Pete Wargent blogspot
Co-founder & CEO of AllenWargent property advisory, offices in Brisbane (Riverside) & Sydney (Martin Place) - clients include hedge funds, resi funds, & private investors.
4 x finance/investment author - 'Get a Financial Grip: a simple plan for financial freedom’ (2012) rated Top 10 finance books by Money Magazine & Dymocks.
"Unfortunately so much commentary is self-serving or sensationalist. Pete Wargent shines through with his clear, sober & dispassionate analysis of the housing market, which is so valuable. Pete drills into the facts & unlocks the details that others gloss over in their rush to get a headline. On housing Pete is a must read, must follow - he is one of the better property analysts in Australia" - Stephen Koukoulas, MD of Market Economics, former Senior Economics Adviser to Prime Minister Gillard.
"Pete Wargent is one of Australia's brightest financial minds - a must-follow for articulate, accurate & in-depth analysis." - David Scutt, Business Insider, leading Australian market analyst.
"I've been investing for over 40 years & read nearly every investment book ever written yet I still learned new concepts in his books. Pete Wargent is one of Australia's finest young financial commentators." - Michael Yardney, Australia's leading property expert, Amazon #1 best-selling author.
"The most knowledgeable person on Aussie real estate markets - Pete's work is great, loads of good data and charts, the most comprehensive analyst I follow in Australia. If you follow Australia, follow Pete Wargent" - Jonathan Tepper, Variant Perception, Global Macroeconomic Research, and author of the New York Times bestsellers 'End Game' and 'Code Red'.
"Pete's daily analysis is unputdownable" - Dr. Chris Caton, Chief Economist, BT Financial.
Invest in Sydney/Brisbane property markets, or for media/public speaking requests, email firstname.lastname@example.org
Sunday, 6 May 2012
How quickly will the 0.50% interest rate cut have an impact?
Last week, I noted that there would be 3 effects of the double interest rate cut: a boost for the property market, a lower Aussie dollar (excellent news for tourism, exporters - and possibly the stock market) and, of course lower home loan rates (though National Australia Bank did its best to spoil the party by passing on just 32 of the 50 basis points cut).
Well, the Aussie dollar has almost immediately slipped down to its lowest level in a while to 'only' 101.7 US cents - the Reserve Bank will be very happy about that. Some analysts believe the dollar will be testing parity with the USD very soon.
What about the property market? Well, here are the last two weeks of auction clearance rates for Sydney:
28 April - 49%
5 May - 61%
Fairly conclusive evidence of an impact there.
And as Chris Joye notes in his blog here, UBank are now offering a variable mortgage rate of a staggeringly competitive 5.38%.