Read the research, expect 10 to 15% growth in Melbourne this year.
Net migration into Australia +270,000 people every year.
Most of these folks want to live on east cost.
Massive pent up demand from the last 2 years as supply has been thin...with Banks now lending again, we have a perfect storm.
Until supply comes into the market, we’ll continue to see price growth.
Challenge: inside 25km radius of Melbourne and Sydney...there ain’t any more land. But heaps of demand for detached ‘proper’ family housing. Supply will continue to be tight, at a time when wealthy immigrants from China and India seek housing close to infrastructure and amenities.
We keep having these discussions every couple of years....I remember post GFC Professor Keene calling 30% falls...never happened.
Until net migration slows, I just don’t see how price increases can slow ....apart from APRA shutting up shop again, but that hurts economy as construction will come to stand still.
