"Premier Colin Barnett vows to take control of Cottesloe redevelopment"

Hi Followers

A must read for all Cottesloe home owners and beach lovers:

 PREMIER Colin Barnett has vowed to end the "20-year stalemate" on development at Cottesloe beach, saying his government would become "actively and directly" involved in its future.   

Cottesloe Council last night approved a new $15 million concept plan - which The Sunday Times revealed on the weekend - to redevelop the beachfront to include a suspended glass walkway, ocean pool and more grassed terraces.

But Mr Barnett today attacked the council for “frustrating development along Marine Tce for years - years and years”, and signalled that local councillors could soon be bypassed in controlling the area’s planning processes.

“I am really tired of the council,” the premier said. “I am tired of 20 years of frustration and delay, so the State Government is going to get actively and directly involved and resolve a 20-year stalemate,”
While admitting he had not seen the new plans approved by the council, Mr Barnett said his views on the beachfront were known to the WA Planning Commission who was now reviewing the area’s development regulations.

Mr Barnett, who is the Cottesloe MP, said he wanted to see more cafés, bars and restaurants along Marine Pde.

To spur development, a height limit of eight storeys for the Ocean Beach Hotel site and five storeys, three at the street level and the other two set-back, for the remainder of the street was “appropriate”, he said.

“The State Government will simply bring down a planning ruling, then things more forward. Even with that, I don’t expect to see rapid change. But let’s just get on with it and improve it,” he said.
Mr Barnett added: “It is almost the prime piece of coastal land in Western Australia, and yet it’s got a run-down pub that could look a lot better and a run-down backpackers’ accommodation on it - is that a good look for our most famous beach? I don’t think so.”

Despite insisting the State Government would act on Cottesloe’s beachfront, Mr Barnett said he would not pay for the redevelopment, saying: “I am not going to pay to build properties for people”.

Labor leader Mark McGowan said that despite Mr Barnett’s new claims of “active” involvement, the premier had still not delivered on new planning laws for the site or encouraged development.

“What concerns me is that Mr Barnett has been the Member of Parliament for Cottesloe for 22 years of inactivity,” Mr McGowan said. “He needs to take some responsibility here.

“For 22 years, there has been a decline, I think, in much of the public amenity around Cottesloe, why hasn’t he done something about it?”

Cottesloe Mayor Kevin Morgan described the premier's claims as "unfair", saying that the council had worked hard to resolve planning problems along the beach.

"It has simply been the State Government navel gazing as to what should be done here," he said.

"To turn around and say this delay necessitates them stepping in to do all of this by way of central planning is pulling themselves up by their own bootstraps.

This information was gathered from:
http://www.perthnow.com.au/business/premier-colin-barnett-vows-to-take-control-of-cottesloe-redevelopment/story-e6frg2ru-1226284294791

DEB BRADY
0405 570 903

The 2012 HBF Rottnest Swim This Weekend

Hi Followers

The HBF Rottnest Channel Swim is on this coming Saturday 25th February. Its always a great day down on Cottesloe Beach and of course at the finishing line over at Rottnest Island.

For further details please follow the link below:
http://www.rottnestchannelswim.com.au/book/export/html/178

DEB BRADY
0405 570 903

"Investors Lured back"

Hi Followers

I read an article that was published in the Feb 14/2012 edition of The Australian Financial Review that I though I'd share:

Low interest rates, falling property prices and rising rents are drawing investors back to the housing market. The seasonally adjusted dollar value of mortgaes to investors increased by 7.5%  to 7.1 billion in Decemebr and is trending up more steeply than mortages to owner occupiers.

"It was a stronger increase than I thought" said Macquarie real estate strategist Rod Cornish. "Its propberly the view interest rates are stabilising and starting to come off and residential markets would stabilise over the course of this year."

He attributed some of the rose to self managed super funds that are able to borrow money to invest in property after law changes last year.

Macroplan senior economist Jason Anderson said fixed-rate mortages were popular amoung investors wanting certainty and these had become cheaper. Rising rents and falling prices were incentives to buy. "Part  of that is bottom feeding where people have seen prices come off 10-15% in some area's and they think its buying time".

"They can get a pretty good rental and the prices are back to where they were in 2006 even." he said.

Raine & Horne CEO Angus Raine said with fewer first home buyers, investors were filling the gap.

This information was gathered from February 14/2012 edition of The Australian Financial Review written by Ben Hurley.

DEB BRADY
0405 570 903

 

"Research rejects higher bank funding cost claims"

Hi Followers

A good read below:

FUNDING costs for local banks are falling despite their protests to the contrary, according to research from large French bank Societe Generale.   

In the past fortnight, all of Australia's major domestic banks have cited rising funding costs as the reason for lifting their lending rates despite the Reserve Bank of Australia (RBA) leaving the cash rate unchanged in February.

Societe Generale Asia head of interest rate strategy Christian Carrillo on Tuesday said the banks' claims about higher funding costs could not be confirmed by available data from the RBA and the Australian Prudential Regulation Authority (APRA).

``What we have seen over the past six months is overall funding costs for Australian banks actually come down,'' he told ABC Radio.

``Research suggests that, effectively, every source of funding that they use in terms of domestic deposits short-term funding, onshore long-term funding, onshore short-term funding has actually gone down.''

Local banks have increased their reliance on domestic markets, in particular deposits, since the global financial crisis in late 2008.

Deposits supplied around 60 per cent of the banks' funding costs nowadays, Mr Carrillo said.
``Their deposits rates have effectively fallen more than RBA cash rate since the beginning of 2011 to now.''

Consumer advocacy group Choice said the analysis from Societe Generale poked holes in the key arguments the banks had used to justify their recent rate rises.

Campaigns director Christopher Zinn said the data showed consumers were receiving a ``raw deal'' from the big four banks.

``This new research shows the funding costs argument appears to not stack up and that it's really a case of major banks choosing to make record profits rather than compete for consumers' business,'' Mr Zinn said in a statement on Tuesday.

Choice has launched a Move Your Money campaign for consumers to stand up to the big four banks and say ``enough is enough''.

This information was gathered from:
http://www.perthnow.com.au/business/research-rejects-higher-bank-funding-cost-claims/story-e6frg2qc-1226276902987

DEB BRADY
0405 570 903

"Nine devastating mistakes homebuyers must avoid"

Hi Followers

I came across this article today, It does tend to focus on first home buyers but I though it had some good points:

Buying your first home can be a daunting task. It’s by far the largest financial transaction you’ll ever make. Yet many are woefully ill prepared to ensure they make a good purchase decision.

Because the stakes are so high, one bad mistake can be financially and emotionally devastating, ranging from losing all your money to missing the house of your dreams over a simple oversight.

Most experts agree that first homebuyers make mistakes in three general categories. The first is overlooking simple factors, such as a potential rise in interest rates. It may seem obvious to most, but a first homebuyer doesn't have the experience of having hefty interest rates on their mortgage so can easily discount the chance of big rate rises.

The second - but perhaps the biggest - cause of devastating mistakes is listening to people you shouldn't. A first homebuyer is a babe in the woods and can easily fall prey to others, including highly experienced real estate agents and mortgage brokers.

The final category is buying based on too much emotion, rather than sensible well-thought-out criteria. First homebuyers are particularly susceptible to sales pitches and dressed-up properties that lack solid fundamentals.

We spoke to a mortgage broker, property lawyer, real estate agent and property adviser to find out what the biggest mistakes first homebuyers make are.

1. Assuming interest rates will stay low

Kris Court, a director of Court Financial Services, says many first homebuyers are about to get the shock of their lives.

"All these first homeowners are working out mortgage repayments on an unrealistic interest rate," he says. "They're not putting any buffer in."

Interest rates are on the way up as the economy recovers and inflation is seen as a greater threat, with the Reserve Bank of Australia (RBA) raising rates in November to 3.5 per cent.

Court says first homebuyers should be comparing today's mortgage repayments with those in August 2008, when the RBA's official cash rate was 7.25 per cent.

"If you're not prepared for that three to four per cent buffer you’ll really be in trouble," he says. "They've gone down very quickly; they can go up just as quickly."

Court notes that a homeowner with a $300,000 home loan is paying $1656 per month in mortgage repayments, against $2420 at the same time a year earlier. "That's a massive difference on a monthly basis for two people on $40,000 each," he says.

If interest rates rise quickly, a first homebuyer can face financial ruin and loss of their house if they fail to meet repayments.

2. Underestimating the full costs of buying a home

Court says many first homebuyers also fail to budget for the full costs associated with buying a house.
"People never take into account all their costs in terms of mortgage insurance, the correct stamp duties, rates and things they have to pay at settlement, including body corporate fees that haven't been paid," he says, adding buyers may also have to pay for valuation costs and loan application fees which are becoming more common.

The result? "Begging and borrowing to get some extra money from your mums and dads," he says.
One of the biggest areas first homebuyers trip up on is mortgage insurance. Court says in the past you could borrow 95 per cent of a home's value, with mortgage insurance of two per cent. The lender then added that on the loan, so in effect would lend you 97 per cent.

"Now they won't do that," he says. "You have to pay for that mortgage insurance cost out of your own money."

Court says people sign contracts, then realise they have to pay for all the additional costs.

"Some get a personal loan or credit cards, or something stupid like that," he says. "You're then on the back foot financially and probably will be on the back foot for the rest of your life."

3. Short financing periods

Peter Mericka, a legal property expert and director of Lawyers Real Estate, believes listening too much to real estate agents and mortgage brokers leads to the most disastrous first homebuyer mistakes.
"Between them, real estate agents and mortgage brokers are responsible for some of the worst mistakes," he claims.

One classic is when first homebuyers who need finance to buy a house begin asking questions about finance conditions. Mericka says real estate agents - in a bid to get an unconditional contract - convince them to put short 10 to 14-day finance periods in the contract.

"Then they'll say, if you need more time you can get an extension," he says. "But you can't get an extension. The contract says if finance isn't approved you can end the contract."

Mericka says the only way to get an extension is to end the existing contract and renegotiate a new one.

"The risk is you can then get gazumped," he says. "The vendor will accept your cancellation and sell it to someone else."

Mericka says it’s much better to have a longer period to secure financing and recommends at least 21 days.

4. Not paying your deposit

Mericka says first homebuyers also go astray when they try to be tricky with deposits to buy homes. He says some mortgage brokers advise them not to pay their deposit, which is usually required within three days of the sale, until finance has been approved.

That may appear to be a neat way of avoiding risk by the first homebuyer, but "the contract says that if you want to cancel the contract because finance hasn't been approved, you must not be in breach of any other condition of the contract," Mericka says. Failure to pay a deposit has been a clear breach.
"You'll get a letter back saying you're in breach of the contract so you're not entitled to end the contract," he says.

5. Allowing real estate agents to insert a building inspection condition into your contract

Mericka says another mistake is letting real estate agents influence what you insert into contracts. He says a classic first homebuyer mistake he sees is in the area of building inspections.

In Victoria, for example, the Real Estate Institute of Victoria has issued a building inspection clause. He says agents recommend first homebuyers use it. If they then have an inspection and find the house is riddled with asbestos and faulty wiring, for example, they naturally try to cancel the contract and pull out. The first homebuyer "gets a letter back saying 'you can’t cancel because none of those things constitute a major structural defect'," Mericka says.

"They then look at the building inspection clause and it says 'the purchaser may end this contract if the building report discloses a major structural defect'."

Mericka reads a major structural defect as something that "affects the ability of the building to stand up."

"Anything less than that means you can't pull out," he says. The buyer is stuck with the dodgy house.
Mericka recommends changing the building inspection report clause so that it allows you to withdraw from the transaction if the property “is not to the purchaser’s satisfaction."

6. Assuming you've got bank approval

First homebuyers are always thrilled after their first meeting with the bank when they're told how much they can borrow. A bank may say, for example, you earn $50,000 and have a $10,000 deposit, so - in principle - we'll lend you $400,000.

Peter Gordon, a sales agent with real estate agent Cobden & Hayson in the Sydney suburb of Balmain, says many first homebuyers assume they've got all their financing lined up and rush off and bid on a $400,000 house.

Gordon says some buyers simply go onto the bank's internet site and use the calculators to see how much they can borrow, and assume that equates to getting financing.

But Gordon says there's a big difference between what the banks indicate they can lend you and what they actually will.

"Anyone who wants to tender an offer on a place should be in a position to sign a contract," he says.
Gordon warns not having finance lined up exposes first homebuyers to the emotional distress of losing their dream home.

"It's more of an emotional thing," he says. "They make an offer and get their heart set on a property and think their finance is approved. Then it gets knocked back."

7. Freaking out at building inspections

Gordon says one of the biggest mistakes he see first homebuyers making is freaking out over building inspection reports.

Most buyers take the advice of solicitors and organise a building inspection.
"One of the common things we see, particularly in areas like Balmain where houses are 100 to 120 years old, is that all have got some rising damp, some termite activity," he says. "But when you read it on a building inspection report, it sounds terrifying.

"First homebuyers often think 'there's no way we can buy that' and they pull out."

That’s until they realise they're buying an old house.

Gordon has seen some potential buyers get five to six building inspections done at $500 each. But he says it's important to have realistic expectations as to what it means to buy a house.

"Just about every house that’s more than 60 years old will have some historic pest activity,” he says. “It's not necessarily a problem, but there’s a history of it."

He says reports are written in a way to cover the writers who tend to paint problems in their worst possible light.

Gordon suggests having a verbal conversation with the builder who did the inspection to get a non-legal view.

Ask questions including, would you buy it and is the report average?

8. Going beyond your budget

Every potential homebuyer knows the feeling. You're looking around at a $400,000 house which fits your budget, but that $450,000 property just looks that much more appealing.

Scott McGeever, director of Brisbane buyers' agent Property Searchers, says it might appear simple and obvious, but one of the major causes of grief for first homebuyers is the failure to stick to their budget.

"People will always want more than they can afford," he says. "There's always a real estate agent who’ll talk them up into the next level." Suppose a couple have a $400,000 budget on a house. "Almost every time a real estate agent will say 'have you got 450,000?' as if $50,000 is $5," McGeever says.

He says the bank has usually offered to lend $400,000 for a reason based on strict criteria, including, for example, two salaries and a honeymoon interest rate. Going above what you can sensibly afford leaves you extra exposed to financial shocks, including sharp rises in interest rates.

9. Bedazzled by tarted up houses

Why is it so hard to stick to a budget? McGeever says it's closely tied up with another mistake first homebuyers make: "buying with their heart rather than their head."

"First homebuyers obviously buy for a home," McGeever says. "But that doesn't mean they need to buy a home that’s a bad investment."

One of the biggest dangers for first homebuyers is being bedazzled by bells and whistles - in this case slick renovations and fixtures.

"You often see people that go and buy something that’s shiny and new," he says.

"They get completely bedazzled over and above the fact it sits behind the southeast freeway or backs onto a train line. Particularly in this market, you see houses tarted up to within an inch of their lives. First homebuyers really love that."

This information was gathered from:
http://apimagazine.com.au/api-online/property-investment-articles/nine-devastating-mistakes-homebuyers-must-avoid

DEB BRADY
0405 570 903

UNDER OFFER!

Hi Followers

UNDER OFFER

21 ATHELSTAN ROAD, COTTESLOE

DEB BRADY

0405 570 903









"National Australia Bank releases commercial property index, confirming WA No.1"

Hi Followers

I came across this article and thought it was a great read:

PERTH'S nation-leading commercial property market will continue to boom in the coming years, despite previously unidentified suburban office vacancies coming to light.   

National Australia Bank (NAB) today released its commercial property index, which conf
irmed WA’s No.1 position.

Nationally, the index remained in negative territory at minus 6 points, but it was a slight improvement from a previous low of minus 13 points.

NAB counts the office, retail, hotels and industrial sectors in its commercial property index.
The bank said today that conditions were currently strongest in Australia’s CBD hotels and offices, however WA led the charge for the entire commercial property sector including office, retail and industrial segments.

NAB highlighted that WA had remained the strongest state in terms of commercial property and would continue to reign supreme over the next two years.

NAB said conditions were strongest in WA but a big turnaround is expected in Queensland while South Australia remained volatile.

With regard to retail, NAB said Victoria – which was identified as the best-performing state in a very weak retail property market - will be overtaken by WA.

However WA’s position atop the industrial property sector will be lost to Queensland by the end of next year.

Meanwhile, according to the new Western Australian Suburban Office Report produced by Y Research, there were vacancies in 20 per cent of the state’s 2243 suburban office buildings.
This, Y Research suggested, meant that WA’s office space shortage may not be as severe as previously reported.

Y Research claims it provides independent research and analysis on WA’s commercial office, retail and industrial property markets.

It today identified 1.51 million square metres (sqm) of office space across 151 of Perth’s suburbs, double the highest previous industry estimate.

Subiaco was the largest suburban office market, at 151,157 sqm, followed by Northbridge, Herdsman and East Perth.

“Importantly for growing West Australian businesses, the Report shows there is 176,965 sqm of office space vacant in 524 buildings across Perth’s suburbs.,” the report stated.

“This represents a vacancy rate of 11.7 per cent, with vacancies in 1 in 5 of Western Australia’s 2,243 suburban office buildings.”

Y Research chief problem solver, Damian Stone said the report gives some hope for Perth CBD and West Perth tenants facing a looming office shortage in existing office markets.

“With less than 100,000 sqm available office supply in the Perth CBD and West Perth, tenants looking for expansion space were expected to have limited options in the coming 24 months,” he said.

“This report shows that there is existing and new suburban office space that will ease, not solve, the coming space shortage in the CBD and West Perth.

“The Perth CBD and West Perth are home to major international/national companies while the suburbs cater to a range of local companies and Government.

“As CBD options decrease, suburban office markets should boom in the coming year, similar to the last space crisis in 2007/8 where over 400,000 sq m of suburban development was proposed.”

Late last year Jones Lang LaSalle suggesting WA's capital had cracked the top five office markets worldwide.

Just prior to Christmas, property group Stockland cashed in on the booming Perth office market, selling its half stake in Perth's Exchange Plaza for $157.7 million.

This information was Gathered from:
http://www.perthnow.com.au/business/national-australia-bank-releases-commercial-property-index-confirming-wa-no1/story-e6frg2ru-1226272027202

DEB BRADY
0405 570 903

BRW Article

Hi Followers

I came across this article while reading the January 27-February 27 edition of BRW magazine. "Information is power-real state agents wont be giving away their data as easily as they have in past".

I wanst able to find the article online but should you want a copy of it please dont hesitate to contact me on 0405 570 903 or deb.brady@acton.com.au.

DEB BRADY
0405 570 903

FOR SALE:

Hi Followers

For over a decade one family has enjoyed the good life at this magnificent home... now its your turn.

Sprawling over 810sqm in one of Cottesloe most highly desired streets this family home has everything you need.

The property was designed by architect Carolyn Marshall and is split over four levels. The property layout takes advantage of the views out to Rottnest and the northern winter light.

2 Clarendon is generous in size but offers total privacy from the outside world.

Entertaining is great year round with both indoor/outdoor entertaining, alfresco area, pool, billiard room and a 1000 bottle wine cellar... perfect for parties of all sizes!

Features include:
- Large verandahs looking out to the ocean
- Indoor/outdoor entertaining areas
- Billiards room
- Swimming pool
- North facing back yard

ACCOMMODATION:
5/6 bedrooms, 3 bathrooms, open plan kitchen meals & living, separate parents retreat, games/billiard room, home office, large alfresco area, pool, parking for up to 4 cars.

The amount of storage throughout the house is unbelievable, perfect for the largest of families.

Walking distance to North Cottesloe Beach, just a short stroll to the Civic Centre, public transport, coffee shops, restaurants, and local shops and in the catchment area for North Cottesloe Primary School

This is a very rare opportunity to purchase what has to be one of Cottesloe finest family homes.

TO BE SOLD ON OR BEFORE 6th MARCH 2012

To arrange a private inspection or for further information please contact Deb Brady on 0405 570 903

DEB BRADY
0405 570 903

FOR SALE: 24 Kathleen Street, Cottesloe

Hi Followers

Located in a whisper quiet part Cottesloe this very groovy contemporary style family home offers the perfect opportunity for families to establish themselves in Cottesloe.

Accommodation is ample consisting of 4 large bedrooms, open plan living upstairs and downstairs, plus sensational verandahs overlooking the heated plunge pool and Cottesloe Pines.

Features include:
- Designed by an international fashion designer
- Chef's kitchen with built in commercial grade fridge and freezer in the room
- Large walk-in robe
- Polished floor boards
- Reverse cycle air conditioning
- Reticulated gardens
- Gas heated pool and magnificent water feature
- Sensational views of the Cottesloe pines from the upstairs veranda area
- Security system
- North Cottesloe primary school catchment area
- Walking distance to Allen Park, Allen Park Tennis club and the local football, rugby and cricket clubs.
- Walking distance to Perth's elite private schools.

Only minutes from the world famous Cottesloe Beach, transport and shopping. This home will not last... call me today to view!

TO BE SOLD ON OR BEFORE 6th MARCH 2012

To arrange a private inspection or for further information please contact Deb Brady on 0405 570 903

DEB BRADY
0405 570 903

SOLD SOLD SOLD SOLD SOLD SOLD SOLD SOLD SOLD!!!

Hi Followers

Had a massive week of sales...

54 Victoria Avenue, Claremont

36 Pearse Street, Cottesloe

17 Griver Street, Cottesloe



For information on any of these sales please feel free to contact me anytime.

DEB BRADY

0405 570 903