Share losses cause for pause in property market?
In light of the $100 billion wiped from the sharemarket recently, Australia's property markets may pause in response as buyers come to terms with it, The Australian
Peter Chittenden, managing director, residential, for Colliers International told the newspaper, “We expect inquiries to come off during the next few weeks. What we find in events like this is that people slow down, they don’t act in the immediate term. They wait and assess.”
AMP Capital chief economist Shane Oliver said the 1987 stockmarket crash had largely sparked the property boom of 1988-89.“It’s more complicated now with property doing so well in Sydney and Melbourne — and talk of a bubble — and other areas slowing down,” he said.
Whereas chairman of agency Ray White, Brian White told The Australian
he had seen no evidence that the billions lost in shares had created nervous property buyers. “A lot of the comment is ‘there goes the threat of another rate rise, you little beauty’,” White said.
Victoria's real estate laws to undergo review
Victoria’s real estate industry is set for a facelift, with the state government announcing a comprehensive review of legislation covering estate agents, land sales, conveyancing and owners corporations.
Victorian Minister for Consumer Affairs Jane Garrett announced the review last week and said it was necessary step to reduce duplications and inconsistences in the current legislation.
Four pieces of legislation, Sale of Land Act 1962, Estate Agents Act 1980, Conveyancers Act 2006 and Owners Corporations Act 2006, are the subject of the review.
“This review is long overdue. Each of these acts affect the way people buy and sell property, and that has changed significantly over the past 50 years,” Garrett said
“Bringing these acts together, under the banner of a single review, means the Government can comprehensively consider areas of tension between the Acts and any inconsistency and duplication,” she said.