford their mortgages as long as interest rates remain low. I think there are good reasons to think this is not a major risk." Click here to read more...
NSW cracks down on fire-sale laws
26/03/09 16:43
Coming to the rescue of defaulting homeowners, the NSW government has sprung a proposal for tighter fire-sale legislation.
Minister for Lands, Tony Kelly, told the NSW parliament that in the current climate many home owners faced the forced sale of their home through foreclosure, however it was "immoral" that they have been exposed to the risk of "unscrupulous lenders seeking to force through a fire sale of their property" the Australian Financial Review reported. Click here to read more...
Minister for Lands, Tony Kelly, told the NSW parliament that in the current climate many home owners faced the forced sale of their home through foreclosure, however it was "immoral" that they have been exposed to the risk of "unscrupulous lenders seeking to force through a fire sale of their property" the Australian Financial Review reported. Click here to read more...
Rudd delivers gloomy recession forecast
23/03/09 15:54
The sinking state of the global economy will almost certainly pull Australia under, according to Prime Minister Kevin Rudd.
Speaking just one day before he set off for a series of international meetings to discuss the global financial crisis, Rudd said it would be virtually impossible for Australia to avoid a recession, the Australian Financial Review reported.
Click here to read more...
Speaking just one day before he set off for a series of international meetings to discuss the global financial crisis, Rudd said it would be virtually impossible for Australia to avoid a recession, the Australian Financial Review reported.
Click here to read more...