Monday, 21 January 2013

Time to stop residential speculation.

1. Land tax on all property.
2. Full CGT on all property sold under 10 years ( exemptions for health, work or babies – legitimate reasons to move). No CGT for anyone if sold after 10 years.
3. Abolish stamps.
4. Rental pricing regulations so mining and natural disasters does not send rents to the moon.
5. Reverse mortgages supplied by Centrelink, for those who elect to accrue the land tax.

Rising house prices, well above the cpi or wage growth, is not desirable to an advanced society.

Saturday, 19 January 2013

Australian Suburbs Population Decline 2006 to 2011

I am still in awe of the amount of suburbs like Rochedale, Springwood, Jindalee, Albany Creek and Capalaba that had population declines from 2006 to 2011.

A very nice new tool from Fairfax to play in.

Fairfax Population Growth Tool

So population decrease or increasse has very little to do with house prices, but population growth does?
I will need to ponder hard on the spruikers who talk about population growth driving prices higher, for surely the reverse must be true and yet It is not.

The amount of people at any certain age does.

Why did the new families not move into these burbs? Too unaffordable? Ganny or Grandpa holding onto their home? I suspect it is sociology and a dramatic rise in lone occupants that have caused the decline. Question is, what will happen to prices in these burbs when the lone occupants start to die on mass as our death rates double over the next 25 years.

Baby boom to death bust.