Rate Rises Threaten Property Funds’ Stellar Results
Tipping point The double-digit growth in unlisted real estate funds thanks to cheap money could be coming to an end, particularly for newer releases, writes Duncan Hughes.
Tipping point The double-digit growth in unlisted real estate funds thanks to cheap money could be coming to an end, particularly for newer releases, writes Duncan Hughes.
Emerging market funds are being hit with increased withdrawals as investors worry that soaring food and oil prices will fuel social and political tensions.
House prices in some suburbs on Sydney’s northern beaches and the Gold Coast have doubled every three to four years in the past decade, fuelled by low levels of stock and a growing number of affluent buyers.
Rebound Vacancies below 1 per cent and strong demand is driving renewed interest, writes Duncan Hughes.
Audits Experts believe asset stripping, offshore wealth transfers and governance are top of the hit lists for investigators, writes Duncan Hughes.
Foreign investors who fail to report their investments in Australian assets have been put on notice by the Australian Taxation Office and face significant cash fines after a landmark legal win.
‘‘There’s a perception that rents are high now,’’ one of the country’s most highly regarded bankers tells me. ‘‘But rents are going to go through the roof once investors start to recognise that there won’t be significant capital gains from now on.’’
Dwelling values have dropped in nearly two in five Sydney suburbs during the first three months of the year, while almost half of all Melbourne suburbs analysed posted price declines as the market downturn gathers pace.