Mortgage subsidies in the U.S. have encouraged banks to lend more to homeowners and less to firms. Mortgage insurance giants may do serious damage to the American economy if they take on too much risk, says The Economist.
Townsville's property market has been negatively affected by subsidised housing and rising unemployment, with the Real Estate Institute of Queensland's rental survey showing that the vacancy rate rose by 0.7 percentage points to 5.4 per cent in June 2014.
Sydney developer Harry Triguboff's fortune swelled by $1.3 billion in the past year, the biggest gain of anyone on the Forbes Australia Rich List. That moved him up five spots, to No. 2, with a net worth of $5.6 billion.
Property industry figures say television shows like The Block and House Rules are encouraging people to renovate homes with a view to selling them for profit, but the outcome isn’t always satisfactory.
Martin van Breda, a South African who worked in Queensland for Engel & Volkers Australia, has been killed near Cape Town along with his wife and son. "A very sad time for the Engel & Volkers network with the loss of Martin van Breda, our thoughts are with everyone affected," the firm tweeted.
The property industry hopes the federal government's review of taxation will lead to the reform of a plethora of property taxes, including stamp duty. Real Estate Institute of Australia chief executive Amanda Lynch said the GST should be raised to 12 per cent to allow for removal of stamp duty.
Seven years after the U.S. housing market triggered an economic collapse, the business of bundling riskier U.S. mortgages into bonds without government backing is gearing up for a comeback. Sydney-based bank Macquarie Group Ltd. are among firms buying up loans to borrowers who can’t qualify for conventional mortgages.