With so many mixed messages going around about the state of the economy, we thought it was time to look at what the statistics tell us. Here’s a round-up of the latest research on the Australian property market (sourced from SQM Research and Genworth's Home Grown Mortgage Industry Perspectives report)

• Australians remain better placed to cope with their debt levels than borrowers in many other countries. 45% of Australian borrowers are overpaying their mortgage, compared to an eight-country average of 26% (across Canada, India, Ireland, Italy, Mexico, the UK and the US).
• The typical borrower in 2012 is expected to be refinancers and upgraders, with first homebuyers and investors remaining cautious.
• In the past year, WA has seen the largest growth in lending, then QLD, followed by VIC and NSW, with SA and TAS having seen a drop in home lending.
• Of the capital cities, Sydney stands out as a being on track for house price growth of between zero and 4 per cent by the end of 2012, factoring in no interest rate change.

The statistics show us it's not all doom and gloom, with the health of the property market varying from suburb-to-suburb and state-to-state. As your mortgage broker we would be happy to speak with you in person about any lending issues you may be concerned about for the coming year.

Screw Business as Usual

By Richard Branson

Can we bring more meaning to our lives and help change the world at the same time? Richard Branson, at his brilliant and motivating best, reveals how with his exciting new vision for the future. It is time to turn capitalism upside down – to shift our values, to switch from a profit focus to caring for people, communities and the planet.

With inspiration for everyone, Screw Business As Usual shows how easy it is for both businesses and individuals to embark on a whole new way of doing things, solving major problems and turning our work into something we both love and are proud of.

Renovation is one of the ways you can differentiate your home to attract buyers in a slow market, but you need to do your homework to ensure that renovating before you sell is worth the time, effort and money.

Renovation, whether major or minor, is no guarantee that you'll be able to ask more money for your home. It's important to know what to renovate so that your home appeals to a large number of buyers, and that the renovations won't cost you more than what they're worth to the value of the home.

Is it feasible?

Knowing how much you should spend is all about research. A good starting point is to estimate how much your home is worth now versus what it could be worth when renovated. Look at other properties that are already renovated and are similar in terms of building style, number of bedrooms and block of land – this will give you an estimated sale price.

Take your estimated sale price and subtract your expenses and expected profit in order to work out your renovation budget. Get some quotes on the kind of work you are thinking of having done and make a decision about whether you can do a decent renovation job for this amount.

Overspending on a renovation will eat straight into your potential profit so it's important to be clear about how much the work will cost and whether it will be more or less than the value gain.

Will it appeal to buyers?

Focus on renovations that appeal to the majority of buyers such as work done to the kitchen and bathroom. Renovating to sell is a business decision so opt for a neutral look that will appeal to more people rather than making choices based on personal preference. Visit display homes, look at magazines and talk to real estate agents to get a sense of what the current 'look' is in home presentation.

The more labour you undertake yourself, the less risk there is of overcapitalising, so be prepared to get your hands dirty with jobs you can do yourself. 

Renovate to highlight your home's best features, focusing on appearance rather than function. If you have a choice between replacing the hot water heater or re-painting the house, for example, it's the new paint not the water heater that will impress the buyers.