July 2023 Newsletter
As we reach the end of July, it’s time to reflect on the biggest news of the month. Here are four finance, property and tax stories that really stood out:
RBA reforms cash rate
HomeBuilder extension
Property listings rise
How to get tax help
Read more below.
The Reserve Bank of Australia (RBA) has made changes after a review by the government. Starting in 2024, the RBA board will meet eight times a year instead of 11. These meetings will be longer, giving the board more time to talk about money strategy and risks. The RBA governor, Philip Lowe, said the meetings will also let staff analyze things better, so they don't need to summarize as much.
Governor Lowe will also talk to the media after each meeting to explain the board's choices. Additionally, the government decided not to give Governor Lowe another term, so Michele Bullock will take over in September.
The goal of these reforms is to make the RBA's decision-making better and improve how they communicate with the public.
Great news for existing HomeBuilder applicants! The deadline to submit supporting documents has been extended to 30 June 2025. Initially, it was set for 30 April 2023, but the government proposed an extension in March, which has now been confirmed.
This extension is specifically for those who have already received approval for off-the-plan purchases or renovations under the HomeBuilder scheme. You don't need to do anything; the extension will be automatically applied if you are eligible.
The reason for the extension is to help individuals who made financial commitments based on receiving the HomeBuilder grant but faced delays in supplies and construction. Now, they have more time to utilize the grant as planned.
Keep in mind that the HomeBuilder applications closed in April 2021, and the scheme is managed by states and territories on behalf of the government. This extension provides much-needed relief to approved applicants, allowing them more time to meet requirements and benefit from the HomeBuilder initiative. If you are one of them, take advantage of this opportunity!
Exciting news for buyers! The property market is looking up as more homes are being listed for sale. According to SQM Research, the number of new listings in June increased by 1.6% compared to the previous month. Additionally, the total number of properties for sale, including both new and older listings, rose by 1.8%.
With more homes available, buyers have more options to choose from, which means they won't need to compete as intensely on price. In fact, in the month leading to 4th July, there was a 2.0% reduction in prices asked by vendors.
Considering the current market conditions that are favoring buyers in many parts of the country, it could be a fantastic time to consider buying a property. If you need assistance finding a great home loan, feel free to contact me. I'd be more than happy to help you navigate through the options and secure the right loan for your dream home. Don't miss out on this favorable opportunity!
Feeling puzzled about doing your taxes? The Australian Taxation Office (ATO) has some handy digital tools to help you out.
ATO's David Allen says they get lots of calls from people with questions that their digital tools can easily answer. So, instead of waiting in line to talk to someone, you can do it yourself whenever and wherever you like.
Their website has a ton of information, including pages about what's new for tax time. They even have a virtual assistant called 'Alex' to find the info you need.
You can use their digital tools like myTax and the ATO app to get answers and do specific things with your tax accounts. If you need more help, the ATO Community is a great online place to seek advice from others.
Just remember, doing tax returns online might take up to 14 days for processing, as the ATO mentions. So why not give their digital tools a try and make your tax journey easier!