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Aussie Real Estate Podcast

Weekend Real Estate In Review

07 May 2022

Transcription

Chapter 1: What insights were shared about the current real estate market trends?

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it's the real estate podcast brought to you by ray white the largest real estate and property group in australasia and welcome to another episode of the real estate podcast available on iheart radio and also spotify and apple podcasts or wherever you get your podcast from Well, I hope that you're enjoying your weekend on this Sunday, the 8th of May for 2022.

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You might be enjoying your breakfast about now. Coming up, we've got the weekend review. It's been a busy week for the real estate reports and statistics. And what's interesting from some of our guests over the last week is that it's very clear that it's a market correction and not a slump in some of the metro cities like Melbourne or Sydney.

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It's the main centre forecast with propertybuyer.com.au.

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Looking at weather around Australia for Sydney first and mainly fine and sunny with 21 degrees. Melbourne a few cloudy bits but mainly dry and a high of 15. Brisbane expecting some showers with 23 degrees and in Perth some cloud cover but mainly dry with 25 degrees.

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Chapter 2: How is Brisbane's real estate market performing compared to Sydney and Melbourne?

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We feature market updates, interviews and trends. It's your real estate podcast for breakfast.

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And as I mentioned earlier in the week, Bill Gates singled out some countries, including Australia, who did really well in the pandemic early on. And as a result, the death rate was so much lower.

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94.954 - 114.773 Bill Gates

Well, there weren't many countries, but a few responded very quickly to scale up the level of diagnostics. And then they had quarantine policies that were well adhered to. So Australia stands out and their death rate is about 10% of other rich countries. So pretty dramatic benefit.

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And Bill Gates has also made a prediction that we might see another virus that could be more transmissible with more fatalities.

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It's very likely to be a respiratory virus.

Chapter 3: What factors are contributing to the rise in Brisbane property prices?

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You know, when I did the 2015 TED talk and articles around that, you know, it was about respiratory because that can get out so quickly. You're still healthy and you're on a plane or a bus and it could be bacterial infection. Most of those bacterial diseases aren't as difficult as the viral ones, but we need tools there as well.

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Scary thing is that the fatality rate could be 10 times higher than it was this time. In that sense, we got lucky.

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If you've got a question that needs answering, you can email us at myrealestatepodcast at gmail.com. It's your real estate weekend podcast in review.

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The darling city we've mentioned before on the podcast is Brisbane, which is the fastest growing capital city market in Australia over the past year with median house prices and unit prices hitting new records and resulting in an annual increase. by 32.1% and 9.3% respectively. Brisbane, really, it has waited a long, long time for this boom.

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Chapter 4: Is there a noticeable buyer hesitancy in the current market?

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And when it came, it really arrived and made up for lost time, didn't it?

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Look, absolutely. It really has been the property price boom Brisbane has been waiting for. It's actually the steepest upswing for Brisbane house prices in about 18 years and the steepest upswing in 14 years for units. We're seeing a similar trend in Brisbane in terms of houses outperforming units. So that's what we're seeing in many of our capital cities.

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But we are still seeing really strong selling conditions in Brisbane. And when you have a look at population growth, Queensland has got the highest annual rate of population growth. It's been really driven by

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Chapter 5: How does the upcoming election impact buyer behavior in real estate?

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bolstered by interstate migration. And we're seeing lots of interest from interstate buyers into Queensland. When you have a look overall at inquiries from prospective buyers, over the March quarter, they were 37% higher compared to the same time last year. And 24, so almost a quarter of those inquiries came from interstate. So strong interest still in Brisbane.

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It's your Real Estate Weekend podcast in review.

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Is it unusual then for, let's say, a Sydney to be slowing down and a Brisbane to still be marching on? I mean, you've been doing this for such a long time. Have you seen that in the past?

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Look, it's very rare to see Sydney pull back and Brisbane go ahead.

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Chapter 6: What is the current mortgage stress level affecting the housing market?

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But it's the migration towards Brisbane that's going to help it buck the trend. I heading towards Queensland at the moment and most of them into the southeast corner. Ex-patch returning from overseas and internationals looking at Queensland. And also just the gap in terms of average price. Brisbane still representing such strength. strong value when compared to Sydney and Melbourne.

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And that's what's helped holding up pricing. And still, we're only two years into our upward swing. It was flat for so long.

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Chapter 7: What are the overall predictions for the future of the housing market?

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A market should run for longer than it's run after the flat line that it had.

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You know, I say, is it unusual for a Sydney to be different to a Brisbane market? I guess what we should really factor is the pandemic itself, all of this pent up demand and nothing is really the same. I mean, everything's a little bit weird and it's hardly surprising that perhaps this extends to a Sydney and a Brisbane being different.

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It's such an important comment. School holidays for us used to be a no-go zone for the high end. You know, everyone would not launch their property during school holidays because everyone went away. Well, what we've found with our top tier agents, unfortunately, we do participate quite a lot in that market.

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We're seeing people coming here on those school holidays and we're seeing interstate and international interest on the rise from people that are booking inspections on their way out to the coast or before they hit the airport on the way home. Yeah, we saw over the Easter long weekend, buyers out in force.

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And again, these auctions this week, we've had buyers in strong numbers at a lot of our high-end properties. It's your weekend real estate podcast.

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The election is coming up. You might be the best person to ask from Melbourne about whether there is any buyer hesitancy, do you think, from people attending auctions and getting bidding with their arms going up in the air before the election? Or do you think that there's going to be some people just sort of sitting on the fence?

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Yeah, look, I'm definitely seeing some hesitancy, Craig. I think, see, auctions are driven by social proof. And if buyers hold back, everyone else just follows. So that hesitancy trend is starting to filter through the buyer's mentality that they're starting to think potentially they might be able to buy below market value. I think that's one reason, Craig.

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And another is over the last 60 days, there has been obviously an explosion of stock hitting the market. So the FOMO factor has dropped off.

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when buyers suddenly have more choice they're less connected to the property because they have backup options that results in less bidders at auctions and as an auctioneer you can see it with your own eyes that buyers are either holding back or getting told to it's definitely harder to get the auction moving nowadays as well opening vendor bids are more common than not

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