In a survey conducted by JLL, 84% of investors believe that transaction volume will increase by early 2021 in Asia Pacific, particularly in Japan, South Korea, China and Australia.
Meanwhile, in the UK, transactions in the residential sector continues to grow since restrictions were lifted and tax cuts were introduced with fasted sales registered for Scotland. UK house prices also post their biggest monthly increase since 2004.
Whereas in Australia, there are now calls for the government to reform and axe the stamp duty tax. Out of all the cities in Australia, experts and property economists have now considered Perth as the next property hotspot.
What caught our eyes this week?
Why real estate investors are still confident
Despite the decline in transaction volumes for real estate investment due to widespread lockdowns and travel restrictions, 84% of real estate investors expect transaction volumes in Asia Pacific to rebound meaningfully by early 2021. Defensive locations and sectors are among highest in demand, with Japan and South Korea remain top of the list, as do sectors such as multifamily, non-discretionary retail, and logistics.
One in seven UK homes are selling in a week since tax cut
One in seven has found a buyer in fewer than seven days since Chancellor of the Exchequer Rishi Sunak raised the threshold for paying stamp duty to spur activity in July. Homes in London are the slowest to sell while Scotland is seeing the fastest sales, the property website said. The greatest demand is for three-bedroom houses.
UK house prices post biggest monthly increase since 2004
UK house prices increased by the most in 16 years in August after a tax cut stoked demand when the housing market in England re-opened in May, with Wales, Scotland and Northern Ireland following suit a month later. Values rose 2 per cent from a month earlier to an average of £224,123 (S$407,500), the mortgage lender said on Wednesday. On an annual basis, prices rose 3.7 per cent.
The pros and cons of axing stamp duty in Australia
Stamp duty, paid whenever a property is purchased in Australia, is one of the biggest revenue sources for the state governments. More than $7 billion in stamp duty was added into NSW’s state coffers in the 2019-2020 financial year, while Victoria collected $6 billion in land transfer duty in 2018-19, the latest data from the states’ revenue departments showed. But the rivers of gold could stop flowing, as calls to reform the tax grow.
This capital city is set to become the next property hotspot
Experts and property economists have lauded Perth as Australia’s next property hotspot after spending years in the doldrums following the decline of the mining boom.
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