kincella
07-02-2009, 09:50 AM
some interesting tit bits from the KPMG accountant, come demographer.....I particularly like the bit about the baby element...to be added to existing houses....
... its my idea that one may be better off, renovating and extending a home you own...to add a bedroom if need be...to cater for all those gen y's who will stay home a few years longer, or come back home to roost...while things get tougher....
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extract
But there are other important differences between the 1991 recession and 2009. Interest rates are now lower and continue to fall. The cost of money is cheaper. The other point, and trust a demographer to point this out, is the current rate of population growth.
In the year to June 1992 (which included the horror December quarter of 1991), the number of people added to the Australian continent was 210,000, or 1.2 per cent.
Fast forward to today. The Australian nation added 350,000 residents, or 1.7 per cent, in the year to June 2008.
If 2009 is to be a recession year, then it will be different from our last big recession year (1991-92) on several fronts. Not only will interest rates be lower but our internal rate of growth (and therefore of housing demand) will remain high. Australia will be propelled through this downturn needing accommodation to house in excess of 300,000 new residents in the coming year.
******The kid (baby) element of this growth will be added to existing houses.
.................................................
http://www.theaustralian.news.com.au/business/story/0,28124,25008865-25658,00.html
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Ever met a wealthy person who complains and moans about everything ?
*** The best way to become a millionaire is to borrow a million dollars and have your renters pay it off.
Jack Miller
... its my idea that one may be better off, renovating and extending a home you own...to add a bedroom if need be...to cater for all those gen y's who will stay home a few years longer, or come back home to roost...while things get tougher....
.................................................. .........
extract
But there are other important differences between the 1991 recession and 2009. Interest rates are now lower and continue to fall. The cost of money is cheaper. The other point, and trust a demographer to point this out, is the current rate of population growth.
In the year to June 1992 (which included the horror December quarter of 1991), the number of people added to the Australian continent was 210,000, or 1.2 per cent.
Fast forward to today. The Australian nation added 350,000 residents, or 1.7 per cent, in the year to June 2008.
If 2009 is to be a recession year, then it will be different from our last big recession year (1991-92) on several fronts. Not only will interest rates be lower but our internal rate of growth (and therefore of housing demand) will remain high. Australia will be propelled through this downturn needing accommodation to house in excess of 300,000 new residents in the coming year.
******The kid (baby) element of this growth will be added to existing houses.
.................................................
http://www.theaustralian.news.com.au/business/story/0,28124,25008865-25658,00.html
--------------------------------------------------------------------------------
.
Ever met a wealthy person who complains and moans about everything ?
*** The best way to become a millionaire is to borrow a million dollars and have your renters pay it off.
Jack Miller