Pete Wargent blogspot

Co-founder & CEO of AllenWargent property buyer's agents, offices in Brisbane (Riverside) & Sydney (Martin Place), and CEO of WargentAdvisory (providing subscription analysis, reports & services to institutional clients).

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 finest 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.

Tuesday, 11 July 2017

Squeeze

Incomes squeeze

Australian household disposable incomes growth has been a bit slow in recent years, following trends in bulk commodity prices. 


That said, household wealth is at record highs, with total net worth now approaching $10 trillion, and Aussies sitting on a tremendous pile of cash. 

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The housing finance figures for May 2017 are due out today.

Owner-occupier loans are expected to bounce back moderately in the month. 

But given that APRA announced its tightening measures for interest-only loans at the end of March, all eyes will be watching investor loans to see whether this sector has slowed accordingly.


With both new and existing loans being switched towards owner-occupier products, the key figures to watch will include not only the value of investor loans, but also the total value of all lending in the month. 

There have been further tightening measures in June, so even if the first salvo was not totally effective, investor loans will still slow as we move well into the second half of 2017. 

Mortgage rates for investors have been hiked independently of the official cash rate. 

More details to follow after 11.30am.