Welcome to this month’s edition of the Dot Monthly..
You may have heard the news over the past few weeks, I’ve been given the honor of winning the Newcomer Award at the Mortgage and Finance Association of Australia (MFAA) State Excellence Awards.
To be recognized as the states best new broker… is a true testament to you… my clients for being there along with me on the Journey. I am humbled and blessed to have been awarded the highest honor in the industry. I’d like to take this moment to wholeheartedly thank you for the opportunity to be of service to you in the past, present and (fingers crossed) future.
Off to other news…
Australia keeps AAA Credit Rating
Australia is one of just 10 countries to retain its AAA credit rating through the coronavirus-induced global recession based on Moody’s Investors Service most recent assessment. Moody’s says that Australia’s AAA stable credit rating reflected the economy’s strengths and good governance – including health management – that will support the country’s resilience in response to the coronavirus pandemic.
Moody’s forecast the economy to shrink by 5% this year, though it said the government’s $150 billion in budget spending and support from the Reserve Bank of Australia would mitigate the contraction.
“In Moody’s assessment, the resilience of the Australian economy supports a return to positive growth next year, without any significant long-lasting impact on growth potential once the crisis passes,” it says. By international standards, Australia has relatively low public gross debt of about 42% of GDP. Moody’s forecasts it to exceed 50% by 2021 and rise modestly thereafter. Australia received a AAA rating from all three major rating agencies: Moody’s, S&P Global Ratings and Fitch Ratings.
Housing Market Remains Resilient
The fundamentals of the Australian housing market are intact despite the economic upheaval caused by the COVID-19 lockdown, says Stockland’s head of communities Andrew Whitson.
“The two biggest drivers of the residential property market have been low mortgage rates and credit growth. They still remain supportive,” he says. Whitson says the Federal Government’s support to the housing and construction market was “smart policy” given it was “time-bound and targeted” and it would aid the industry and the economy.
“There’s a real multiplier effect”, he says, adding that every house built creates three jobs and every dollar spent on residential construction adds three to the economy.
What has Dot been up to for the month?
Don’t forget to read up on the 15 year itch which is an E book I’ve authored to equip you with strategies to pay off your mortgage in under 15 years. The e book is available on the website or you can get in touch via email to request a complimentary copy.
As always, we hope you enjoyed reading the blog and should you have any questions, please feel free to email Connecting@dotfinancial.com.au or you can call us on 1300 000 DOT (368).