OUR BEST UNEMPLOYMENT FIGURES IN 13 MONTHS

Over the past 13 months the region's unemployment rate has more than halved! This is a remarkable turnaround from 2009 when a record 13.8 percent of the Far North's workforce was unemployed.

The October unemployment figures show the number of people out of work in the Far North dropped to 6.9 percent, down 0.8 per cent on the previous month. About 3500 people found work in October, largely driven by surges in tourism numbers and a slight recovery in the construction sector.

Advance Cairns chairman Russell Beer said it was the first time he had full confidence in the official figures after watching the rate see-sawing from 12.4 per cent in January, down to 8.9 per cent in May and then back up to 10.3 per cent in July.

"7.9 per cent is great, that’s pleasing, I wasn’t expecting it below 8 per cent," Mr Beer said.

"I think we are seeing the economy picking up."

"We've (Macdonnells Law) have had a lot of business in the past three months, particularly people from out of town investing in property again." Read full article


The region's current trend unemployment rate of 9.1% is still much higher than the State's trend average of 5.4 percent, however the economic fundamentals in Cairns are continuing to gradually improve.

With the economy remaining on track for continued slow recovery over the coming months we are seeing new buyers entering the property markets and the overall industry remains confident in sustained future growth.

Peter Musso - Ray White Cairns Beaches - Property agent selling real estate in Trinity Beach, Kewarra Beach, Clifton Beach, Palm Cove, Trinity Park, Smithfield, Yorkeys Knob, Holloways Beach, Machans Beach

VICTORIAN INVESTORS ASSURED

Victorian-based investors in North Queensland property have been reassured that the residential real estate market in the Cairns region “will come back”.

Ray White Cairns Beaches Director Paul Stirling has held seminars in Melbourne this week with existing property owner clients to update them on the current state of the market.

Mr Stirling said Victorian investors were crucial to the long term future of residential property in North Queensland as they made up approximately 30 per cent of the investor market.

“Our meetings here in Melbourne with North Queensland property investors have been well received,” he said. “We have held three presentations with mostly existing investors. We provided them with facts and figures on where the market was from 1990, its growth patterns since then, where it is now on the ‘Property Clock’ and what the current economic indicators are pointing to in the near future.

“Many of these people are long term investors who have owned property in the Cairns region for between three and 10 years. They appreciated that we made a 4,000km journey to meet them face to face and bring them up to speed. Favourable comments were received regarding the content and factual nature of the seminar information – in particular the figures on vacancy factors in a rental market that is beginning to tighten from a balanced status."

“Our advice is that we feel the market has bottomed and there is growing confidence that the market will come back. “We’ve just given them the clear cut information to make a decision they’re comfortable with. If you don’t have to sell then don’t sell, unless you can use the yield for better purposes or investment elsewhere.”


Mr Stirling said he and the office’s business development manager Rachel Blok were breaking new ground by meeting with more than 60 investors during their Melbourne visit. “We held investor seminars last year in Perth and early next year we will be holding them in Sydney,” he said."

“It’s a good opportunity to provide an update on the residential market and information from a property management perspective to our long term investment property owners. But we also take the opportunity to meet potential new clients and we host a small function where owners can meet in a relaxed atmosphere.”

www.raywhitecairnsbeaches.com.au

Peter Musso - Ray White Cairns Beaches - Property agent selling real estate in Trinity Beach, Kewarra Beach, Clifton Beach, Palm Cove, Trinity Park, Smithfield, Yorkeys Knob, Holloways Beach, Machans Beach

CAIRNS' SELLERS INFORMATION EVENING AT RAY WHITE CAIRNS BEACHES

This coming Tuesday Ray White Cairns Beaches will be hosting an information evening for owners and anyone who might be interested in learning more about the current status of local property markets.

Economic information will be discussed and intimate advice provided to those who might have any questions or queries regarding selling or buying in the current market.

Whether you're on the market and not sold, going onto the market with many questions, or seeking direction of any kind at all the team at Ray White Cairns Beaches would love to have you along!

When: Tuesday 26th October @ 6:00pm
Where: Ray White Cairns Beaches, Trinity Beach Rd, Trinity Beach
R.S.V.P: Phone 07 4057 9111 or email peter.musso@raywhite.com

www.raywhitecairnsbeaches.com.au

Peter Musso - Ray White Cairns Beaches - Property agent selling real estate in Trinity Beach, Kewarra Beach, Clifton Beach, Palm Cove, Trinity Park, Smithfield, Yorkeys Knob, Holloways Beach, Machans Beach

STRONG AUSSIE DOLLAR TO SLOW ECONOMIC RECOVERY IN TROPICAL NORTH QUEENSLAND

With the Australian dollar recently reaching a 27-year high, not seen since the currency was freely floated in 1983, heavy costs are expected for local tourism and export industries.

Cairns was hit hard by the global financial crisis due to its high reliance on international tourism, and local businesses are still struggling to recover. Early indications of a strengthening economy in the north have just started to show yet these are now overshadowed by the sky-rocketing dollar bound to deter international expenditure in the region.

Interest rate rises are being viewed as too much too soon while local property markets are still finding their feet, and of longer term concern is the slowdown in residential development. It is the hope of local business leaders that the reserve bank decides to leave interest rates at current levels or lower for the time being with political figures calling for it to be allowed to free-fall like in the time of the Keating Government after the early 1990’s recession (Courier Mail Article).

Australian Tourism Export Council director Ron Livingston said Cairns had suffered because its tourism industry was predominantly based on leisure tourism, rather than business tourism. "If you add the fact that Australia has a high wage base compared to, say, Southeast Asia, we get crucified on hotel costs and tour costs," Mr Livingston said (The Australian Article).

Peter Musso - Ray White Cairns Beaches - Property agent selling real estate in Trinity Beach, Kewarra Beach, Clifton Beach, Palm Cove, Trinity Park, Smithfield, Yorkeys Knob, Holloways Beach, Machans Beach

RAY WHITE CAIRNS BEACHES VISITING MELBOURNE

Business Principal Paul Stirling and representatives from the Property Management Division will be visiting Melbourne in the second week of November, where the entourage will be meeting with many existing investment property owners.

This is the second time such an exercise as occurred - The first was last year when the destination was Perth. A seminar on the state of the Cairns real estate market and economy was delivered; A small social function to meet and greet many owners in a relaxed atmosphere and other "one on one" appointments where held - A similar agenda is planned for existing and potential Victoria based clients.

Details of the venue, seminar date and time will be finalised next week with all information being emailed to interested parties. For seating and catering purposes we would appreciate at this early instance if you have interest in attending this event.

For more information contact Ray White Cairns Beaches on 07 4057 9111 or email cairnsbeaches.qld@raywhite.com

www.raywhitecairnsbeaches.com.au
Peter Musso - Ray White Cairns Beaches - Property agent selling real estate in Trinity Beach, Kewarra Beach, Clifton Beach, Palm Cove, Trinity Park, Smithfield, Yorkeys Knob, Holloways Beach, Machans Beach

CHINA: CAIRNS’ FASTEST GROWING MARKET

China has now become the Tropical Norths’ fourth largest source for international visitors and is now the fastest growing segment with an average annual growth of 62%.

Tourism Tropical North Queensland chief executive officer Rob Giason said the growth in visitors from the region of China is "very encouraging". The Chinese market shows interest in nature tourism and as such Cairns is seen as one of the most attractive destinations within Australia.

Read full article from the Cairns Post

Cairns international airport passenger numbers are currently rising strongly as a result of the extra flights which commenced in March/April 2010, and have regained more than half the drop that occurred at the end of 2008. This is an excellent result for the region which has experienced slow economic recovery since the beginning of the GFC due to its high dependence on tourism conditions.

Cairns median house prices have always shown distinct cycles relative to international and domestic tourism conditions. Setbacks for the industry have included the threat of cyclones, and more notably, the Pilot’s Strike in 1989 during which median property values within the region saw a sharp decline of almost 20%.

The Global Financial Crisis coupled with the Bird and Swine Flu epidemics during 2008 were the cause for the most recent downturn in tourism arrivals, however the evidence is now showing that stronger tourist numbers this season are generating a significant improvement in industry conditions compared to last year.

With an increase in international arrivals and tourist expenditure within the region, real estate markets in Cairns can hope for improved housing affordability and foreign investment in turn placing upward pressure on median values once again.

Peter Musso - Ray White Cairns Beaches - Property agent selling real estate in Trinity Beach, Kewarra Beach, Clifton Beach, Palm Cove, Trinity Park, Smithfield, Yorkeys Knob, Holloways Beach, Machans Beach