How long do you have to snap up a property in the current market?

You open up the real estate app on your phone, scroll through a few listings, and then there it is: the home of your dreams, ‘added 1 hour ago’. So just how long do you typically have to act in this hot market?

Well, let’s just say it definitely helps to have spoken to us about pre-approval if you’re actively house-hunting right now.

That’s because the average number of days properties are listed for sale on realestate.com.au reached record lows in every state in March, according to the REA Insights Housing Market Indicators Report April 2021.

And that’s likely got something to do with the fact that demand is extremely strong, with ‘views per listing’ at record highs.

So just how long are properties listed for?

The average number of days properties were listed on the realestate.com.au website was 48 in March 2021.

Properties sold the fastest in the ACT (average of 25 days listed), New South Wales (27 days) and Victoria (30 days).

Tasmania (37 days), South Australia (48 days) and Queensland (54 days) were positioned in the middle of the pack, however, they dropped 9, 17 and 19 days respectively over the course of the month.

And while properties in Western Australia (71 days) and the Northern Territory (59 days) took the longest time to sell on average, they recorded the largest falls in average time online over the past year, down 28 and 14 days respectively.

Views per listing and property price searches are also up

Properties are currently viewed an average of 1694 times on realestate.com.au – up from 819 in March 2020.

“This growth can be attributed to several factors, including record-low borrowing costs, government support packages for first-home buyers and limited available stock,” the REA report states.

Buyers are also on the hunt for more expensive properties than they were a year ago.

The percentage of searches for properties valued between $750,000 and $2,000,000 has increased to 52% in 2021, up from 47% in 2020.

Get in touch today to find out more about pre-approval

Make no mistake: competition amongst buyers is fierce.

More people are house hunting for more expensive properties, with fewer days to secure finance for the home of their dreams.

This all highlights the importance of exploring your borrowing options with us in advance, in order to increase your chances of securing a property in this hot market.

Disclaimer: The content of this article is general in nature and is presented for informative purposes. It is not intended to constitute tax or financial advice, whether general or personal nor is it intended to imply any recommendation or opinion about a financial product. It does not take into consideration your personal situation and may not be relevant to circumstances. Before taking any action, consider your own particular circumstances and seek professional advice. This content is protected by copyright laws and various other intellectual property laws. It is not to be modified, reproduced or republished without prior written consent.

COVID-19 repayment amnesty over: how to avoid a bad credit rating

The COVID-19 loan deferral program and credit reporting amnesty is now over, which means banks will report any late repayments on mortgage or small business loans to credit agencies unless you’ve entered into a hardship arrangement.

The banks’ mortgage deferral program and subsequent credit score reporting amnesty officially ended on April 1.

The package was created during the peak of COVID-19 to provide loan repayment relief for almost one million home and business loan borrowers facing financial hardship.

Luckily, many people have since been able to resume their repayments – as of late February, just 2,803 small business loans (1.2%) and 22,480 housing loans (5%) were still deferred, figures show.

But, we’re not out of the woods yet.

The JobKeeper wage subsidy scheme has also just officially ended, which has the potential to put tens of thousands of households and businesses at risk once more.

If you think you might be impacted by JobKeeper, read on

Latest reports indicate up to 150,000 workers could lose their jobs this month due to JobKeeper ending.

If your ability to repay your home or small business loan might be affected in the months ahead, then it’s important to act now, rather than wait until after you’ve missed a repayment.

That’s because by then it could be too late and it might end up on your credit file.

Your most appropriate course of action, however, will depend on your individual circumstances, which we’ve broken up into two categories below.

Category 1: Repayments will be tight, but possibly doable

If your upcoming loan repayments are looking tight, but possibly doable, then get in touch with us today to discuss some financing options that might make your repayments more manageable.

These options might include:

– switching to interest-only repayments for a period of time,
– renegotiating your rate with your current lender,
– refinancing to another lender,
– debt consolidation, or
– a combination of these and other measures.

Category 2: You don’t think you’ll be able to make your repayments

If you’ve lost your job due to JobKeeper ending, for example, and the chances of making your repayments are looking a little grim, then it’s important to get in touch with your bank today to discuss entering into a hardship arrangement.

Not only will this potentially give you some breathing space on your repayments, but it will help keep any missed payments off your credit file, as the Australian Banking Association states below:

“For customers that enter into another form of hardship or forbearance arrangement with their bank, banks will not report the repayment history information. Instead, they will leave the field blank for the duration of the arrangement.”

If you’d like to discuss any of the above in further detail please don’t hesitate to get in touch today – we’re here to help any way we can.

Disclaimer: The content of this article is general in nature and is presented for informative purposes. It is not intended to constitute tax or financial advice, whether general or personal nor is it intended to imply any recommendation or opinion about a financial product. It does not take into consideration your personal situation and may not be relevant to circumstances. Before taking any action, consider your own particular circumstances and seek professional advice. This content is protected by copyright laws and various other intellectual property laws. It is not to be modified, reproduced or republished without prior written consent.

Fixed mortgage rates set to rise in coming months: experts

House prices could jump 17% in 2021 and mortgage rates are set to rise much sooner than expected, ANZ Bank has tipped.

How much earlier than expected?

Well, the Reserve Bank has repeatedly said the official cash rate isn’t likely to increase for a few years, but ANZ senior economist Felicity Emmett believes fixed-mortgage rates have already reached their lowest point, or close to it.

In recent times, more than 30% of new loans have been at fixed rates, says Ms Emmett, with two to three-year fixed-term interest rates available below 2%.

But that’s unlikely to be the case for much longer, she believes.

“In the second half of the year these sub-2%, three-year fixed rates that we’re seeing advertised at the moment are less likely to be around,” says Ms Emmett.

“Cheaper funding is not available forever and that will feed through into variable mortgage rates too.”

Shane Oliver, Chief Economist at AMP Capital, also believes fixed mortgage rates “have already started to bottom out”.

“It’s likely that the 30-year tailwind for the property market of falling interest rates has now run its course and longer dated fixed rates (4+ years) are starting to rise,” adds Mr Oliver.

Wait, did you say ANZ is tipping property prices to increase 17%?

That’s right. ANZ economists expect house prices to rise by a “sharp” 17% across the capital cities in 2021.

They’re tipping Sydney and Perth to perform best with 19% growth, followed by Hobart (18%), Melbourne and Brisbane (16%), and Adelaide (13%).

ANZ’s forecast is much more bullish than those of Commonwealth Bank and Westpac, which in February predicted price increases of 8% and 10% respectively.

Ms Emmet says low housing stock levels are combining with FOMO (fear of missing out) to help drive up the market.

“Buyers are taking advantage of historically low interest rates, particularly fixed rates, as well as various government support programs,” Ms Emmet said.

Got a bit of FOMO yourself?

After the relative hibernation of last year, there’s certainly a lot going on in the world of property and finance right now.

So, if you’d like to chat to us about financing a new home you’ve got your eye on, or refinancing your existing loan, get in touch today and we’ll help sort out that FOMO for you.

Disclaimer: The content of this article is general in nature and is presented for informative purposes. It is not intended to constitute tax or financial advice, whether general or personal nor is it intended to imply any recommendation or opinion about a financial product. It does not take into consideration your personal situation and may not be relevant to circumstances. Before taking any action, consider your own particular circumstances and seek professional advice. This content is protected by copyright laws and various other intellectual property laws. It is not to be modified, reproduced or republished without prior written consent.

Free new mental health support service for small business owners

Floods, fire and pandemic – it’s been an incredibly tough 15 months for many Australian businesses. And with government support about to end, looking after your mental health will be just as important as taking care of your business’s financial health.

With the federal government’s COVID-19 JobKeeper wage subsidy scheme expiring on 28 March, experts are tipping as many as a quarter of a million jobs could be lost.

When you also consider that rental eviction moratoriums are coming to an end in several states, and flooding is taking place across large parts of Australia’s east, then there is a lot of pressure on small businesses owners across the country right now.

Australian Small Business and Family Enterprise Ombudsman (ASBFEO) Bruce Billson says it’s important for small business owners to consider their mental health and reach out if they’re not coping.

“Help is available to small business owners who need it. NewAccess for Small Business Owners offers free one-on-one telehealth sessions with specially trained mental health coaches providing evidence-based advice on strategies for managing stress,” he says.

Free mental health support

Developed by BeyondBlue, NewAccess is a confidential mental health program where coaches with a small business background work with business owners to tackle challenges.

Businesses can access up to six sessions, with the initial 60-minute assessment designed to talk through your challenges, develop a problem statement and create a personalised needs-based plan.

Subsequent half-hour sessions involve the business coach stepping you through your plan, providing practical tools for managing stress, and reviewing progress.

“Being able to talk to someone who understands the mental load of running a small business will make a real difference,” Mr Billson says.

“Small business owners who look after their mental health, can also help their business.”

No doctor’s referral or mental health treatment plan is required and the free service is available via phone or video call from 8am to 8pm.

Business health support

NewAccess has been incorporated into the ASBFEO’s My Business Health tool, which provides assistance in three key areas.

The section on how to keep your business afloat looks at government support, managing outgoings and cashflow.

How to manage your business explores COVID-19, staffing, workplace health and safety, resolving disputes and insolvency challenges. Where to access support includes a 5-minute wellbeing checkup, links to support services and natural disaster recovery.

And lastly, your business’s financial health

If it’s your business’s finances that are causing you stress, please know that there are lender support services to help you navigate financial challenges.

For example, Australian banks offer a range of financial support options to help farmers and small businesses affected by natural disasters, such as the NSW floods, which can include:

– a deferral of scheduled loan repayments
– waiving fees and charges, including break costs on early access to term deposits
– debt consolidation to help make repayments more manageable
– restructuring existing loans, without the usual establishment fees
– deferring interest payments on a case-by-case basis
– offering additional finance to help cover cash flow shortages.

If you’d like to talk through how some of these options may help your business, please don’t hesitate to get in touch with us or your lender today.

Disclaimer: The content of this article is general in nature and is presented for informative purposes. It is not intended to constitute tax or financial advice, whether general or personal nor is it intended to imply any recommendation or opinion about a financial product. It does not take into consideration your personal situation and may not be relevant to circumstances. Before taking any action, consider your own particular circumstances and seek professional advice. This content is protected by copyright laws and various other intellectual property laws. It is not to be modified, reproduced or republished without prior written consent.

How do you compare: how much of your pay goes to your mortgage?

The property market is going through a boom phase, which means housing affordability is getting tougher. So how much does the average Australian household need to put towards their monthly home loan repayments in the current market? Let’s take a look.

You’ve probably noticed the housing market is going a bit crazy at the moment.

FOMO has taken hold and many properties across the country are selling well above their reserve.

As such, housing affordability has deteriorated, says Moody’s Investor Service, reversing the improving trend seen in 2020 during the peak of the coronavirus crisis.

So what percentage of a pay cheque goes towards a typical home loan?

On average, two-income households need to put aside a quarter (24.6%) of their monthly income to meet repayments on a new home loan, as of February 2021.

That’s up from 22.7% in June and July 2020, when new mortgages were the most affordable they’ve been in a decade.

The deterioration in housing affordability was evident in all capital cities over the five months to February 2021, with Perth remaining the most affordable and Sydney the least.

That said, housing affordability still remains better than the ten-year average of 26.1% and well under its peak of 30.7% in April 2011.

That’s because the average mortgage interest rate has nearly halved to 3.65% since 2011, according to Moody’s.

Want to know how much you can borrow?

Got your eye on an exciting new property and want to know if you can get a loan for it?

Get in touch today and we’ll help you crunch the numbers, work out your borrowing capacity, and discuss your finance options.

Disclaimer: The content of this article is general in nature and is presented for informative purposes. It is not intended to constitute tax or financial advice, whether general or personal nor is it intended to imply any recommendation or opinion about a financial product. It does not take into consideration your personal situation and may not be relevant to circumstances. Before taking any action, consider your own particular circumstances and seek professional advice. This content is protected by copyright laws and various other intellectual property laws. It is not to be modified, reproduced or republished without prior written consent.

Do you have a succession plan in place for your business?

Who would take the reins of your family business if you had to take a step back from it? Turns out just one-in-six businesses have a proper plan in place. But rest assured you can develop your own succession plan fairly painlessly, with the help of a new guide.

So … it turns out the Murdochs aren’t alone when it comes to succession headaches.

Latest family business data from KPMG shows that just 17% of Australian family businesses have a documented succession plan to safeguard the longevity of their business.

That means a whopping 83% of businesses intend to wing it and do it on the fly.

Fortunately, the newly released ‘Introductory Guide to Family Business Succession Planning’ provides a step-by-step guide to passing the family business on to the next generation.

“Succession planning can be challenging,” Family Business Australia (FBA) CEO Greg Griffith says.

“But with the right approach, supported by quality information and advice, you can achieve rewarding outcomes.”

Why it’s important to have a plan in place

Australian Small Business and Family Enterprise Ombudsman Kate Carnell says there has never been a more important time to initiate a succession plan, given the highest proportion of business owners are aged between 45 and 59 years.

“Australia’s most successful family business stories – and there are many – are a result of well-executed succession planning,” Ms Carnell says.

“More than 60% of employing small business owners are approaching retirement age. This generational shift presents a number of challenges for the sector and the economy more broadly as some business owners may find it difficult to attract a buyer.”

Mr Griffith adds the easy-to-read guide offers tips on how to handle the kinds of tense conversations that can occur between family members throughout the transition phase.

“The key to families working well together is to have really open and honest communication – which can be difficult when your boss, colleague or direct report is also a member of your family,” Mr Griffith says.

“Our succession planning guide offers practical tips to ensure an orderly transition process.”

Understanding your family business’s finance situation

One critical area highlighted in the guide is the importance of your successor understanding your family business’s finance situation.

“You may also want to engage people outside the family and the business. In our experience, businesses can benefit from guidance from advisors in areas such as business finance: to understand the nuances of your family and business finances,” the report states.

Now, we understand that money and finances can be a difficult subject to discuss with family members.

So if you’re thinking of passing the baton to a family member – and you’d like help bringing them up-to-speed on your business’s finance obligations, opportunities and outlook – then please get in touch today.

We’re here to help your business succeed now, and in the hands of the next generation (engage!).

Disclaimer: The content of this article is general in nature and is presented for informative purposes. It is not intended to constitute tax or financial advice, whether general or personal nor is it intended to imply any recommendation or opinion about a financial product. It does not take into consideration your personal situation and may not be relevant to circumstances. Before taking any action, consider your own particular circumstances and seek professional advice. This content is protected by copyright laws and various other intellectual property laws. It is not to be modified, reproduced or republished without prior written consent.

$15,000 HomeBuilder grant deadline fast approaching

Thinking of building, buying a new home or renovating? The HomeBuilder scheme ends on March 31, which means you’ve got less than two weeks to take advantage of the $15,000 grant.

The Australian government scheme, which was initially due to end in December but was extended to 31 March, has led to a big spike in new home sales in recent months.

And experts are tipping HomeBuilder applications will continue to rise before the impending cut-off date.

“We expect a surge in sales in March,” says Housing Industry Association (HIA) Economist Angela Lillicrap.

“Record low-interest rates and rising house prices are sustaining market confidence into 2021. This strong level of consumer confidence combined with the demographic shift to regional areas is driving ongoing demand for new detached homes.”

What’s the HomeBuilder scheme again?

The current iteration of the HomeBuilder program provides eligible applicants with a $15,000 tax-free grant for building contracts (new builds and substantial renovations) signed between 1 January and 31 March 2021, inclusive.

Applications for the grant can be submitted to the relevant State Revenue Office by 14 April 2021, and construction must commence within six months of the building contract being signed.

There are a number of property price caps worth noting, too.

For new builds, the property value cannot exceed $950,000 in NSW, $850,000 in Victoria, or $750,000 in all other states and territories.

For renovations, the reno contract must exceed $150,000 and the value of the property cannot exceed $1.5 million (pre-renovation).

Properties eligible for the grant

Two weeks might feel like you’re cutting it a bit fine, right?

But rest assured there are a range of build and property types (including ready-to-go ones) that can be eligible for the grant if construction commencement deadlines are met, including:

– off-the-plan apartments
– house and land packages
– new home purchases
– new home builds (on vacant land)
– substantial renovations.

How to take advantage of the grant

With the HomeBuilder deadline now literally days away, it goes without saying that time is ticking.

So get in touch today for more information on how you can take advantage of this $15,000 grant before it ends.

Disclaimer: The content of this article is general in nature and is presented for informative purposes. It is not intended to constitute tax or financial advice, whether general or personal nor is it intended to imply any recommendation or opinion about a financial product. It does not take into consideration your personal situation and may not be relevant to circumstances. Before taking any action, consider your own particular circumstances and seek professional advice. This content is protected by copyright laws and various other intellectual property laws. It is not to be modified, reproduced or republished without prior written consent.

7 ways to make your property more attractive to potential buyers

Did you know more than a third of Australian homeowners are considering putting their property up for sale so they can take advantage of the current boom in prices? Here’s how to get your property looking spick and span for prospective buyers.

New data shows seller confidence is now higher than it was prior to the COVID-19 pandemic, with 35% of homeowners considering selling by 2026, Westpac says.

And 12% of homeowners are already in the process of putting their house on the market or are planning to do so in the next 12 months.

So, if you’re a homeowner keen to sell your property in the current hot market, below are seven ways you could make it more attractive to potential buyers.

1. Bathroom boost

We hate to say it, but your bathroom/s will likely attract more scrutiny from prospective buyers than any other room.

If your bathroom is moderately new and not too dated, simply pay some professional cleaners to get it sparkling.

However, if your bathroom is fairly dated, consider updating some of the obvious essentials such as a new sink or tapware, updated countertops and cabinets, and a fresh coat of paint.

Also, ensure the taps and shower head are shiny and not leaking, and the toilet is spotless.

2. Kitchen kit-out

Giving the bathroom a good run for its money in terms of scrutiny is the kitchen.

Rest assured there are ways you can revitalise it without blowing the budget, such as replacing old cupboards and pantry doors, upgrading the benchtops, and making sure the taps and electrical fittings are in good working order.

And don’t forget that your kitchen appliances also act as sales props. If they’re old and outdated, they’ll bring the rest of the kitchen down with them. The good news is if you have to buy new appliances, at least you can take them with you!

3. Floor flaws

Nothing screams “I’ve seen better days” like stained carpet, scuffed floorboards, or chipped tiles.

If the floor a prospective buyer is standing on is dirty and dated, it won’t be long until they start thinking about what else is wrong with the house that they can’t immediately see.

If it’s within your budget, definitely consider giving this part of your property a makeover before inviting potential buyers in.

4. Pot plants

One of the quickest and cheapest ways of making the inside of your home feel more alive is to add a bit of greenery in each room.

Pot plants are fantastic because they’re low maintenance, make your place look great, and are great for your health.

And once again, rather than leaving them behind, like most other things on this list, you can take them with you when you sell your property.

5. Energy efficiency

Properties with high energy-efficiency ratings typically sell for up to 10% more, a review of international research shows.

The government’s Your Home website is a great starting point when it comes to making your property more energy-efficient and environmentally sustainable.

It includes information and tips on how to include more energy-saving features in your home, which may include improved lighting technologies, insulation, draught sealing and batteries, to name a few.

6. Paint pizzazz

A fresh coat of paint can make a property look and feel new again. And fortunately, it’s among the most affordable ideas on this list.

Best to play it a little safe though and go for neutral creams and whites that will suit most people’s tastes – you’ll attract more interested buyers that way.

And remember, lighter shades like beige and white also give the impression of more spacious rooms.

Finally, don’t forget the ceilings, even if they’re hard to reach!

7. Gardening gains

First impressions last – so one way to instantly increase the initial ‘wow’ factor of your home is to upgrade its exterior.

Trim any overgrown bushes, mow the yard, apply grass seed where there are bare patches, get some new flowers and plants in the garden beds, and ensure the fence looks great.

If you don’t have the tools for the job, or you’re simply more of an indoors person, consider hiring a landscaper to help out.

Got your eye on your own property upgrade?

If you’re thinking about selling your current property to buy elsewhere, get in touch today to discuss your finance options and borrowing capacity.

We’d love to take some weight off your shoulders when it comes to everything finance, so you can focus on getting your current property ready for sale!

Disclaimer: The content of this article is general in nature and is presented for informative purposes. It is not intended to constitute tax or financial advice, whether general or personal nor is it intended to imply any recommendation or opinion about a financial product. It does not take into consideration your personal situation and may not be relevant to circumstances. Before taking any action, consider your own particular circumstances and seek professional advice. This content is protected by copyright laws and various other intellectual property laws. It is not to be modified, reproduced or republished without prior written consent.

Boom time: Australian home values surging at fastest pace in 17 years

It’s official: Australia’s housing market is in the midst of a broad-based boom, with the national home value surging 2.1% higher in February; the largest month-on-month change since 2003.

We haven’t seen this kind of fast-paced growth since Guy Sebastian robbed Nollsie to win Australian Idol, Roger Federer won his first of 20 grand slams (against the Scud at Wimbledon), and people primarily used their mobile phones to make calls (well, and play Snake).

The February surge, which was recorded by CoreLogic’s national home value index, was spurred on by a combination of record low mortgage rates, improving economic conditions, government incentives and low advertised supply levels.

What areas experienced growth?

Well, that’s the remarkable part.

Housing values rose in each capital city and rest-of-state region, highlighting the unusual and diverse nature of this housing upswing.

According to CoreLogic’s research director Tim Lawless, a synchronised growth phase like this hasn’t been seen in Australia for more than a decade.

“The last time we saw a sustained period where every capital city and rest-of-state region was rising in value was mid-2009 through to early 2010, as post-GFC stimulus fueled buyer demand,” says Mr Lawless.

So which areas performed best then?

Sydney and Melbourne were among the strongest performing markets, recording a 2.5% and 2.1% lift in home values over the month respectively, and making up for their weaker performances throughout 2020.

The quarterly trend, however, favours the smaller cities, including Darwin (up 5.5% over the past three months), Hobart (4.8%), Perth (4.2%) and Canberra (3.7%).

And Mr Lawless says whether Sydney and Melbourne can sustain their new found growth is yet to be determined.

“Both cities are still recording values below their earlier peaks, however at this current rate of appreciation it won’t be long before Australia’s two most expensive capital city markets are moving through new record highs,” he adds.

“With household incomes expected to remain subdued and stimulus winding down, it is likely affordability will once again become a challenge in these cities.”

New home lending is up, cash rate remains on hold

There were two other very interesting pieces of news this week definitely worth noting for soon-to-be borrowers and refinancers.

Firstly, latest figures from the Australian Bureau of Statistics show the value of new home lending hit $28.75 billion in January, up a whopping 44% from the same time a year earlier in seasonally-adjusted terms.

That’s a record high, according to the ABS, and is reflective of the record low interest rates currently available.

Meanwhile, the Reserve Bank of Australia (RBA) kept the official cash rate on hold at 0.1% during their March meeting.

Now, the RBA Governor Philip Lowe once again stated he doesn’t believe that the economic conditions required to increase the cash rate will be met until at least 2024.

But, there are more and more economic pundits suggesting he might be forced into a change of heart if the prudential regulator (APRA) doesn’t introduce lending caps to help cool the booming property market.

So with all that in mind, if you’d like to explore your borrowing or refinancing options in the current lending landscape – before any potential changes come into play – get in touch today.

We’re here to help you with all your home loan and refinancing needs.

Disclaimer: The content of this article is general in nature and is presented for informative purposes. It is not intended to constitute tax or financial advice, whether general or personal nor is it intended to imply any recommendation or opinion about a financial product. It does not take into consideration your personal situation and may not be relevant to circumstances. Before taking any action, consider your own particular circumstances and seek professional advice. This content is protected by copyright laws and various other intellectual property laws. It is not to be modified, reproduced or republished without prior written consent.

SME credit demand improves, lenders begin next phase of COVID-19 support

Things are starting to look better for small business owners across the country with just 5% of deferred business loans yet to resume repayments. Meanwhile, there are signs that business credit demand is improving, especially when it comes to asset finance.

The first bit of data comes from the Australian Banking Association (ABA), which shows just 11,263 business loans across the country are yet to resume repayments.

That’s a huge drop from the height of the pandemic back in June when more than 200,000 small business loans were deferred.

With automatic loan deferrals now coming to an end, the next phase of support for borrowers who are unable to make reduced repayments or restructure their loans will involve assistance from specialised hardship teams.

As part of this support, banks have developed an industry-wide, consistent approach to hardship and a new online assistant hub to guide customers in financial hardship and improve transparency.

“Customers can expect a thoughtful and compassionate approach, with clear and transparent explanations, regardless of who they bank with,” says ABA CEO Anna Bligh.

Credit demand improving

The other positive news for business confidence around the nation is that credit demand is showing signs of recovery, especially when it comes to asset finance.

Equifax’s Quarterly Business Credit Demand Index for the December 2020 quarter shows that while business loan applications were down 10.1% from the year before, the rate of decline has softened.

Applications in Victoria were up 7% in December 2020 compared to the September quarter, closely followed by Queensland and Western Australia (+5%).

Better yet, asset finance applications were actually 0.2% higher than the same period a year earlier.

“While overall business credit demand remains down, it is encouraging to see that there are signs of a turnaround,” says Equifax’s General Manager Commercial and Property Services Scott Mason.

“The lifting of extended restrictions in Victoria has allowed for a rebound in business credit applications driven by asset finance.”

How’s 2021 looking for your business?

If you’re starting to feel confident about your business’s outlook in 2021, and you want to explore your finance options to make the most of any upcoming opportunities, then please get in touch.

It’s worth mentioning that the federal government's temporary full expensing’ scheme – which allows businesses to immediately deduct the business portion of the cost of eligible new depreciating assets – is in place until 30 June 2022.

If you’d like to find out more about how it could assist with your business’s cash flow when purchasing assets, feel free to give us a call today.

Disclaimer: The content of this article is general in nature and is presented for informative purposes. It is not intended to constitute tax or financial advice, whether general or personal nor is it intended to imply any recommendation or opinion about a financial product. It does not take into consideration your personal situation and may not be relevant to circumstances. Before taking any action, consider your own particular circumstances and seek professional advice. This content is protected by copyright laws and various other intellectual property laws. It is not to be modified, reproduced or republished without prior written consent.

Tick tock – is time running out for first home buyers?

The first home buyer market had a bumper year in 2020 due to modest declines in property prices, reduced investor activity, and a range of government incentives. But with those advantages tailing off, how will first home buyers compete in 2021?

Another week, another big bank tipping national property prices are set to boom.

This week it was Westpac’s turn, with their senior economist tipping property prices to increase 10% in 2021 and another 10% in 2022.

This follows AMP predicting a 5-10% property price increase in 2021, and Commonwealth Bank expecting house prices will increase by 9% in 2021 and 7% in 2022.

Meanwhile, auction clearance rates are high – in the 80% plus range, according to CoreLogic.

So is time running out for first home buyers?

Not at all, but it sure won’t get any easier as property prices increase throughout the year.

Furthermore, the federal government’s HomeBuilder scheme is set to finish at the end of March.

The scheme provides buyers with $15,000 grants to build or substantially renovate homes that are generally in the first home buyer price range.

With the above in mind, the REA Insights Property Outlook Report 2021 states that ‘first home buyers are set to moderate in 2021’.

“In 2021, it is unlikely first home buyers will continue to be as active as they were. Prices are moving quickly; investors are coming back and any incentives available to first home buyers are likely to be eased,” the recently released report says.

The REA adds that first home buyers tend to be more active in slower markets when they can take their time.

But with savvy property investors returning to the market, this can add pressure to first home buyers.

“Investors and first home buyers frequently target the same sorts of properties at similar price points,” explains the report.

So what can first home buyers do to compete in 2021?

Rest assured there are a number of strategies first home buyers can employ to crack the property market in 2021.

With competition for properties heating up, it’s important to have your ducks-in-a-row when it comes to finance before you start looking.

This can help you find properties within your price range, identify any additional costs you may not have factored in yet, and make an offer while your preferred property is still available.

It’s also worth noting that the federal government is set to release another 10,000 spots in its First Home Loan Deposit Scheme on July 1, which can help you buy your first home with a deposit of just 5% without having to pay lenders mortgage insurance (LMI).

Another consideration is shifting the focus of your property search – whether that be the location or property type.

For example, house prices are predicted to grow a lot quicker than apartment prices this year.

So if you’re not quite ready to buy just yet, and it appears that properties are rising quickly out of your price range, consider that the apartment market should move more slowly.

Get the ball rolling today

If you’d like to discuss more options when it comes to obtaining finance to pay for your much-anticipated first home, get in touch with us today.

As mentioned above, the more prepared you are when it comes to financing your first home, the less stressful the whole buying process will be.

Disclaimer: The content of this article is general in nature and is presented for informative purposes. It is not intended to constitute tax or financial advice, whether general or personal nor is it intended to imply any recommendation or opinion about a financial product. It does not take into consideration your personal situation and may not be relevant to circumstances. Before taking any action, consider your own particular circumstances and seek professional advice. This content is protected by copyright laws and various other intellectual property laws. It is not to be modified, reproduced or republished without prior written consent.

“On the cusp of a boom”: CBA’s assessment of the housing market

Australia’s housing market is on the “cusp of a boom”, with house prices set to leap 16% over the next two years, according to the Commonwealth Bank (CBA).

The head of economics at Australia’s biggest bank, Gareth Aird, predicts national house prices will surge 9% in 2021 and a further 7% in 2022.

Apartment prices meanwhile are predicted to rise 5% in 2021 and 4% in 2022.

“The negative impact that COVID-19 had on Australian property prices turned out to be much more muted than almost any forecaster expected,” Mr Aird has written in a note to clients.

The CBA prediction is similar to that contained in an internal RBA FOI document, which projects house prices could rise by up to 30% if interest rates remain low over the next three years (which the RBA has indicated will happen).

So what can we expect across the country?

In Sydney and Melbourne, dwelling (house and apartment) prices are predicted to grow by at least 12% in the next two years, says Mr Aird.

That would see Sydney’s median dwelling price increase by a whopping $160,000 to $1.2 million, and Melbourne’s median dwelling price increase by $110,000 to $920,000.

Meanwhile, Perth values are tipped to rise 17.7% ($99,000), Brisbane 16.6% ($102,000), and Canberra 15.5% ($132,000).

Rounding out the capital cities, Adelaide is predicted to increase 14.5% ($86,000), Hobart 15% ($87,000) and Darwin 18% ($99,000).

So when and why are property prices set to increase?

Well, it appears as though the “boom” may have already just begun, Mr Aird explains in a CBA podcast.

“Over the first two weeks of February, national prices are up 0.8%. So we’re looking at over 1.5% in February alone,” says Mr Aird.

“Prices are now rising in all capital cities. And they’re rising quite quickly.”

Mr Aird says a strong indicator for property prices is lending figures, and over the last four to five months lending has picked up quite significantly.

“It’s quite intuitive when you think about it. The money that people borrow ends up going into the housing market, and that then pushes up housing prices. There’s usually about a six month lead time,” he explains.

“Initially, that (lending) was with owner-occupiers, but more recently it has spilled over to investors. And that is now feeding into house prices.”

Another strong indicator is auction clearance rates, adds Mr Aird.

“They are very, very firm at the moment. Nationally we’re seeing it sit in the 80s (percent), which historically has been consistent with double-digit dwelling price growth,” he says.

Other key momentum builders are the RBA advising that the record-low official cash rate won’t increase until 2024, says Mr Aird, and strong recovery in the labour market.

“The fact that the Reserve Bank has given explicit public guidance that rates are going to stay very, very low for a number of years, that’s given borrowers a lot of confidence to go out there and take on debt,” he says.

“All of those inputs that go into our model are screaming that house price rises could be faster than at any point we’ve seen before, and our model goes back 10 years.”

Explore your options

If you’re one of the many prospective homebuyers who are feeling confident about the housing market right now and want to explore your financing options, get in touch today.

We’re more than happy to help you determine whether you can finance that home you have your eye on before the next housing boom takes off.

Disclaimer: The content of this article is general in nature and is presented for informative purposes. It is not intended to constitute tax or financial advice, whether general or personal nor is it intended to imply any recommendation or opinion about a financial product. It does not take into consideration your personal situation and may not be relevant to circumstances. Before taking any action, consider your own particular circumstances and seek professional advice. This content is protected by copyright laws and various other intellectual property laws. It is not to be modified, reproduced or republished without prior written consent.

Digital transformation: how does your business compare?

How well placed is your retail business when it comes to its digital transformation? Today we’ll look at some of the ways your competitors might be complementing their bricks and mortar stores with online empires.

For some retailers, COVID-19 was the death knell for their business. For others, it gave a much-needed nudge to supplement in-store sales with thriving online hubs.

So how well did you transform your business compared to your competitors in 2020?

Well, Retail Express conducted a benchmarking study of 22,000 Australian and New Zealand retailers across multiple sectors throughout 2020.

It looked at something called “omni-channel” retail, which is defined as “an approach to sales that focuses on providing seamless customer experience whether the client is shopping online, from a mobile device, a laptop or in a brick-and-mortar store”.

The study’s key findings

Founder and CEO of Retail Express, Aaron Blackman, says “the quality of a retailer’s eCommerce store, Click & Collect services and home delivery speed have now become key factors in who consumers decide to shop with.”

And the study demonstrates significant opportunities for Australian retail businesses to improve, with less than a third of surveyed retailers offering key omni-channel practices:

Click and collect: 26% of retailers offer this service

Display stock in store on website: 14%

Display live inventory available for online orders: 3%

Ship from store: 21%

Cross-channel gift vouchers: 26%

Inter-store stock transfers: 21%

Pre-orders: 13%

Investing in tech moving forward

As a business owner, it’s important not to think of 2020 as a once-off. Instead, consider that disruption is the new normal.

As such, Mr Blackman says retailers should be constantly thinking of ways to improve their omni-channel offerings.

“Just offering online shopping with Click & Collect will no longer be a competitive advantage, same day Click & Collect, and the speed of home delivery will be the benchmark,” he suggests.

In 2021 and beyond, digital transformation will be a significant priority as retailers look for ways to adapt to future disruptions, adds Mr Blackman.

“Now is the time for retailers to plan and design a robust and flexible operating model including a review of current systems and technology looking for all possible efficiency gains,” he says.

Get in touch

If you think now is the time to invest in your digital offerings, then get in touch today to discuss your funding options.

Obtaining the right finance is an important step when it comes to implementing the right technology, processes and personnel to fund your business’s future.

Disclaimer: The content of this article is general in nature and is presented for informative purposes. It is not intended to constitute tax or financial advice, whether general or personal nor is it intended to imply any recommendation or opinion about a financial product. It does not take into consideration your personal situation and may not be relevant to circumstances. Before taking any action, consider your own particular circumstances and seek professional advice. This content is protected by copyright laws and various other intellectual property laws. It is not to be modified, reproduced or republished without prior written consent.

Back up for grabs: 1800 first home buyer scheme spots reissued

Great news just in for first home buyers: the Australian government will reissue 1800 First Home Loan Deposit Scheme (FHLDS) spots from the 2019-20 financial year.  

The 1800 spots are back up for grabs because people who previously reserved a spot in the Australian government scheme were unable to complete the purchase of their first home.

Their loss can be your gain!

The FHLDS allows eligible first home buyers to break into the property market sooner, as you only need a 5% deposit to purchase a property without paying for lenders mortgage insurance (LMI).

This can save you anywhere between $4,000 and $40,000, depending on the property price and the deposit amount you’ve saved.

More locations now possible

Ok, so the FHLDS has these things called ‘property price thresholds’.

Basically, they mean you can only qualify for the scheme if you purchase a property under a certain price tag in certain locations.

The good news is that the thresholds were recently increased to allow first home buyers a greater range of options.

And helpfully, property research group CoreLogic has just identified suburbs that – due to COVID-19 and the slight impact it had on inner-city apartment prices – are now a prime option for first home buyers in Sydney, Melbourne, Brisbane and Perth.

They’ve identified 23 suburbs where median unit values have slipped below the FHLDS property price thresholds in the past 12 months.

Here’s the full list, but some highlights include:

Sydney: Strathfield, Arncliffe, Ashfield, Gladesville, Wentworth Point.

Melbourne: Brunswick, South Melbourne, St Kilda East, Thornbury, Docklands.

Brisbane: South Brisbane.

Perth: Munster.

Time’s ticking!

It’s important to note that FHLDS spots are usually reserved pretty quickly.

So if you’re thinking about purchasing your first home soon and want to make the most of the scheme, give us a call today – we’ll help you get the ball rolling on applying with one of the scheme’s participating lenders.

And even if you are unable to jag one of the 1800 reissued spots, you’ll be in a prime position to apply when a further 10,000 spots are released on July 1.

Disclaimer: The content of this article is general in nature and is presented for informative purposes. It is not intended to constitute tax or financial advice, whether general or personal nor is it intended to imply any recommendation or opinion about a financial product. It does not take into consideration your personal situation and may not be relevant to circumstances. Before taking any action, consider your own particular circumstances and seek professional advice. This content is protected by copyright laws and various other intellectual property laws. It is not to be modified, reproduced or republished without prior written consent.

Record-breaking: 5 big property trends in 2021

After a bumpy 2020, 2021 is already rewriting the record books. From property prices, to interest rates, to refinancing – no matter which way you look records are being broken. Today we’ll look at why property market sentiment is riding so high.

How quickly things can turn around.

It wasn’t too long ago (9-10 months, to be more precise) that many highly-regarded economists were predicting property prices could plummet 30% due to COVID-19.

Instead, now we’re seeing official RBA documents predict that house prices could increase 30% over the next three years, so long as the official cash rate remains near record low levels (at or below 0.5%).

Suffice to say, market sentiment is soaring. So let’s take a look at some of the records currently being broken.

1. Record high housing values

Australian housing values have just reached a new record high as prices continue to rise across the country, according to CoreLogic.

In fact, housing values have surpassed pre-COVID levels by 1.0%, and the index is 0.7% higher than the previous September 2017 peak.

Every capital city and rest-of-state region recorded a rise in housing values in January, ranging from a 2.3% surge in Darwin to a relatively mild 0.4% rise in Sydney and Melbourne.

And unsurprisingly, regional housing values are rising at more than twice the pace of capital city markets due to COVID-19.

“Better housing affordability, an opportunity for a lifestyle upgrade and lower density housing options are factors that might be contributing to this trend, along with the new found popularity of remote working arrangements,” says CoreLogic’s research director, Tim Lawless.

2. Record low interest rates

In case you missed it, the RBA cut the official cash rate three times in 2020, with the last reduction in November taking the rate to just 0.1%.

At the same time, competition amongst lenders is fierce, with many offering record-low home loan rates in a bid to win over as many customers as possible.

3. Record high refinancing numbers

With record-low interest rates, it makes sense that we’re also seeing a record number of mortgage holders refinance their home loans to save themselves thousands of dollars.

According to ABS data, last year, the total number of home loan customers who switched providers increased by 27% – from 143,664 in 2019 to 182,016 in 2020.

And experts are predicting the number of externally refinanced loans will grow by 9% this year, according to a recent Finder survey, meaning nearly 200,000 Aussies will switch to another lender in 2021.

4. Record house building approvals

Private house approvals rose for the sixth consecutive month in December and reached a record high, according to Australian Bureau of Statistics (ABS) data.

In fact, private house building approvals surged 55.6% over the year.

“Federal and state housing stimulus measures (such as HomeBuilder), along with record low-interest rates have contributed to strong demand for detached dwellings,” says Daniel Rossi, Director of Construction Statistics at the ABS.

5. Record-high market positivity

With all of the above in mind, it’s no wonder that buyer confidence is surging.

In fact, positive sentiment among those in the property market has reached a record high, and negative sentiment is at an all-time low, according to ME Bank’s latest Quarterly Property Sentiment Report.

The buoyed sentiment is being supported by expectations for residential property price increases, higher levels of market activity and a combination of record-low interest rates and government stimulus incentives, says ME Bank.

That’s pretty much everything we’ve just touched upon today.

So, if you’re feeling pretty confident yourself and are looking to buy, or you think you’re overdue for refinancing, get in touch today.

We’re here to help you with all your funding and refinancing needs.

Disclaimer: The content of this article is general in nature and is presented for informative purposes. It is not intended to constitute tax or financial advice, whether general or personal nor is it intended to imply any recommendation or opinion about a financial product. It does not take into consideration your personal situation and may not be relevant to circumstances. Before taking any action, consider your own particular circumstances and seek professional advice. This content is protected by copyright laws and various other intellectual property laws. It is not to be modified, reproduced or republished without prior written consent.

How will your business bounce back from 2020?

If you’re worried about how to recover from the horror show that was 2020, you’re not alone. Two-thirds of Australian small to medium businesses feel the same way, research shows.

As SMEs look towards “COVID-normal” in 2021, many are wondering how they will rebound from the stresses and strains of the past year.

In fact, as many as 65% of businesses are worried about having a clear recovery pathway, according to findings from business banking analysis firm East & Partners.

And despite the government support on offer during the pandemic, almost half of surveyed businesses (47%) said they had difficulty accessing government-guaranteed loans during COVID-19.

COVID-19 exacerbates existing concerns

These COVID-specific concerns come as businesses experience a marked increase in perennial concerns, the ScotPac-commissioned research also shows.

In the past 18 months, the biggest shift has been businesses finding funders harder to deal with than normal, with 56% of businesses saying this was an issue compared to 47% in 2019.

And there has been a marked increase in businesses frustrated that their funder isn’t meeting their needs (22%, up from 16%).

The top three concerns have been loan conditions (84%), having to provide property security (80%) and lack of flexibility (74%).

More businesses seek specialist advice

Amid the horror show of 2020, SME reliance on trusted advisors grew.

53% of SMEs relied more on their key advisor – such as their broker or accountant – during the pandemic.

And the vast majority (82%) said this had a positive impact on their business.

Path to recovery

Moving forward, the report states that “successfully navigating out the other side of the COVID crisis requires SME owners not to delay making the hard decisions about their business.”

“These hard decisions include assessing business viability, pinpointing the best way to fund the business, working out how to deal with the end of JobKeeper (if not for themselves, for the impact this will have on their supply chains) and planning for what happens when ATO debts are enforced and other deferred debts fall due.”

If you think you might have trouble navigating some of these hard decisions, then please get in touch today – we’re here to help you explore your business’s finance and funding options.

Disclaimer: The content of this article is general in nature and is presented for informative purposes. It is not intended to constitute tax or financial advice, whether general or personal nor is it intended to imply any recommendation or opinion about a financial product. It does not take into consideration your personal situation and may not be relevant to circumstances. Before taking any action, consider your own particular circumstances and seek professional advice. This content is protected by copyright laws and various other intellectual property laws. It is not to be modified, reproduced or republished without prior written consent.

How did your suburb fare during the COVID-19 crisis?

When coronavirus broke out across Australia, doomsday reports tipped the property market could fall as far as 30% across the country. Fortunately, that wasn’t the case. Here’s how to find out how your suburb actually fared.

A realestate.com.au analysis shows that property prices actually grew in most Australian suburbs throughout 2020.

Yep, that’s right.

Despite prolonged lockdowns in some parts of the country (especially Melbourne), most suburbs experienced year-on-year growth in 2020.

Go and have a look for yourself using this realestate.com.au interactive tool to see how your suburb did.

So which suburbs did best?

It should come as no surprise that lifestyle suburbs and coastal areas (such as Pearl Beach in NSW, pictured) ranked consistently high, given that many people had a taste of working from home and might not ever have to return to their inner-city offices.

But houses in plenty of trendy inner-city suburbs did well too, such as St Lucia in Brisbane (up 35%) and Brunswick East in Melbourne (up 20%).

Below are the suburbs that experienced the largest percentage increase in house prices in each state and territory:

NSW: Pearl Beach (46%), North Avoca (44%), Glenorie (38%), Woollahra (35%), Clovelly (34%).

VIC: Portsea (34%), Tyabb (28%), South Melbourne (23%), Collingwood (22%), Brunswick East (20%).

QLD: St Lucia (35%), Virginia (24%), Yeronga (20%), Woodford (19%), Kilcoy (19%).

WA: Kelmscott (39%), Coodanup (30%), Medina (22%), Madora Bay (20%), Mosman Park (20%).

SA: Hove (36%), Port Noarlunga South (27%), Glenelg East (22%), Blackwood (22%), Craigburn Farm (22%).

TAS: Dodges Ferry (26%), New Norfolk (25%), Berriedale (18%), Bridgewater (17%), Rokeby (17%).

ACT: Ainslie (34%), Lyneham (23%), O’Connor (21%), Palmerston (20%), Garran (20%).

NT: Berriham (12%), Zuccoli (8%), Durack (8%), Muirhead (6%), Leanyer (2%).

So why didn’t property prices take a dive?

Director of economic research at realestate.com.au Cameron Kusher says there are several reasons why property prices didn’t fall dramatically, but the key reason is the unprecedented amount of stimulus that was pumped into the economy.

“HomeBuilder has stimulated new housing, JobKeeper has kept many Australians employed and the relaxation of bankruptcy laws along with lenders offering mortgage holidays ensured we didn’t see a rise in forced sales,” Mr Kusher says.

Another key reason is record-low borrowing costs.

Indeed, the RBA cut the official cash rate three times to 0.1% in 2020, and as such interest rates are now at record low levels.

“Historic low borrowing costs at a time when people are spending less has seen more demand flow into the housing market, driving up sales and supporting price levels,” adds Mr Kusher.

How to make property more affordable

As mentioned above, interest rates are at record low levels and there are still a number of government stimulus packages available to help make your next property purchase more affordable.

If you’d like us to run you through some of the support and interest rate offers in more detail, give us a call today – we’d love to help you explore your options.

Disclaimer: The content of this article is general in nature and is presented for informative purposes. It is not intended to constitute tax or financial advice, whether general or personal nor is it intended to imply any recommendation or opinion about a financial product. It does not take into consideration your personal situation and may not be relevant to circumstances. Before taking any action, consider your own particular circumstances and seek professional advice. This content is protected by copyright laws and various other intellectual property laws. It is not to be modified, reproduced or republished without prior written consent.

House prices projected to jump 30% in three years: RBA

It’s the document that was never meant to see the light of day. But a Freedom of Information request reveals the Reserve Bank of Australia projects a 30% increase in house prices if interest rates remain low for the next few years.

The internal, not-meant-for-public-viewing analysis by the RBA looks at the impact of low interest rates on asset prices, including property.

The November 2020 document projects that housing prices could increase by 30% after about three years, so long as the official cash rate remains near record low levels (at or below 0.5%).

And that part of the equation looks promising, as the RBA board said they “weren’t expecting to increase the cash rate for at least three years” when they cut it to 0.1% in November.

What does this mean for property owners?

A lot more than just a potential 30% increase in the value of their property.

The RBA says both households and businesses can expect their borrowing capacity to increase, too.

That’s because low interest rates will lift asset prices (including property), which in turn will boost wealth, household spending and the value of collateral.

And as the value of collateral increases, so too will the borrowing capacity of households and businesses, the RBA document states.

What about prospective property owners?

With house prices projected by the RBA to rise 30% over the coming three years, it begs the question: is now a good time to jump into the property market?

Well, like most things in life, it will depend on your earnings, savings, borrowing capacity, goals, and where you’re at in life right now.

But it’s worth noting that there are a wide variety of generous federal and state government initiatives currently on offer, including the First Home Loan Deposit Scheme, HomeBuilder and stamp duty exemptions/concessions.

The quickest way to find out whether you can finance that home you have your eye on is to get in touch with us today – we’d love to explore your financing options with you.

Disclaimer: The content of this article is general in nature and is presented for informative purposes. It is not intended to constitute tax or financial advice, whether general or personal nor is it intended to imply any recommendation or opinion about a financial product. It does not take into consideration your personal situation and may not be relevant to circumstances. Before taking any action, consider your own particular circumstances and seek professional advice. This content is protected by copyright laws and various other intellectual property laws. It is not to be modified, reproduced or republished without prior written consent.

What are Australia’s most popular vehicles? The 2020 results are in

Long gone are the days of Holden vs Ford. These days it’s all about the SUV vs the great Australian ute. So which vehicle type topped the list in 2020?

Let’s wind back the clock a bit.

It’s the year 2000: we’ve dodged Y2K (phew!), you can still photograph your kids sitting next to the pilot, and you’re either a fan of Peter Brock (Holden) or Dick Johnson (Ford) – never both.

Back then the Holden Commodore and Ford Falcon were our two top-selling vehicles, both of which have been discontinued in recent years.

How times change, huh?

So what’s the most popular kind of vehicle in 2020?

These days it’s all about the SUV, which is getting more and more popular.

In fact, SUVs claimed 49.6% of the market during 2020, an increase from 45.5% market share in 2019, according to the Federal Chamber of Automotive Industries (FCAI).

Light commercial vehicles (LCVs) – mainly utes and vans – were also popular in 2020, with 22.4% market share.

Sales for this vehicle type were no doubt boosted by the federal government’s instant asset write off scheme – now expanded to ‘temporary full expensing’ – which allows businesses to immediately deduct the business portion of the cost of eligible new depreciating assets.

What are the most popular brands and models in 2020?

The highest-selling brand for the year was Toyota, with an impressive 204,801 vehicles sold for a whopping 22.3% market share in Australia, says the FCAI.

In second place was Mazda (85,640 sales for 9.3% market share), followed by Hyundai (64,807 sales for 7.1% market share).

In fourth place was Ford (59,601 sales for 6.5% market share), narrowly beating out Mitsubishi (58,335 sales for 6.4% market share).

It’s interesting to note that out of the top ten vehicles for the year, seven of them were either SUVs or LCVs.

So without further ado, the top-selling vehicles for the year 2020 were:

1. Toyota HiLux (45,176 sales)
2. Ford Ranger (40,973)
3. Toyota RAV4 (38,537)
4. Toyota Corolla (25,882)
5. Toyota Landcruiser (25,142)
6. Mazda CX-5 (21,979)
7. Hyundai i30 (20,734)
8. Mitsubishi Triton (18,136)
9. Toyota Prado (18,034)
10. Kia Cerato (17,559).

Got your eye on a vehicle? Get in touch

If you’re thinking of purchasing a new vehicle and want to explore your finance options for it, then please get in touch.

As mentioned above, if you’re a business owner and need to use the vehicle for your business, you might be able to take advantage of the federal government’s ‘temporary full expensing’ scheme, which is designed to help boost your business’s cash flow.

To find out more, please get in touch with us today – we’d love to help you hit the road in a new set of wheels.

Disclaimer: The content of this article is general in nature and is presented for informative purposes. It is not intended to constitute tax or financial advice, whether general or personal nor is it intended to imply any recommendation or opinion about a financial product. It does not take into consideration your personal situation and may not be relevant to circumstances. Before taking any action, consider your own particular circumstances and seek professional advice. This content is protected by copyright laws and various other intellectual property laws. It is not to be modified, reproduced or republished without prior written consent.

Apply for small business funding in as little as ten minutes

If you need funds to keep the momentum going in your business, we may be able to help with a flexible funding solution. With fast application and decision and a dedicated business lending specialist to help you, the application process is simple and easy.

How it works

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Standard credit approval criteria, fees, terms and conditions apply. Australian credit licence 454782.

The small business loan products (Small Business Loan and Business Line of Credit) are offered by Prospa Advance Pty Ltd ACN 154 775 667. Prospa is the lender. We are the introducer only and may receive a commission or referral fee from Prospa in connection with any referral. Eligibility and approval is subject to standard credit assessment and not all amounts, term lengths or rates will be available to all applicants. Fees, terms and conditions apply.

Disclaimer: The content of this article is general in nature and is presented for informative purposes. It is not intended to constitute tax or financial advice, whether general or personal nor is it intended to imply any recommendation or opinion about a financial product. It does not take into consideration your personal situation and may not be relevant to circumstances. Before taking any action, consider your own particular circumstances and seek professional advice. This content is protected by copyright laws and various other intellectual property laws. It is not to be modified, reproduced or republished without prior written consent.