- Consumer confidence (Source: ANZ)
The ANZ-Roy Morgan Consumer Confidence report indicates a 2.6pt increase to 83.9, attributed to improved confidence in personal finances and the Reserve Bank of Australia’s decision to maintain interest rates. Nearly a quarter of Australians feel financially better off compared to last year, while future financial expectations have also improved. However, sentiment regarding the Australian economy in both the short and medium term remains relatively unchanged. Buying intentions for major household items have seen a small increase.
- Spring selling season (Source: CoreLogic)
Spring typically brings an increase in property listings and sales, but factors such as interest rates and economic conditions can influence market demand. Sellers in Perth and Adelaide are positioned favorably for the spring selling season, with low stock levels and strong buyer urgency. Melbourne and Hobart may face challenges as spring approaches, with elevated listings and the potential for a flat or falling market, putting sellers at a disadvantage.
- Lifestyles (Source: Finder)
The research from Finder shows that nearly 8 million Australians have made long-term lifestyle changes to cope with increasing living expenses. The most common changes include using more affordable transportation, cutting back on alcohol and smoking, downsizing cars and homes, relocating to cheaper areas, and renting out spare rooms. Younger generations are more likely to make these adjustments. The research emphasizes the ongoing impact of inflationary pressures on households and encourages people to reevaluate their spending and seek help if facing severe financial stress.
- New home sales (Source: HIA)
The latest HIA New Home Sales report indicates an 11.1% increase in new home sales in Australia for the three months to July 2024 compared to the same period last year. Queensland and South Australia saw significant growth, while New South Wales and Victoria struggled due to rising interest rates and higher land costs. New home construction is expected to be driven by smaller markets outside Sydney and Melbourne, according to the report, which surveys large volume home builders in the five largest states.
- Sydney luxury rents (Source: Juliet Helmke)
Of the most expensive properties in the most expensive cities in the world, Sydney has topped the list for the biggest annual rental price rises. Knight Frank Australia’s chief economist Ben Burston said a lack of supply had been the major reason Sydney prime rental growth took longer to slow than other major cities. “The Sydney rental market has tightened significantly due to strong immigration over the past two years and has yet to be significantly offset by the delivery of new supply”. Burston said that Sydneysiders shouldn’t expect prime rents to dip anytime soon. “While growth has slowed, upward pressure on rents is likely to persist until investor demand for new apartments is strong enough to drive a substantial injection of new supply.” In fact, of the 15 cities contained in the report, only Hong Kong, Toronto and Singapore saw rents decline on an annual basis, which is largely attributed to a wealth of new supply coming to the market.
- Regional movers index (Source: Juliet Helmke)
The latest data from the Regional Movers Index, a collaboration between the Regional Australia Institute and the Commonwealth Bank, shows a sustained trend of more people moving to regional areas than to major cities. This trend has continued since the pandemic, indicating a shift in population movement. Specific hotspots like Lake Macquarie and regional areas near NSW have seen significant increases in population. Southern states, particularly regional NSW and Victoria, have been popular destinations for city dwellers. Queensland still holds appeal for movers, with the Sunshine Coast remaining a top destination. Western Australia has also attracted new residents. The data suggests a continued shift towards regional living rather than urban centers.
- Property market (Source: Domain)
The Australian property market has achieved record profits, with 96% of houses and 90.7% of units reselling for a profit last year. Regional areas outperformed urban centers, and Brisbane stood out as the best city performer. The property market has been a reliable avenue for wealth-building, with profits at a 16-year high for houses and a 13-year high for units. The report highlighted Generation X and older Millennials as primary beneficiaries of the market conditions, and a shift in dynamics with regional areas outperforming urban centers in profitability. The median profit varied widely across different locations, with Sydney, Canberra, and Melbourne leading in dollar gains. The report also emphasized the need to ensure that buying a home is affordable and accessible to everyone.
- Australia population (Source: Glenn Capuano)
The Australian population reached 26,966,789 in December 2023, with a notable increase of 651,200 people over the year. This growth was mainly driven by overseas migration, accounting for 84% of the population increase. While all states and territories experienced positive population growth, Western Australia and Queensland stood out with positive interstate migration. However, Tasmania saw a return to slower growth after the initial impact of COVID-19. Overall, the data indicates a shifting trend in population dynamics across the country, particularly in relation to migration patterns.
- Gold Coast (Source: Terry Ryder)
The Gold Coast property market, known for past oversupply, is now experiencing a severe undersupply due to surging population and decreased construction. This has led to a significant increase in property prices and strong rental returns, making it an attractive prospect for investors. Rental yields in over half of Gold Coast apartment markets are above 5%, and property prices have seen average annual long-term growth of 4.1% to 11%. This shift has made the market more favorable for investors compared to developers.
- CoreLogic Auction Results (Week ending 18 August 2024)
(Total Auction / Clearance Rate)
– Sydney: 756 / 67.6%
– Melbourne: 884 / 61%
– Brisbane: 164 / 62.8%
– Perth: 15 / 61.5%
– Canberra: 91 / 56%
– Adelaide: 154 / 80.3%
– Tasmania: 1 / 0%
– Combined Capitals: 2,065 / 64.8%
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