Odds on RBA dropping Interest by 1%

From WA Business News, "The Reserve Bank of Australia is tipped to slash the official interest rate next week to 1960s levels as it continues to try to mitigate the impact of worsening global economic conditions. All 17 economists surveyed by AAP expected the central bank to slash the cash rate next Tuesday to stimulate a domestic economy facing its first recession in 18 years.

Nine economists, a majority, expect the cash interest rate to be cut by 100 basis points, following the RBA's February 3 board meeting, which would take the cash rate to a 45-year low of 3.25 per cent - its lowest since 1964 when regulators set it at 3.18 per cent."

Do you know a broker? Who have you recommended in the past?

I know this is probably asking for trouble but I was wondering what everyone out there thinks of mortgage broker referrals. I have heard  some brokers quietly offer incentives to people who refer them to their friends etc. 

What incentives have you been offered or received by recommending a broker? Is there a particular broker that you would recommend? Why? Leave a comment and if there are any endorsements, take it with a grain of salt especially if its from Anonymous :)

House values fell in more than 40 per cent of Perth suburbs

If you are looking for a home in Perth, the following article will be particularly useful. We're now looking at the performance of average house prices. The danger here is the artificial increase in "average" house prices due to factors such as land releases etc. As revealed in this article, its not all bad news. East Perth (pictured in the banner of this blog) went up 36% in value!!!

Perth's worst performing suburbs revealed

"House values fell in more than 40 per cent of Perth suburbs in the last financial year, latest figures show.

The Landgate statistics show prices recorded no growth at all in a further 18 per cent of Perth suburbs.

They paint a further bleak picture of the once-booming residential real estate scene in the city, after Real Estate Institute figuresreleased earlier this week showed house prices had fallen 11 per cent across Perth in 2008.

Landgate surveyed 246 properties in 232 suburbs in the metropolitan area, revaluing what acting valuer-general Kevin Di Prinzio called a typical property in each suburb.

Westminster suffered most, with the suburb recording a 15.2 per cent drop in market value, closely followed by Midland (down 14.3 per cent) and East Cannington.

Midland (20.7 per cent) recorded the largest drop in land value, while the south-east dominated the poorest rent performers, headed by Jarrahdale (15.1 per cent drop), Mundijong (12.9 per cent) and Byford (10 per cent).

East Perth recorded the largest jump in market value, at 36 per cent, while northern suburbs Kingsley (27.3 per cent), Mindarie (26.7 per cent) and Two Rocks (23.3 per cent) filled the next three spots.

Coogee (48.1 per cent) posted the largest increase in land value, largely due to new land releases, while Herne Hill (45.5 per cent) topped the list of rentals.

Rental growth was particularly strong across the city, with suburbs as diverse as Swanbourne (38.5 per cent) and Lockridge (34.6 per cent) recording healthy rises.

Overall, the average rent was up 13.8 per cent to $330, land value was constant at $440,000 and market value rose 2.9 per cent to $540,000.

Landgate acting chief executive Paul Whyte said that as the survey was based on actual valuations of a constant sample of properties, it reduced distortions that might occur when using measures such as average sale price."

from: http://www.watoday.com.au/wa-news/perths-worst-performing-suburbs-revealed-20090116-7iw3.html

Top 20 Worst Suburbs in Perth

From the figures in 2007/08 crime rate, we bring you the top 20 worst suburbs in Perth for crime.

TOP 20 Suburbs - % Houses broken into

1 Northbridge 13.6%
2 Medina 10.6%
3 Westminster 10.3%
4 St James 10.2%
5 Karawara 9.6%
6 Aubin Grove 9.4%
7 Koondoola 9.3%
8 South Lake 9.1%
9 Midland 9.0%
10 Bentley 8.3%
11 Hilton 8.0%
12 Neerabup 7.9%
13 Caversham 7.7%
14 Jindalee 7.4%
15 Redcliffe 7.4%
16 Wattle Grove 7.3%
17 Beeliar 7.1%
18 Naval Base 7.1%
19 Balga 7.1%
20 Burswood 7.0%

Suburbs that just narrowly missed out on the top 20 worst crime suburbs include Bertram, Koongamia, O'Connor, Nollamara, Mirrabooka and Ankatell

Other Perth Suburb Posts

• Perth's Six Suburbs in Australia's Top 10 (Aug 12)
• 13 Suburbs Cheaper to Buy than Rent (Aug 12)
• Top 50 First Home Buyer Suburbs (Sept 12)
• Suburbs That Sunk in 2011 (Jun 11)
• Many More posts about Perth Suburbs (2008-2012)

How Bad is Your Perth Suburb?

If you are thinking of buying a house in Perth, one major factor you should consider is the crime rate. One of the best indicators of this is the percentage of homes broken into in that suburb. Here is the crime rate for your Perth during the 2007/08 financial year (to see a more recent post about crime in Perth, click here)

Alexander Heights - 3.7%
Alfred Cove - 1.9%
Anketell - 6.6%
Applecross - 3.5%
Ardross - 2.3%
Armadale - 3.5%
Ascot - 3.8%
Ashby - 1.45%
Ashfield - 5.81%
Attadale - 2%
Atwell - 5.4%
Aubin Grove - 9.4%
Balcatta - 4%
Balga - 7.07%
Ballajura - 1.9%
Banjup - 1.9%
Banksia Grove - 2.5%
Bassendean - 5%
Bateman - 2.5%
Bayswater - 4%
Beaconsfield - 5.99%
Beckenham - 4.5%
Bedford - 1.568%
Beechboro - 3.6%
Beeliar - 7.1%
Beldon - 2.7%
Belhus - 2.3%
Bellevue - 4.1%
Belmont - 5.4%
Bentley - 8.3%
Bertram - 7%
Bibra Lake - 3.5%
Bickley - 5.4%
Bicton - 2%
Booragoon - 1.51%
Boya - 4.3%
Brentwood - 4.7%
Brookdale - 5.7%
Bull Creek - 1.10%
Burns Beach - 6%
Burswood - 7.01%
Butler - 2.8%
Calista - 3.3%
Canning Vale - 2.3%
Cannington - 4.45%
Carabooda - 2.3%
Carine - 1.7%
Carlisle - 5.3%
Carmel - 4.7%
Carramar - 1.07%
Casuarina - 1.5%
Caversham - 7.7%
Champion Lakes - 5.7%
Churchlands - 1.7%
City Beach - 2.1%
Claremont - 2.2%
Clarkson - 4.3%
Cloverdale - 5.2%
Como - 3.8%
Connolly - 1.567%
Coogee - 2.4%
Coolbellup - 3.4%
Coolbinia - 2.9%
Cooloongup - 3.2%
Cottesloe - 2.5%
Craigie - 2.7%
Crawley - 0.8%
Currambine - 1.16%
Daglish - 1.57%
Dalkeith - 1.6%
Darch - 2.1%
Darlington - 4.3%
Dianella - 1.67%
Doubleview - 3.4%
Duncraig - 1.7%
East Cannington - 5.1%
East Fremantle - 3.2%
East Perth - 2.2%
East Victoria Park - 5.6%
Eden Hill - 5.0%
Edgewater - 1.48%
Ellenbrook - 3.9%
Embleton - 4.2%
Ferndale - 2.9%
Floreat - 2.2%
Forrestdale - 5.7%
Forrestfield - 4.1%
Fremantle - 4.4%
Girrawheen - 6.0%
Glen Forrest - 1.9%
Glendalough - 3.7%
Golden Bay - 3.2%
Gooseberry Hill - 2.6%
Gosnells - 4.8%
Greenmount - 4.8%
Greenwood - 1.13%
Guildford - 5.0%
Gwelup - 1.9%
Hamersley - 2.4%
Hamilton Hill - 6.12%
Hammond Park - 4.9%
Hazelmere - 1.4%
Heathridge - 2.4%
Helena Valley - 3.3%
Henley Brook - 2.5%
Herne Hill - 2.3%
High Wycombe - 2.9%
Highgate - 6.5%
Hillarys - 1.25%
Hillman - 2.3%
Hilton - 8.0%
Hocking - 1.7%
Hope Valley - 6.6%
Hovea - 2.9%
Huntingdale - 4.0%
Iluka - 1.9%
Inglewood - 1.9%
Innaloo - 1.8%
Jandakot - 4.9%
Jane Brook - 2.4%
Jindalee - 7.4%
Jolimont - 0.9%
Joondalup - 2.5%
Joondanna - 2.3%
Kalamunda - 1.47%
Kallaroo - 3.1%
Karawara - 9.6%
Kardinya - 2.3%
Karrinyup - 3%
Kelmscott - 3.7%
Kensington - 3%
Kenwick - 4.5%
Kewdale - 3.9%
Kiara - 4.3%
Kingsley - 1.8%
Kinross - 0.96%
Koondoola - 9.3%
Koongamia - 7.0%
Landsdale - 3.5%
Langford - 5.94%
Lathlain - 5.5%
Leda - 3.8%
Leederville - 2.9%
Leeming - 1.35%
Lesmurdie - 1.9%
Lockridge - 3.1%
Lynwood - 2.2%
Maddington - 3.8%
Madeley - 2.2%
Mahogany Creek - 1.3%
Maida Vale - 2.2%
Manning - 5.6%
Marangaroo - 3.7%
Marmion - 2.1%
Martin - 6.5%
Maylands - 2.4%
Medina - 10.6%
Melville - 2.5%
Menora - 1.552%
Merriwa - 2.4%
Middle Swan - 5.90%
Midland - 9%
Midvale - 4.8%
Mindarie - 2.6%
Mirrabooka - 6.7%
Morley - 2.9%
Mosman Park - 3.9%
Mount Claremont - 1.553%
Mount Hawthorn - 1.7%
Mount Lawley - 2.9%
Mount Pleasant - 3.0%
Mount Richon - 3.4%
Mullaloo - 2.3%
Mundaring - 1.328%
Munster - 3.0%
Murdoch - 2.1%
Myaree - 1.0%
Naval Base - 7.1%
Nedlands - 1.43%
Neerabup - 7.9%
Nollamara - 6.8%
Noranda - 1.9%
North Beach - 2.9%
North Fremantle - 3.3%
North Lake - 2.8%
North Perth - 2.2%
Northbridge - 13.6%
Nowergup - 1.3%
O'Connor - 6.9%
Ocean Reef - 1.46%
Orelia - 3.2%
Osborne Park - 3.4%
Padbury - 1.9%
Palmyra - 2.1%
Parkerville - 2.3%
Parkwood - 2.0%
Parmelia - 3.7%
Pearsall - 2.0%
Peppermint Grove - 3.4%
Perth - 3.4%
Port Kennedy - 3.1%
Queens Park - 3.7%
Quinns Rocks - 3.0%
Redcliffe - 7.4%
Ridgewood - 3.5%
Riverton - 4.0%
Rivervale - 4.6%
Rockingham - 3.9%
Roleystone - 1.66%
Rossmoyne - 2.3%
Rottnest Island - 5.5%
Safety Bay - 3.1%
Salter Point - 3.8%
Samson - 5.4%
Scarborough - 2.5%
Secret Harbour - 4.1%
Seville Grove - 6.4%
Shelley - 3.1%
Shenton Park - 0.99%
Shoalwater - 4.5%
Sinagra - 2.4%
Singleton - 2.7%
Sorrento - 2.8%
South Fremantle - 3.6%
South Guildford - 4.9%
South Lake - 9.1%
South Perth - 2.6%
Southern River - 4.7%
Spearwood - 3.8%
St James - 10.2%
Stirling - 2.6%
Stoneville - 2.1%
Stratton - 6.15%
Subiaco - 1.8%
Success - 3.8%
Swan View - 6.6%
Swanbourne - 2.7%
Tapping - 1.9%
The Vines - 3.6%
Thornlie - 3.5%
Trigg - 2.1%
Tuart Hill - 2.3%
Two Rocks - 0.84%
Upper Swan - 3.4%
Victoria Park - 3.8%
Viveash - 5.7%
Waikiki - 3.5%
Walliston - 3.4%
Wandi - 2.8%
Wangara - 5.4%
Wanneroo - 1.561%
Warnbro - 4.3%
Warwick - 1.9%
Waterford - 5.83%
Watermans Bay - 2.6%
Wattle Grove - 7.3%
Wattleup - 4.4%
Wellard - 5.4%
Wembley - 1.49%
Wembley Downs - 1.9%
West Leederville - 2.4%
West Perth - 2.8%
West Swan - 3.3%
Westminster - 10.3%
White Gum Valley - 5.7%
Willagee - 5.6%
Willetton - 2.4%
Wilson - 4.7%
Winthrop - 3.0%
Woodbridge - 4.2%
Woodlands - 2.2%
Woodvale - 1.32%
Yanchep - 2.0%
Yangebup - 4.8%
Yokine - 2.2%

It is also worth considering the reasons why certain suburbs have a high crime rate. For example, Aubin Grove is a very new area with many empty properties which makes it easy to break into without attractng too much neighbourly attention.

One way is to spend a saturday night camped in the street of your desired house and see how the neighbourhood is like.

And here they are. The worst crime suburbs in WA sorted from worst to best 

1	Northbridge 13.60%
2	Medina 10.60%
3	Westminster 10.30%
4	St James 10.20%
5	Karawara 9.60%
6	Aubin Grove 9.40%
7	Koondoola 9.30%
8	South Lake 9.10%
9	Midland 9%
10	Bentley 8.30%
11	Hilton 8.00%
12	Neerabup 7.90%
13	Caversham 7.70%
14	Jindalee 7.40%
15	Redcliffe 7.40%
16	Wattle Grove 7.30%
17	Beeliar 7.10%
18	Naval Base 7.10%
19	Balga 7.07%
20	Burswood 7.01%
21	Bertram 7%
22	Koongamia 7.00%
23	O'Connor 6.90%
24	Nollamara 6.80%
25	Mirrabooka 6.70%
26	Anketell 6.60%
27	Hope Valley 6.60%
28	Swan View 6.60%
29	Highgate 6.50%
30	Martin 6.50%
31	Seville Grove 6.40%
32	Stratton 6.15%
33	Hamilton Hill 6.12%
34	Burns Beach 6%
35	Girrawheen 6.00%
36	Beaconsfield 5.99%
37	Langford 5.94%
38	Middle Swan 5.90%
39	Waterford 5.83%
40	Ashfield 5.81%
41	Brookdale 5.70%
42	Champion Lakes 5.70%
43	Forrestdale 5.70%
44	Viveash 5.70%
45	White Gum Valley 5.70%
46	East Victoria Park 5.60%
47	Manning 5.60%
48	Willagee 5.60%
49	Lathlain 5.50%
50	Rottnest Island 5.50%
51	Atwell 5.40%
52	Belmont 5.40%
53	Bickley 5.40%
54	Samson 5.40%
55	Wangara 5.40%
56	Wellard 5.40%
57	Carlisle 5.30%
58	Cloverdale 5.20%
59	East Cannington 5.10%
60	Bassendean 5%
61	Eden Hill 5.00%
62	Guildford 5.00%
63	Hammond Park 4.90%
64	Jandakot 4.90%
65	South Guildford 4.90%
66	Gosnells 4.80%
67	Greenmount 4.80%
68	Midvale 4.80%
69	Yangebup 4.80%
70	Brentwood 4.70%
71	Carmel 4.70%
72	Southern River 4.70%
73	Wilson 4.70%
74	Rivervale 4.60%
75	Beckenham 4.50%
76	Kenwick 4.50%
77	Shoalwater 4.50%
78	Cannington 4.45%
79	Fremantle 4.40%
80	Wattleup 4.40%
81	Boya 4.30%
82	Clarkson 4.30%
83	Darlington 4.30%
84	Kiara 4.30%
85	Warnbro 4.30%
86	Embleton 4.20%
87	Woodbridge 4.20%
88	Bellevue 4.10%
89	Forrestfield 4.10%
90	Secret Harbour 4.10%
91	Balcatta 4%
92	Bayswater 4%
93	Huntingdale 4.00%
94	Riverton 4.00%
95	Ellenbrook 3.90%
96	Kewdale 3.90%
97	Mosman Park 3.90%
98	Rockingham 3.90%
99	Ascot 3.80%
100	Como 3.80%
101	Leda 3.80%
102	Maddington 3.80%
103	Salter Point 3.80%
104	Spearwood 3.80%
105	Success 3.80%
106	Victoria Park 3.80%
107	Alexander Heights 3.70%
108	Glendalough 3.70%
109	Kelmscott 3.70%
110	Marangaroo 3.70%
111	Parmelia 3.70%
112	Queens Park 3.70%
113	Beechboro 3.60%
114	South Fremantle 3.60%
115	The Vines 3.60%
116	Applecross 3.50%
117	Armadale 3.50%
118	Bibra Lake 3.50%
119	Landsdale 3.50%
120	Ridgewood 3.50%
121	Thornlie 3.50%
122	Waikiki 3.50%
123	Coolbellup 3.40%
124	Doubleview 3.40%
125	Mount Richon 3.40%
126	Osborne Park 3.40%
127	Peppermint Grove 3.40%
128	Perth 3.40%
129	Upper Swan 3.40%
130	Walliston 3.40%
131	Calista 3.30%
132	Helena Valley 3.30%
133	North Fremantle 3.30%
134	West Swan 3.30%
135	Cooloongup 3.20%
136	East Fremantle 3.20%
137	Golden Bay 3.20%
138	Orelia 3.20%
139	Kallaroo 3.10%
140	Lockridge 3.10%
141	Port Kennedy 3.10%
142	Safety Bay 3.10%
143	Shelley 3.10%
144	Karrinyup 3%
145	Kensington 3%
146	Mount Pleasant 3.00%
147	Munster 3.00%
148	Quinns Rocks 3.00%
149	Winthrop 3.00%
150	Coolbinia 2.90%
151	Ferndale 2.90%
152	High Wycombe 2.90%
153	Hovea 2.90%
154	Leederville 2.90%
155	Morley 2.90%
156	Mount Lawley 2.90%
157	North Beach 2.90%
158	Butler 2.80%
159	North Lake 2.80%
160	Sorrento 2.80%
161	Wandi 2.80%
162	West Perth 2.80%
163	Beldon 2.70%
164	Craigie 2.70%
165	Singleton 2.70%
166	Swanbourne 2.70%
167	Gooseberry Hill 2.60%
168	Mindarie 2.60%
169	South Perth 2.60%
170	Stirling 2.60%
171	Watermans Bay 2.60%
172	Banksia Grove 2.50%
173	Bateman 2.50%
174	Cottesloe 2.50%
175	Henley Brook 2.50%
176	Joondalup 2.50%
177	Melville 2.50%
178	Scarborough 2.50%
179	Coogee 2.40%
180	Hamersley 2.40%
181	Heathridge 2.40%
182	Jane Brook 2.40%
183	Maylands 2.40%
184	Merriwa 2.40%
185	Sinagra 2.40%
186	West Leederville 2.40%
187	Willetton 2.40%
188	Ardross 2.30%
189	Belhus 2.30%
190	Canning Vale 2.30%
191	Carabooda 2.30%
192	Herne Hill 2.30%
193	Hillman 2.30%
194	Joondanna 2.30%
195	Kardinya 2.30%
196	Mullaloo 2.30%
197	Parkerville 2.30%
198	Rossmoyne 2.30%
199	Tuart Hill 2.30%
200	Claremont 2.20%
201	East Perth 2.20%
202	Floreat 2.20%
203	Lynwood 2.20%
204	Madeley 2.20%
205	Maida Vale 2.20%
206	North Perth 2.20%
207	Woodlands 2.20%
208	Yokine 2.20%
209	City Beach 2.10%
210	Darch 2.10%
211	Marmion 2.10%
212	Murdoch 2.10%
213	Palmyra 2.10%
214	Stoneville 2.10%
215	Trigg 2.10%
216	Attadale 2%
217	Bicton 2%
218	Parkwood 2.00%
219	Pearsall 2.00%
220	Yanchep 2.00%
221	Alfred Cove 1.90%
222	Ballajura 1.90%
223	Banjup 1.90%
224	Glen Forrest 1.90%
225	Gwelup 1.90%
226	Iluka 1.90%
227	Inglewood 1.90%
228	Lesmurdie 1.90%
229	Noranda 1.90%
230	Padbury 1.90%
231	Tapping 1.90%
232	Warwick 1.90%
233	Wembley Downs 1.90%
234	Innaloo 1.80%
235	Kingsley 1.80%
236	Subiaco 1.80%
237	Carine 1.70%
238	Churchlands 1.70%
239	Duncraig 1.70%
240	Hocking 1.70%
241	Mount Hawthorn 1.70%
242	Dianella 1.67%
243	Roleystone 1.66%
244	Dalkeith 1.60%
245	Daglish 1.57%
246	Bedford 1.57%
247	Connolly 1.57%
248	Wanneroo 1.56%
249	Mount Claremont 1.55%
250	Menora 1.55%
251	Booragoon 1.51%
252	Casuarina 1.50%
253	Wembley 1.49%
254	Edgewater 1.48%
255	Kalamunda 1.47%
256	Ocean Reef 1.46%
257	Ashby 1.45%
258	Nedlands 1.43%
259	Hazelmere 1.40%
260	Leeming 1.35%
261	Mundaring 1.33%
262	Woodvale 1.32%
263	Mahogany Creek 1.30%
264	Nowergup 1.30%
265	Hillarys 1.25%
266	Currambine 1.16%
267	Greenwood 1.13%
268	Bull Creek 1.10%
269	Carramar 1.07%
270	Myaree 1.00%
271	Shenton Park 0.99%
272	Kinross 0.96%
273	Jolimont 0.90%
274	Two Rocks 0.84%
275	Crawley 0.80%

Other Perth Suburb Posts

• How Dodgy is Your Perth Suburb 2012 (May 12)
• Perth's Six Suburbs in Australia's Top 10 (Aug 12)
• 13 Suburbs Cheaper to Buy than Rent (Aug 12)
• Top 50 First Home Buyer Suburbs (Sept 12)
• Suburbs That Sunk in 2011 (Jun 11)
• Many More posts about Perth Suburbs (2008-2012)