The start of the Perth dwelling market recovery comes at an unfortunate time. In early 2020, the Perth dwelling market had four consecutive months of dwelling value increases, which is the longest stretch of capital growth since 2014. The Perth dwelling market has a long road to recovery. By the end of April, the house…
The week ending 10th of May delivered a final auction clearance rate of 59.9%. This has jumped from a clearance rate of 47.5% in the previous week and a recent low of just 30.2% only four weeks ago. It is the highest clearance rate result since the week ending March 15, before the strictest social…
On the 25th of March, real estate agents were temporarily banned from hosting open property inspections and on-site auctions. The ban resulted in changes to the auction process, which went from on-site to online. These changes are reflected in some startling data points in the auction results. Below is a summary of typical auction outcomes…
COVID-19 is having varied impacts on residential property, but arguably the biggest impact could be in the rental space. Prior to COVID-19, the Australian rental market was already weak. Now, new challenges are here. As Australian borders remain closed to tourists, and government policies restrict short-term rental arrangements, Airbnb rentals are converting to long-term rental…
Rent values increased by 0.3% nationally over the month of March. Despite rental value increases, this has decelerated from a recent peak growth rate of 0.5% in January 2020. Prior to this March slowdown, the CoreLogic hedonic rental index had seen an upswing in values since September 2019. This occurred against slight moderations in new…
So far, the COVID-19 downturn has had a dramatic impact on agent activity and listings volumes in residential real estate. But the value of dwellings has been relatively resilient. It is still likely that property values will fall amid the downturn. But the decline in momentum across property values has been relatively mild relative to…
It has been three weeks since the government shutdown non-essential services, placed a temporary ban on auctions and open inspections, and essentially halted the economy in response to COVID-19. From a values perspective, the CoreLogic hedonic index has been showing a loss of momentum in housing value growth rates since mid-March. Data through to mid-April…
The economic slowdown resultant from COVID-19 has changed working conditions for many. But quantifying the impact on labour markets at this stage is difficult. The latest unemployment data from the Australian Bureau of Statistics does not tell us much about how the labour market has changed. That is because labour market data is not real…
Amid an extraordinary economic slowdown, the Australian economy is heading for its first recession in almost 30 years. Indicators suggest this fall in demand is starting to weigh on the property market. But a frequent stream of monetary, fiscal and social policies are being rolled out in an attempt to soften the blow to the…
Amid the spread of coronavirus, the past few weeks have seen increased expectations of an Australian recession, a slowdown in business activity and trillions of dollars wiped off global share markets. It has many asking what the impact of the coronavirus would be on Australian residential property. This note explores fundamentals of housing to better…
