Eliza Owen

pretty decent amount of listings coming onto the market for winter, but less of them are in the form of an auction.

So definitely seeing more of that pivot to the private treaty method now, which is another indicator that we would come to expect when market conditions are softening.

Yeah, there are certainly some headwinds for the property market going forward.

The high inflationary environment has prompted pretty steep and successive heights in the cash rate.

And the higher the interest rate, ultimately the more downward pressure that's going to put on the property market.

There's some early signs, particularly globally, that the inflationary situation is starting to turn.

For example, furniture retailers in the US starting to discount their prices a bit.

A lot of consumption at the moment is dedicated towards consumer goods rather than services.

And those goods tend to have a lower profit margin.

So ultimately, that's going to help lower aggregate demand.

And even with the June quarter inflation results, the quarterly figure of just under 2% was a little bit lower than what we saw in the March quarter.

So even though on that annual basis inflation is at the highest level since the 1990s, I think there are some early signs that it's starting to ease a little bit.

It's going to take a bit of time for the RBA to get back to target.

I don't know.

I'm thinking there could be some offsetting factors for the headwinds that we're seeing at the moment.

Another important factor is that the rental market is also quite strong.

As national property values have fallen for the past few months, we've continued to see increases in the value of rents.

This could have the effect of attracting more investors to the property market and offset some of the declines in demand that we're seeing from the owner-occupier space.