May 27, 2024

What Will The budget Do To Property?

Now that the ink has dried on the federal budget, what lies ahead for the property market? Of course, general fiscal policy has an indirect impact upon the housing market and interest rates, but the budget also dedicated a full 31 pages to a discussion of the nation’s “housing challenge”.
May 22, 2024

30th April 2024 – Property Market Update

April continued to underline the robust growth trajectories of Perth, Adelaide, and Brisbane, as depicted in the rolling three-month change in dwelling values. Perth led with a staggering 6.0% increase, reinforcing its position as the growth leader among Australian state capitals. Adelaide followed with a commendable 3.3% rise, while Brisbane also showed strong growth at 3.1%. These cities have not only outpaced the typically more subdued movements seen in Sydney (1.1%) and Hobart (0.8%), but they also starkly contrast with Melbourne, which remained flat with a 0.0% change.
May 20, 2024

The Power of House Hacking

In today's competitive property market, house hacking is emerging as a savvy strategy for first-time investors and young Australians. This innovative approach can significantly reduce living expenses while building equity and generating rental income. Traditionally, the path to homeownership involved saving up for a deposit, purchasing a property, and gradually paying off the mortgage while living in the home. House hacking, however, turns this model on its head, offering a more flexible and financially efficient way to enter the property market.
May 20, 2024

A Smarter Way to Get Started in Property?

Amidst the affordability crisis, ‘rentvesting’ is reshaping how young Australians and first-time investors approach the property market. Traditionally, the homeownership dream was simple – buy a home, and live in it. However, as property prices soar, a growing number of people are adopting the rentvesting strategy. This unique approach allows individuals to rent where they want to live – often in areas that suit their lifestyle but may be too expensive to buy – while owning investment properties in more affordable markets.
May 8, 2024

How to Avoid a Major Property Trap

In last week’s article, we explored the concept of liquidity within the property market – why it’s important to consider, and what the risks are for those who don’t. This week, we’re getting a bit more practical. How should you account for liquidity when purchasing an investment property? Understanding liquidity and its impact is crucial for making informed investment decisions and optimizing returns, especially in the inherently slow-moving property market.
May 1, 2024

The One Thing Most Property Investors Ignore

There is an endless variety of metrics used to explain the property market. Vacancy rates, building approvals, population growth, annual price growth – the list goes on. All with varying popularity, each of these measures help to describe supply and demand in different ways, which in turn helps us to forecast the direction of a market. Of course, prices are created by that intersection of supply and demand (the fancy term for this mechanism is ‘price discovery’).
May 1, 2024

Why The Path To Rate Cuts Is Complex?

You may have noticed that the narrative surrounding interest rates has begun to shift slightly. For the first few months of this year, the overwhelming consensus was that we’d see some action on rate cuts within the latter half of 2024. We even released an article back on the 11th of March, summarising and commenting upon the big four banks’ predictions for interest rates.
April 19, 2024

Is Melbourne Oversupplied With Property?

Like any market, property prices are a consequence of supply and demand. For many months now, we’ve heard a similar refrain concerning the ‘chronic undersupply’ of housing across the market. Housing Australia has even forecast a national shortfall of 100,000 homes in just four years’ time. This being true, how is it possible for Melbourne to be oversupplied with property? Based on CoreLogic figures, Melbourne saw 90,000 total property listings across 2023, alongside just 81,203 total sales.
April 10, 2024

31st March 2024 – Property Market Update

In an impressive display of resilience, March has seen Perth, Brisbane, and Adelaide continue to break records in the property market. The buoyancy in these cities is particularly noteworthy against a backdrop of national housing market softening in other areas. This month, Perth has continued its ascendant trajectory with a 1.2% growth, contributing to a 5.6% quarterly rise which is the highest across all state capitals. Brisbane, not far behind, has witnessed a 1.1% growth over the month, aligning with a broader trend of property value increases in Queensland. Adelaide, however, steals the spotlight with a 1.4% rise in dwelling values, the highest monthly growth recorded, and an impressive 3.3% increase over the quarter.
April 9, 2024

Could Darwin Property Spring Back to Life?

Looking at the latest capital city property figures from CoreLogic, Australian real estate has one obvious outlier. Right now, Perth, Brisbane and Adelaide remain at record high prices, while other cities like Hobart, Canberra and Melbourne are feeling the serious impact of rate hikes, still below their 2022 price peaks. However, astonishingly, Darwin remains 6.6% below its record property market, a level it hasn’t exceeded since May of 2014 – almost a decade ago!