Overseas interest in Aussie properties has surged to record levels as migration hit its highest point in three years, according to the latest PropTrack Overseas Search Report.
During the last quarter, the number of searches conducted from abroad for purchasing and renting properties on realestate.com.au reached an all-time high, surpassing previous records set since PropTrack's establishment in 2019.
Comparing the past three months to the corresponding period in 2019, there has been a significant increase in rental property searches, with a rise of 34%.
Similarly, searches for buying properties have also seen a notable upswing, experiencing a surge of 29%.
Where's the demand coming from?
According to the report, the countries with the highest searches for Aussie properties are New Zealand, The United States, The United Kingdom, China, Singapore, Hong Kong, and India.
Karen Dellow, Senior Data Analyst at PropTrack said:
"New Zealand has held the top spot for the past two years in terms of searches for Australian real estate, with rent searches up 37.5% on this time last year and searches to buy up 8.8%.
Demand from India has increased substantially in the past 12 months, with faster growth in both searches to buy and rent than in other countries.
The Chinese government's call for all international students to return to their campuses at the end of January drove a surge in rental searches from China, reaching their highest point in over three years in February."
Arrivals from overseas in line with search activity
The report also showed that the increase in offshore searches for Australian rental properties has coincided with a sharp increase in student arrivals.
Data from the Australian Bureau of Statistics reveals that in February, the number of student arrivals reached an impressive 142,000, marking a substantial surge of 190% compared to February 2022.
While March's preliminary figure showed a decline to one-third of the number recorded in February, it remained more than 90% higher than the student arrivals recorded in March 2020.
However, in contrast to the overall trend, Hong Kong is showing a different pattern, as indicated by a decline in searches for renting Australian properties by 27.8% compared to the previous year.
Additionally, searches for buying properties from Hong Kong have also seen a decrease of 15.4%.
Where are the most searched suburbs?
The Overseas Search Report reveals that as a whole, overseas searchers, whether looking for properties to rent or buy, favour the major capital cities, with Melbourne and Sydney topping the list.
However, the Gold Coast is also proving popular with overseas buyers and renters.
Analyzing the search data based on country, it is evident that the Gold Coast is highly sought after by individuals from New Zealand, the United States, and the United Kingdom.
On the other hand, Box Hill and Chatswood have captured the attention of searchers primarily from China, Hong Kong, and India.
What's ahead
The current surge in searches from international property seekers has reached unprecedented levels according to PropTrack records, indicating a positive outlook for future migration trends.
Although the number of arrivals with student or work visas has not yet fully recovered to pre-pandemic levels, it is expected that they will gradually return to normalcy in due course.
Source of charts and commentary: PropTrack Overseas Search Report - April 2023
