Nila Sweeney gets insights from Warren Hogan at Judo Bank, Eliza Owen at CoreLogic Australia , Shane Oliver at AMP, Louis Christopher at SQM Research, Mark McCrindle, Simon Kuestenmacher, Cameron Murray
on why people are still punting property in Australia - even after continuous gains !!
Anabelle Tungol and Didith Gabrillo share there stories that give clues
Here are 9 reasons
- Increase rents 8.5pc pa
- Lack of supply
- Fomo - fear of missing out
- Population growth - immigration
- Weakness in building approvals
- 1st homebuyers incentives
- Baby boomers transfer of wealth to children
- Sense of home ownership in the psyche of our nation
- People are moving further out of cities to buy what they can afford
Some comments
Dax Stanley
Great piece, Nila! 🌟 Buyers seem to be playing a long game, betting that today's high prices are tomorrow's bargains. Reminds me of 'buy high, sell higher.' Curious to see how this optimism holds up!
Adam Kentwell
Sentiment in many recent articles seems to be “prices can’t keep going up because metric ‘x’ is the highest it’s ever been.”
I’m sure that was the same case 40 years ago, 30 years ago, 20 years ago and so on. Buy whenever you can buy, and you’ll likely do well in the long run.
Shanaka Ubeysekara
Of course, only to say they are
NOT taking any chances. Either way you look at it, it’s a basic necessity or one of the safest investments (if not the safest) of all the asset classes out there. Rest is just noise. It will be
what it will be yesterday, today and tomorrow!
Jerome Lander
No surprise at all. Years of undersupply are likely to continue under current government policies and given council attitudes and NIMBYs everywhere and an ineffective building industry short of trades (and effective quality tradespeople even more so), and buying has been shown to be superior to renting both lifestyle wise and financially. The required appreciation from property isn't large to have it make sense. But just ask a renter how they find their landlord and how well they are respected as a renter; often landlords are awful. Its hard to see quality areas in Sydney not having further appreciation.
Illan Samuel
Buying investment property is a tax free haven -if you can get it right and gain over time.... tax free money is a hey factor in building wealth .
Australian residential property prices - already growing strongly this year - are set for a major price boost in 2025 and beyond, according to new research from a major forecaster.
ReplyDeleteOxford Economics Australia believes that an ongoing housing shortage, combined with expected interest rate cuts beginning later this year, means price growth will begin to accelerate in 2025, and that momentum will continue through to at least mid-2027.
In some positive news for tenants, the forecaster also believes that the pace of rental growth will slow, with the market’s capacity to absorb higher rents “topping out”.
Oxford’s Residential Property Prospects report predicts Perth will continue to be Australia’s standout property price performer through to 2027, while Sydney might have reached “peak unaffordability”.
Click "learn more" to read the full article https://australianpropertyupdate.com.au/apu/home-price-growth-oxford-economics-rental-growth-forecast