Tax cuts, rate cuts and an easing of loan rules – Ye-ha for property!

• The Australian Prudential Regulation Authority (APRA) has proposed removing the 7 to 7.2 % serviceability buffer on home loans to stimulate credit growth and ease the housing downturn.
• The RBA is now widely expected to lower the cash rate at next month’s meeting after national unemployment rose in April to 5.2% even as hiring beat forecasts giving some mixed messages.
• Growth in mining jobs in WA have some suggesting a skills shortage is looming.
• Iron ore prices are in focus with the spot price cracking US$100 a tonne for the first time in 5 years on Friday.
• With the Aussie dollar just under $US .69c our exporters will be jumping for joy.
• Post-election euphoria continued on markets with the S&P ASX 200 hitting a 12-year high closing at 6500.1 yesterday. Continuing tension between China and the US and slower global trade growth suggest the excitement will subdue over the next few days.
• With the election uncertainty out the way and a majority government in power, all eyes are turning to an upswing in the property market. Call me now for a plan to get you moving.