CoreLogic analysis suggests servicing a mortgage is now cheaper than paying rent on 36.2% of Australian properties, which is higher than the pre-COVID proportion of 33.9% reported in February last year. The analysis was undertaken at the individual property level, using a set of mortgage assumptions and valuation estimates, to approximate mortgage repayments. These were…
While rental growth is slowing, we’ve still experienced the highest rental growth in over a decade. Growth in rental rates eased over the second quarter of 2021, with the national rental index rising by 2.1% over the 3 months to June compared to a 3.2% rise over the March quarter. While rental growth has slowed…
As the delta variant of COVID-19 has spread in Australia, Greater Sydney will soon enter the third week of lockdown. With a low vaccination rate and slow vaccine distribution, temporary, pandemic-induced lockdowns may continue to be a norm for Australians through 2021. This note highlights trends that emerged from the housing market amid COVID-19- induced…
National home values rose 1.9% in June, taking annual growth to 13.5% for the financial year. The growth in Australian dwelling values was led by houses, which rose 15.6% over the year, compared to a 6.8% lift in unit values. This is the highest annual rate of growth seen across the Australian residential property market…
A staggering number of Aussie property owners made a profit on reselling their homes in the first quarter of 2021. CoreLogic’s Pain and Gain report for the March 2021 quarter found the portion of profit-making resales between January and March 2021 increased to 90.3% nationally, up from 89.1% in the previous quarter and the COVID-induced…
Despite a tumultuous 12 months which has seen our property markets suffer from COVID-induced dips to recording new high peaks, in the last 12 months 218 markets joined the million-dollar club. CoreLogic’s Million Dollar Markets report released on Friday revealed 892 Australian property “markets” had a median value of $1 million or more over the…
New data from the ABS and APRA have provided updated insights into the housing lending space, which is highly correlated with trends in home prices and sales volumes. Lending for the purchase of property hit record highs through April 2021. However, the concentration of mortgages regarded as ‘higher risk’ remained around average levels through the…
What will trigger the next property downswing? With housing market values at record highs, and strong demand driving above-average levels of buyer activity, CoreLogic has found many are asking “what will trigger the next housing market downturn, and when.” Before examining current headwinds for the current housing market upswing, it is insightful to examine what…
Over the start of 2021, ABS housing finance data has corroborated the momentum in housing market conditions. Since the official cash rate target was lowered to 0.1% in November, the average new lending rate for owner-occupier mortgages has fallen 15 basis points and 12 basis points for an average property investment loan. This has created…
Here’s a short update on the Melbourne housing market so far this year. The Melbourne economy has undoubtedly been the most impacted by COVID-19 in Australia, both because of the second major outbreak in case numbers through the September quarter, and because international migration has been a key component of population growth across the state,…
