If you need a reliable, accurate, thought provoking and informed economic forecasting at both local and international levels, look no further. Informed by Stephen's exceptionally broad experience and background, his
Information is valuable. The more the better. It is why there are market reports in the news morning, noon and night. It is why a sharp daily rise or fall in the stock market can lead headline news and it can be information useful in judging the economic and market risks as the information comes to hand.
The Corelogic daily house price series is like that. A really very interesting resource that tracks daily house prices from sales and settlements in the weeks and months gone by.
The problem with daily data – be it for the stock market, currencies and houses – is that a seasonal blip, an erroneous tick up or down can provide a false lead.
And so it was with the house price data up until a week or two ago.
It is always a good time to buy a house that you want to live in. Here’s why:
EXTRACT FROM MYTH BUSTING ECONOMICS
While buying a house to live in has proven to be a wonderful source of wealth creation over many decades, this seems to play only a minor part in most people’s desire to borrow money and buy their own home.
The non-financial or psychic benefits are vitally important. Owning a house gives certainty as to where you will live over the long term, with no pesky landlord around to end your lease if you are a renter. Homeowners can do whatever they want to their house, unlike renters, who are constrained by the conditions of the lease. As an owner, you can paint it whatever colour you wish, spend money on renovations making it a more pleasant house to live in, and enjoy the benefits of setting up a garden and watching it grow as the years pass by. You can keep a pet, which is an option denied to many renters through the rental conditions set by most landlords. It is important to realise, as many people do, that in addition to the life-enhancing benefits of renovations to the kitchen, the outdoor living area, the lovely garden and the like, these improvements add value to your housing asset in advance of the day the house is sold and those gains are realised. And, quite incredibly, those gains are tax free.