In news this month, AMP Capital economist Shane Oliver has stated that he is not expecting interest rates to change until 2020, a view increasingly supported by actions from the RBA who are looking to maintain a balance between economic growth and a cooling property market.
This is good news for those wanting low mortgage rates, with young Australians still very keen on buying property – ING’s Millennial Homeownership Report finding three quarters of 22-37 year olds are ready to make substantial sacrifices to save for a home beyond just foregoing luxuries.
Foreign investment in Australian real estate was reduced dramatically this year, falling by $47 billion. China still remains the major buyer of local property however it has been significantly curtailed due to capital controls, financing restrictions, and foreign buyer taxes.
In the growing short-term rental market, a new academic report about Airbnb has found 95% of house and apartment rentals on the site are located in the best socio-economic areas of the cities, putting pressure on their tenancy markets in blue-chip suburbs.
Download and read the full Market Essentials – June 2018 Report.