6 Jun 2024
Australian Residential Property- Undersupply
- Posted by Dejan Pekic BCom DipFP CFP GAICD, Senior Financial Planner
Residential property prices (especially Sydney) just keep increasing and are at record highs.
|
Capital City
|
Annual Change %
|
Change from Peak %
|
| Sydney |
7.4
|
0 |
| Melbourne |
1.8
|
-4 |
| Brisbane |
16.3
|
At record high |
| Adelaide |
14.4
|
At record high |
| Perth |
22.0
|
At record high |
| Hobart |
-0.1
|
-11.5 |
| Darwin |
3.5
|
-5.3 |
| Capital City Avge |
8.8
|
At record high |
| Regional average |
6.8
|
At record high |
| National average |
8.3
|
At record high |
| Source: CoreLogic, AMP |
|
|
|
|
|
|
|
You can see from the attached that median residential property prices are about $800,000 but buying capacity in only in the $400,000’s. We have not seen this level of disconnect since the 2008 GFC (Global Financial Crisis).
Click for chart.
If the Federal Government wants to stop further steep rises in residential property prices then we need to build.
Building more residential property (increasing supply) brings economic benefits but it takes years to deliver supply of new residential property.
Our business is based on referrals, so if you have family, friends or colleagues that want advice please ask them to contact us.
At Newealth we are always looking to support and promote our clients wherever possible and if you have any ideas or comments, please feel free to email me or to call me on +61 2 9267 2322.
