Cash to splash
It's likely to be a big year or two ahead for Brisbane (and Adelaide) property prices.
The interest cost on a 100pc geared purchase is now 30pc cheaper than renting (although there are sundry costs associated with ownership).
Dr. Cameron Murray has successfully used his index and analysis before to call the direction of markets and this looks bullish for the second tier capital cities.
Source: Dr. Cameron Murray
It's worth remembering that thanks to government stimulus, early superannuation release, mortgage holidays, and no overseas travel, in aggregate households are absolutely awash with cash.
The household saving ratio ballooned in 2020, and yet still retail turnover continued to accelerate to a spectacular 13.3 per cent annual gain in November, despite the prior year being a Black-Friday led high watermark.
Online sales have obviously been very powerful this year, but declined in November as Victorians rushed out to the shops.
