Summary
Highlights
The speakers express skepticism about recent government housing policies, suggesting they may not last due to their negative impact on many. They argue that policies aimed at taxing 'mom and dad' investors while incentivizing large funds for build-to-rent schemes could disadvantage average Australians and lead to further wealth concentration.
Sasha Petrie discusses the recent shifts in the Brisbane property market, noting a peak in February followed by fewer transactions and price corrections. Buyers are hesitant, leading to a downturn, particularly in specific Brisbane pockets.
Many sellers, especially those who previously held firm on prices, are now meeting the market. Interestingly, there's a trend of people selling in Brisbane and moving back to Melbourne for affordability, or from the Gold Coast to Logan for similar reasons, seeking to reduce mortgage burdens.
The investor market has significantly slowed as investors perceive less value. Property owners, unable to achieve desired sale prices, are holding onto properties and increasing rents, which is expected to drive up rental costs across the board, potentially due to recent government policies.
While inquiries and physical attendance at open homes are down, online interactions (views, saves) for properties are up. This indicates that buyers are still interested but are waiting for market certainty before making commitments. The market is expected to bounce back, though the timing is uncertain.
In a changing market, properties with owner-occupier appeal and scarcity, such as those with large land sizes or development potential (subdivision, duplexes), are still attractive. The discussion shifts to investment opportunities in Perth, highlighting its affordability, lifestyle, and significant undersupply issues as reasons for its continued appeal.
The next six months are identified as a prime buying window due to minimal competition and more stock on the market than in the past four years. This period offers an opportunity to acquire high-quality assets at better prices, especially before anticipated interest rate cuts in early 2024 which could trigger a rapid market rebound.
It's crucial to select the right asset in the right location, as mistakes can be costly. While timing the market is difficult, buying when others are hesitant (against the herd) and focusing on properties with intrinsic value and growth potential can lead to significant gains when the market recovers.
The speakers predict a strong property boom between 2027 and 2030, driven by continued demand and population growth, particularly in areas with strong employment like Brisbane. They emphasize that strategic locations with amenities and good demographics, even in a slower market, continue to show strong results.