Insights
Australians still backing real estate despite interest rate rises.
SQM Research data reflects a slowdown in asking prices nationally, however, a steep decline across the board is yet to be witnessed.
National real estate brand First National has noted that despite this, Australians are strongly backing real estate.
“Depending on where you live in Australia, home values increased perhaps as much as 36.5 per cent in the two years to the end of February 2022, yet we’ve observed declines of only around 3.5 per cent over the past four months,” said First National Real Estate Chief Executive, Ray Ellis.
Strata Inspection Reports crucial when buying property
Ray Ellis, network CEO of First National Real Estate said a Strata Inspection Report can be critically important in the process of due diligence when buying a property.
“Such reports reveal all manner of material facts about the building you are considering,” Mr Ellis said.
“Buyers can expect to see minutes of Owners’ Corporation meetings, where disputes between neighbours are likely to be discussed, as well as other concerns like building defects, drainage problems or upcoming special levies.”
Real cause of Australia’s dire rental crisis revealed. Ray Ellis speaks with news.com.au
The great policy flaw behind Australia’s rent crisis has been revealed – and it’s a problem that runs much deeper than current economic woes.
The cause of Australia’s worsening rental crisis runs far deeper than the economic pressures behind rising interest rates and soaring inflation, a prominent real estate expert has revealed.
Ray Ellis says the crisis will deepen without swift action from state governments on social housing and new build “red tape”.
Mr Ellis, former director of the Real Estate Institute of Australia and First National Real Estate chief executive, warned Australia has nowhere near enough homes to cater for its population, let alone accommodate migration increasing in the wake of the Covid pandemic.
Hot property in Cohuna as prices rise by 50 percent.
On a recent visit to First National Charles L. King (Cohuna, Victoria) Ray Ellis was interviewed by the Gannawarra Times noting the property market very strong at the moment and doesn't seem to be slowing down anytime soon.
‘Zombie’ homes are fuelling Australia’s rental crisis, Ray Ellis says
A zombie home is a property that is occupied only part of the time – such as a holiday house listed on Airbnb – that is not available to rent on a short or long term lease but can generate large profits for the owner.
For example, a good property in a regional town, near the beach or one in inner Sydney could fetch $1000 for a weekend but just $800 on a weekly basis under a leasing arrangement, First National Real Estate CEO Ray Ellis said.
“It’s a lot easier to take your investment property out of the full-time rental mix and put it into the short-term rental mix which is basically AirBnB or weekend accommodation,” Ray Ellis told news.com.au.
“If you could get $800 a week by having someone there full-time but you can get $1000 for a Saturday and Sunday, and don’t have to go through all the extra legislation requirements, you’ll do it, because you’re making the same return,” he said.
‘Zombie Houses’ can save the Australian rental crisis
Australia needs a radical policy shift to solve the growing rental crisis. There is no end in sight for the current rental squeeze, especially with a return to high levels of immigration and international students to put further pressure on the rental market.
“With short stay rental accommodation options such as Airbnb taking so many home off the rental market, social housing today doesn’t solve the problem of those in need during this rental crisis,” First National Real Estate CEO Ray Ellis said.
“Investors do not want to deal with a long term tenant that pays them 600 a week when they can get $1000 a weekend or the equivalent of a year’s rent in holiday times.”
Ray Ellis said federal, state and local governments need to work together to solve the situation.”
Bad neighbour: Failure to disclose disruptive neighbour leads to $500K compensation
“The purchase of a Strata Inspection Report is a fundamental part of your due diligence when buying into any Strata, Community Title or Company Title building,” said Ray Ellis, First National Real Estate chief executive, who added such a report is as critical as a building and pest inspection when purchasing starta property.
Smart Property Investment magazine talk to Ray Ellis.
The West Australian Supreme Court decided that a buyer was entitled to rescind the contract on her purchase of the $390,000 unit because of the seller’s failure to disclose historical problems with a neighbour living upstairs in the strata complex.
The buyer discovered the issue herself after being informed of abuse directed at tradespeople undertaking renovations before she moved in. Further inquiries at that point revealed prior reports of belligerent behaviour on the part of the neighbour.
There is still an ongoing compensation claim being made by the buyer, which now exceeds $500,000. The ruling in the compensation claim rests on a determination of the fair value of the property, had the conduct of the neighbour been taken into account at the time of purchase.
First National Real Estate chief executive Ray Ellis has said this incident should serve as a warning to all parties involved in a strata sale.
Regional Migration. Just a fad or here to stay? Ray Ellis speaks to Electrical Gems magazine issue #169
According to stats released by the Australian Bureau of Statistics (ABS) earlier this year, regional Australia grew by almost 71,000 people in the 12 months to 30 June 2021. Regional NSW grew by 26,000 while regional Queensland shot up by almost 25,000.
"Firstly, there was an exodus from a safety point of view", says Ray Ellis, Chief Executiv of First National Real Estate. "And secondly, there was an exodus because people were working from home and re-evaluated what was important in their lives."
How latest interest rates rise will affect house prices, rental market. Ray Ellis speaks to news.com.au
There’s been lots of talk about how hard house prices will be hit by repeated interest rate rises, but as the Reserve Bank of Australia (RBA) prepares to hike the cash rate again, a new crisis is emerging.
First National Real Estate CEO Ray Ellis and Greville Pabst, Executive Chairman of property valuation firm WBP Group told news.com.au to expect rents to continue to surge as rates rise.
First National Real Estate Supports Thailand's Disabled. Ray Ellis presents $125,000 Thai Baht to APCD on behalf of First National Foundation.
The donation was presented to APCD’s Executive Director, Piroon Laismit, who thanked First National Real Estate for committing to host its annual convention in Thailand last year, before the country’s international border had opened.
‘We are incredibly grateful to to First National Real Estate’s 350+ delegates for coming to Thailand and for supporting the Thai economy, but especially for supporting the country’s disabled’ said Mr Laismit.
Can you get solar panels as a renter? Ray Ellis talks to news.com.au
First National Real Estate’s Chief Executive Ray Ellis said installing solar panels on rental properties has become a very popular choice in the past five years.
Ray Ellis on why now is the ideal time to buy in Inner City Melbourne
Read the full article on afr.com here
Agents are reporting fresh interest in inner city apartments in particular, First National Real Estate CEO Ray Ellis says.
Initiatives such as the temporary stamp duty concession is luring buyers, with a 50 per cent saving for new residential apartments under $1 million, for contracts entered into from 1 July, 2021 to 30 June, 2022, he explains.
How and why should I buy a property off-market?
Ray Ellis speaks to Harrison Astbury from savings.com.au
Real estate: Covid homebuying tactic that has changed real estate forever
Read full article on realestate.com.au here
Speaking to James MacSmith, Ray Ellis said: “First National has witnessed a five-fold explosion in homebuyers not physically touring a property before purchase – a new state of play that is set to stay.
“Pre-Covid, if we were selling 20 houses in a certain suburb, maybe one of those might have been sight-unseen,” he said.
“But now we are selling four or five a month that way.”
“People just don’t want to miss out. When that new home is about family happiness or a key lifestyle driver, buyers are comfortable buying it without physically walking through it. Everyone has re-evaluated what is most important to them and if they find a house that fits the bill they are going after it.”
Pandemic Pain Not Enough to Bet Against Melbourne Apartments
Ray Ellis interviewed for article on The Urban Developer
Rents surge a 'concerning' 13.7% in a year to a $508 median
"Naturally, Coronavirus and lockdowns have brought the advantages of home ownership into sharp relief over the past 18 months. Fundamentally, many Australians still aspire to having space and fresh air around them," Ray Ellis told Savings.com.au.
"When Australians first experienced freedoms being curtailed in major cities, our ingrained desire for 'the great brown land' took over and we saw a flight to the regions."