Posted to The Age (5/11/2011) on 6/11/2011 at 11:35 AM
Commenting on "The Block unearths home truths about renovation spending"
http://theage.domain.com.au/real-estate-news/the-block-unearths-home-truths-about-renovation-spending-20111105-1n0qw.html
Read http://sinfongchaneconomy.blogspot.com/2011/10/australian-consumers-starting-to-spend.html and other by the same author.
It is presumptuous that TV program The Block has great influence on renovation resulting in such positive impact on the economy. Insurance claims on damaged properties caused by unseasonal strong winds, storms and floods of previous few months do not get processed overnight. The delay effect comes through likely and coincidentally with the ABS reporting period.
There is another flaw in the data: there is no guarantee that the windfall is derived from retail business data NOT from tradespeople. There are fair amount of unethical practices whereby some tradespeople charge their client 10% less, that is GST not charged, on condition that the clients pay cash instead of by means that the taxman can trace.
I have seen many people over capitalised their properties by being overzealous. It is important to note that many property buyers are buying similar type of properties they were raised in or familiar with. One must not romanticised about living in a weather board home if they have been raised in a brick veneer one during their childhood days. This is the same reason why some buyers over commit themselves in buying big homes because they cannot imagine living in a small one since the day they were born!
Commenting on "The Block unearths home truths about renovation spending"
http://theage.domain.com.au/real-estate-news/the-block-unearths-home-truths-about-renovation-spending-20111105-1n0qw.html
Posted to The Age (5/11/2011) on 7/11/2011 at 9:50 AM
Commenting on "The Block unearths home truths about renovation spending"
http://theage.domain.com.au/real-estate-news/the-block-unearths-home-truths-about-renovation-spending-20111105-1n0qw.html
I have been writing about the over presumptuous model used by RBA in determining inflation and interest rate. This is why must read the ABS data with great caution, and interpret the underlying trends more carefully.
Commenting on "The Block unearths home truths about renovation spending"
http://theage.domain.com.au/real-estate-news/the-block-unearths-home-truths-about-renovation-spending-20111105-1n0qw.html
I have been writing about the over presumptuous model used by RBA in determining inflation and interest rate. This is why must read the ABS data with great caution, and interpret the underlying trends more carefully.
Read http://sinfongchaneconomy.blogspot.com/2011/10/australian-consumers-starting-to-spend.html and other by the same author.
It is presumptuous that TV program The Block has great influence on renovation resulting in such positive impact on the economy. Insurance claims on damaged properties caused by unseasonal strong winds, storms and floods of previous few months do not get processed overnight. The delay effect comes through likely and coincidentally with the ABS reporting period.
There is another flaw in the data: there is no guarantee that the windfall is derived from retail business data NOT from tradespeople. There are fair amount of unethical practices whereby some tradespeople charge their client 10% less, that is GST not charged, on condition that the clients pay cash instead of by means that the taxman can trace.
I have seen many people over capitalised their properties by being overzealous. It is important to note that many property buyers are buying similar type of properties they were raised in or familiar with. One must not romanticised about living in a weather board home if they have been raised in a brick veneer one during their childhood days. This is the same reason why some buyers over commit themselves in buying big homes because they cannot imagine living in a small one since the day they were born!
