Tim heads up the Core Logic RP Data research and analytics team, analysing real estate markets, demographics and economic trends across Australia. Visit www.corelogic.com.au
With the recent growth phase well behind us across most regions of the country, attention is squarely focused on how much housing values could fall before levelling out. After CoreLogic’s national Home Value Index (HVI) surged nearly 29% through the recent growth phase, the full extent of how far housing values will fall remains highly…
Patience is a virtue, particularly when it comes to Australia’s penchant for residential property. The short-term trends may be the talk at a weekend barbecue and in the media, but Australians tend to hold their homes a lot longer than a typical market cycle. For some context, Australia’s median hold period (ie the number of…
The RBA took the cash rate another 50 basis points higher at the September board meeting, citing ongoing inflationary pressures amidst a tightening labour market. The cash rate setting, at 2.35%, is now at the highest level since January 2015, but still slightly below the pre-COVID decade average of 2.56%. Housing markets have reacted negatively…
New Zealand has provided Australia’s property experts with a test case this year, following the central bank’s decision to move early with rate rises in an effort to combat rising inflation and a runaway housing market. As one of the first developed economy nations to lift rates, the Reserve Bank of New Zealand (RBNZ) announced…
As widely expected, the Reserve Bank of Australia (RBA) lifted interest rates by another 50 basis points today. The fourth rate hike in as many months, today’s decision takes the cash rate from an emergency low of 0.1% to 1.85%. Since commencing the tightening cycle on 5 May 2022, the cash rate has risen…
As household balance sheets become more thinly stretched due to rising interest rates and high prices for essential goods such as fuel and food, there is a renewed level of focus on how mortgagors (i.e. homeowners with mortgage debt) are traversing the changing environment. Policymakers and lenders will be watchful for any signs of distress…
A cash rate forecast update from ANZ Bank has reverberated through the banking and finance and property industries this week. The Reserve Bank has also publicly stated the official interest rate is still probably well below where it needs to be. More will be known following next week’s June quarter inflation figures, followed closely by…
The cost of building a new home is soaring! CoreLogic’s Cordell Construction Cost Index (CCCI) for Q2 2022 showed national residential construction costs increased 10.0% over the 12 months to June 2022, the highest annual growth rate on record outside of the introduction of the GST (10.2% over the year to March 2001). The CCCI…
Commentary leading up to the RBA monthly board meetings has pivoted from if interest rates will rise to how much interest rates will rise. Most forecasts were leaning towards a 50 basis point lift in the cash rate, and that is exactly what the RBA delivered, along with further commentary focussed on high inflation, which…
Higher costs for essentials and higher interest rates will be a ‘double whammy’ for households. As universally expected, the RBA made the decision to raise the cash rate at their June meeting, however, the 50 basis point hike was larger than expected. The latest move takes the overnight cash rate to 0.85%. Interest rates consistently…
