CHRISTMAS AND NEW YEAR MESSAGE
From all of the team at DB Philpott Real Estate we’d like to wish you a very Merry Christmas and Happy New Year!
This year has seen DB Philpott Real Estate sponsor the Prospect Broadview Bowling Club and volunteer at the Gepps Cross Dog Training Centre.
Once again, instead of traditional gifts, the agency has made donations to Foodbank SA and Second Chances SA.
We feel that the greatest gifts are those that have a positive impact!
Thank you for your support throughout 2023. We wish you and your family a healthy and prosperous 2024.
DB Philpott Real Estate will be open right through the Christmas and New Year period, keeping things moving over the holidays. We can assure you that we will continue to provide our reliable and consistent service to you every working day over the December and January holiday period.
RENTAL REFORMS PASS PARLIAMENT
Reforms to South Australia’s residential tenancy laws passed through parliament last month.
The bill to amend the Residential Tenancies Act 1995 will, amongst other things:
- Introduce prescribed grounds to terminate or not renew a tenancy.
- Extend the notice period to end a tenancy from 28 days to 60 days.
- Allow tenants to have pets in rental homes with reasonable conditions.
- Protect tenants’ information.
- Ensure rental properties comply with minimum housing standards.
- Provide additional support for victims of domestic violence.
Under the reforms, landlords will only be able to end a periodic tenancy or to not renew a fixed term lease for a prescribed reason including breaches by the tenant, wanting to sell, renovate or occupy the property.
The minimum notice to end a tenancy will also be increased from 28 days to 60 days, so tenants will have more time to secure a new home and make the necessary arrangements to move.
Tenants will be allowed to keep pets in rental properties in South Australia with reasonable conditions to be set by their landlord such as keeping the animal outside or having the carpets cleaned at the end of the tenancy.
This suite of reforms follows previous changes introduced in April, including banning rent bidding and raising the bond threshold.
More details about the changes can be read at www.cbs.sa.gov.au/rentreforms.
RBA DELIVERS FINAL RATE CALL FOR 2023
After much anticipation, the Reserve Bank of Australia (RBA) has finally revealed whether this year will close with a cash rate hike or hold.
As Australia enters the festive season, the RBA has chosen to hold the official cash rate at 4.35 per cent.
“While this is still above the RBA’s target, it continued the downward trend, which has seen inflation fall from a 30-year high in December 2022,” the economist explained.
Nevertheless, Ms Creagh warned Australians not to rest on their laurels, noting that the RBA “has been clear that it has a low tolerance for allowing inflation to return to target more slowly than expected”.
“Should data indicate inflation is returning to target at a slower pace than currently expected, the risk of another lift in February 2024 remains.”
In the meantime, however, property prices remain robust in spite of the hits mortgage holders have taken since rate hikes began in May 2022.
“Property prices have defied expectations and home values have remained resilient to higher interest rates this year,” reported Ms Creagh.
PROPTRACK HOME PRICE INDEX – NOVEMBER 2023
A recent report carried out by PropTrack has found that home values have remained resilient to higher interest rates this year, and this continued into November, with prices continuing to lift and hitting fresh record highs in many markets, although the pace of growth has slowed due to the increase in properties coming to market.
Earlier this year national home prices reclaimed 2022’s price falls in their entirety, with the upswing continuing in November as national home prices climbed 0.22% month-on-month to set another fresh record, bringing them up 5.53% so far this year and 1.29% above their previous peak recorded in March 2022.
November marked the eleventh consecutive month of national home price growth. After falling 4.02% from March 2022 to December 2022 national prices are now up 5.53% from the low point recorded in December 2022, to sit 1.29% above their previous peak and 5.42% above their levels a year ago.
This year strong housing demand, buoyed by record net overseas migration, tight rental markets, low unemployment and for existing homeowners substantial home equity gains of recent years, has worked alongside limited housing stock to offset the impacts of higher interest rates.
In the first half of this year stronger housing demand and a limited availability of properties listed for sale underpinned the initial phase of the home price turnaround and subsequent recovery.
Although the volume of new listings hitting the market has increased in recent months housing demand has remained strong and prices have continued to rise, albeit at a slower pace. At the same time, the sharp rise in construction costs and labour and materials shortages have slowed the delivery of new builds, hampering the supply of new housing.
Choice for buyers remains limited in Brisbane, Adelaide, and Perth, heightening competition and seeing prices hit fresh peaks in each of these markets in November.
Thank you for your ongoing support!
David, Benjamin & the Team at DB Philpott Real Estate