Weekly Property News 43rd Edition 2021
Immigration is Imminent
Hi Guys, it’s Dean OBrien from OBrien Real Estate with the 43rd edition of the Property News for 2021 where real estate information is on the house.
The big news this week has been the talk on what effect the resumption of immigration will have on the property market. As we know house prices have already skyrocketed, so does this mean we could see it rise further? Economists say will need about one extra home for every three migrants, so economists are now calling for governments to increase housing stock. Dr Shane Oliver an economist for AMP predicts housing prices growth will continue and he is predicting rents to also increase in the realm of 7% by 2023.
Also, the talk over the week has also been around interest rates and the financial markets and media is pricing in a cash rate hike in 2022. However, the person that makes the decision to increase the cash rate is the Governor of the Reserve Bank and he has explicitly ruled out a rate hike in 2022 in the minutes handed down from the banks meeting earlier in the month. The bank went on to reiterate their position, which is they don’t see a cash rate increase until 2024 or at the earliest late 2023. Auctions across Victoria are still running hot and we’ll now start to see a more common occurrence of mid-week auctions appear in our listing feeds to ensure we can assist our vendors being sold before Christmas. Across the state we saw 1034 results reported with an overall 860 selling, 164 passing in, 12 being withdrawn which leaves us with an 83% clearance rate.
Across the market at OBrien we are seeing activity levels increase with the race now on to be either sold or bought before the Christmas festivities. We saw 91 new listings come to market, with 83 going under offer, 89 confirmed sales, 54 new rental leases signed off on with the highest price achieved being $1.725 Million.
The news edits this week has been:
- National skilled job vacancies rose to 7.8% to be at 250,000 job vacancies across the country, our highest in 13 years.
- We’ve seen the strongest private sector wage growth in 6.5 years as per the release of the September quarter ABS data.
That’s all for this week, I’m Dean OBrien and remember the information provided is of a general nature you should always seek independent legal, financial, taxation or other advice in relation to your unique circumstances.