How big is the property industry?
Corelogic estimates that the total value of all the residential real estate in Australia is over 6.6 Trillion dollars.
And last year the Property Council estimated that the property sector has a larger footprint on the Australian economy than any other industry.
But their definition of the property industry did not include ownership of dwellings.
Instead they looked at the many organisations and individuals involved in developing, operating and facilitating activities within the property industry that meet the residential and non-residential property needs of Australia.
Typically this includes residential and non-residential construction along with finance, property and business services associated with property development and operation.
The Property Council concluded that the property industry:
- It directly contributed $182.5 billion to Gross Domestic Product (GDP) in 2013-14 (11.5%), and is estimated to have contributed a further $279.7 billion to Australian GDP through flow-on demand for goods and services
- It also directly employed 1.17 million full time equivalent (FTE) employees in 2013- 14 (11.8% of Australian total), and supported some 1.54 million FTE jobs through flow-on activity.
- Approximately 28.6% of wages and salaries paid to Australian workers is generated by the property sector.
- The majority of the property sector is generated by residential activity.
- It contributed approximately $72.1 billion in combined Australian and State Government tax revenues and local government rates, fees and charges revenue in 2013-14. This equates to 16.0% of total Australian and State/ Territory taxes and local government rates, fees and charges revenues in 2013-14.
- Residential property ownership is not the only way every day Australians participate in the property sector; 14.1 million Australians have a financial stake in the property industry through their super funds.