A P R I L
M A R K E T
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P U L S E
C21
PUBLISHER Century 21 Australia Pty Ltd
CONTRIBUTORS Chris Gray Tim Lawless Diana Moore Natahsa Reneker Connectnow SaleFunder Terri Scheer
EDITORIAL ENQUIRIES Century 21 Australia (02) 8295 0600
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WELCOME TO THE
APRIL 2021 ISSUE OF
C21 MARKET PULSE
Century 21 Australia (02) 8295 0600
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C O N T E N T S A P R I L
LIVE LIKE A MULTI-MILLIONAORE
02-03
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WHEN TO BUY
Live the life of a mulit-millionaire without being one.
How to spot a suburb that's about to take off.
Your Empire CEO, Chris Gray
Home Beautiful, Natasha Reneker
PROPERTY MARKET UPDATE
05
BATHROOM BEAUTY
National Home value index rises at its fastest pace in
Luxe for less in the bathroom.
32 years.
Home Beautiful Digital Content Editor, Diana Moore
CoreLogic Head of Research, Tim Lawless
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LIVE LIKE A MULTI-MILLIONAIRE
HOW TO LIVE THE LIFE OF A MULTI-MILLIONAIRE WITHOUT BEING ONE
B Y C H R I S G R A Y, C E O, YO U R E M P I R E
Many people invest in property to increase their wealth, so they have more money to afford the better things in life.
return. You can often afford to live
only be work half what you paid for it
in a home two to three times more
three or four years later?
expensive than you can afford to buy if you get 3 – 4% yields on your investments but then only pay 1 – 2% yield on the home you rent.
The answer for many people is to join a boat syndicate where the cost is shared by 7 other like-minded people. Suddenly it might only
Whilst not everyone is materially
The same contrwarian philosophy
cost $150k - $250k each. Still a lot
motivated, there are plenty of people
can be used on a variety of other
of money, but a fraction of what it
that do dream of living in a mansion,
assets too.
might otherwise have cost you. Sure,
driving exotic cars, sailing on super yachts and jet setting in private planes. So how much do you need to afford all those toys.
Can a Lamborghini really be cheaper than buying a BMW or Mercedes? Yes, it can be if you buy a second hand $750k Lamborghini that has
you can’t always use it whenever you want, and you need to go through an online booking system but you’re paying peanuts in comparison.
It’s actually a lot less than you think,
now depreciated down to $250k.
There’s nothing wrong with starting
especially if you get creative and
It still drives and looks likes a
small on a $150k speedboat for
get your head around a new way
$750k car and may actually start to
$20k each.
of thinking. The key is to get out
appreciate in value as it becomes
of the mindset of having to OWN
more of a classic. Whereas the brand
everything you want. What you
new $250k BMW or Mercedes might
actually need is to CONTROL what
drop 20 – 30% in the first year or
you want, just for the time you
two and will never be worth what you
actually want it.
paid when it was on the forecourt.
For those readers that have followed
Fancy owning a luxury boat? Well,
incomes, attitudes to risk, time
this column for a while, you should
the idea here is that if you’re not
frames etc.
already know the benefits of
going to USE it every day, why PAY
Rentvesting – renting the home you
for it every day? You could buy a
want in the suburb you want and
very nice boat for $1m - $2m but
then spending the equivalent money
how often are you going to really use
buying investments in suburbs
it and is it going to be worth it when
that you think will get the best
they depreciate like cards and might
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What if you’re not into these material items? It’s the mindset that I’m really trying to get across here. There isn’t one single property investment strategy that suits everyone as we’re all different and we all have different
By understanding how different people think and the potential options that you might not have previously been aware of, the more you can adapt a property investing strategy to suit you.
To understand more about these ideas, you can download a copy of the ‘How to live the life of a multimillionaire without being one‘ book for free on PDF or Audiobook by going to www.yourempire.com.au/ multimillionaire.
ABOUT THE CONTRIBUTOR Chris Gray is CEO of Your Empire, a buyers’ agency that buys homes and investments for time-poor professionals – searching, negotiating, renovating and managing property on their behalf. Chris has spent over 10 years as the host of ‘Your Property Empire’ on Sky News Business channel, where he’s interviewed various heads of property research companies and major industry figures. Chris is a qualified accountant, buyers’ agent and mortgage broker. For more information, visit www.yourempire.com.au and follow Chris on
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Facebook: @ChrisGraySydney CENTURY 21
PUT YOUR PROPERTY IN THE HANDS OF AN EXPERT After 50 years we know what it takes to achieve a great result each time we sell a property. Trust us with yours. Contact your local C21 agent today to discuss how we can achieve the best sale outcome for you.
Visit: C21.com.au
CELEBRATING 50 YEARS
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P R O P E R T Y M A R K E T U P DAT E
NATIONAL HOME VALUE INDEX RISES AT ITS FASTEST PACE IN 32 YEARS CoreLogic’s national home value index recorded a 2.8% rise in March, the fastest rate of appreciation since October 1988 (3.2%)
BY T I M L AW L E S S , H E A D O F R E S E A R C H , CO R E LO G I C
in capital gains across Sydney and
In March, Victoria was the only
Melbourne, the larger capitals have
state where regional housing values
started to outpace many of the
rose at a faster pace than their
smaller cities that were previously
capital city counterparts. Regional
leading the charge in growth.
Victorian values were up 2.6%
Sydney dwelling values are now
compared with a 2.4% rise across Melbourne.
These exceptionally strong growth
2.6% higher than their July 2017
conditions remain broad-based,
peak: a remarkable recovery
Lower density housing has
with values rising by at least 1.4%
considering the -14.9% drop in
continued to outpace higher
across each of the capital cities and
values through to May 2019 and
density housing for capital gains.
‘rest-of-state’ areas over the month.
the further -2.9% fall throughout
Nationally, house values were 3.0%
the COVID downturn. Similarly,
higher over the month while unit
Melbourne housing values have
values were up a more modest
recovered from the -11.1% fall
1.9%. Across the combined capitals,
between 2017 and 2019, and the
the quarterly growth rate for
-5.6% drop in values through
houses (6.5%) is more than double
the worst of the COVID related
that of units (3.1%). “Despite the
downturn to set a new record high
underperformance, unit markets
in March.
have turned a corner, with Sydney
Sydney led the pack for capital gains in March, with values surging 3.7% over the month and 6.7% higher over the first quarter of the year. According to CoreLogic’s research director, Tim Lawless, “The last time Sydney housing values recorded a quarterly trend this strong was in June/July 2015. Following this brief surge, the pace of growth rapidly slowed as limits on investor lending kicked in to slow the market.” Across the regional markets, gains were highest in NSW, where values were up 2.8% over the month.
Additionally, for the first time in a year, growth in capital city housing values outpaced the regional markets. CoreLogic’s combined capital cities index recorded a 2.8% lift in March compared with the
recording two consecutive months of rising values, while the Melbourne unit market has seen values consistently rising since October last year, with the trend accelerating over recent months.”
2.5% gain seen across the combined regionals index. “Housing values in regional areas are 11.4% higher
March marked several inflection
over the past year, demonstrating
points across the market: Sydney
the earlier stronger growth trend;
and Melbourne have now staged
capital city values are now 4.8%
a full recovery from earlier
higher on an annual basis with the
downturns. With the acceleration
acceleration in growth evident in March,” Mr Lawless said.
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Click here to read the full article
WHEN TO BUY
HOW TO SPOT A SUBURB THAT'S ABOUT TO TAKE OFF Buying into an area as it’s about to bloom can be a fantastic opportunity, but as the real estate market seemingly has a life of its own, it can be tricky to predict where the next hot spot will emerge.
BY N ATA S H A R E N E K E R , HOME BEAUTIFUL
NEW KIDS ON THE BLOCK
AT YOUR SERVICE
Oftentimes, young people are
Buying into an area lacking in
priced out of established markets,
amenities can be a risky business,
leaving them with no other
so a visit to the local council to
choice than to set up home in
enquire about plans for developing
a more reasonably priced area.
new infrastructure or improving
The huge upside to having these
what already exists is essential.
demographics settle into an area
Services such as a public transport
is that bars, restaurants and other
network, schools, medical facilities,
If you’re looking to buy your first
businesses are sure to follow. They
childcare, supermarkets and
property or move from your
also bring an upbeat, creative flair
other retail stores are basic needs
current home, take note from savvy
that sooner or later will ripple out
that can make or break a suburb.
investors and keep an eye out for
across the suburb and, before you
Without decent infrastructure in the
these tell-tale signs that indicate an
know it, the next hot spot in the
area, a property is much less likely
area is about to take off.
market will have been revealed.
to gain in value, which will make
ENTER THE BUILDERS
GOING, GOING, GONE!
From abandoned warehouses and
A sure-fire way of finding out if an
neglected blocks to old homes
area is on the rise is to window shop
in desperate need of a makeover,
at local real estate agents. Charles
many areas that have seen a huge
Tarbey, Chairman of Century 21
surge in popularity emerged out
Australia, says: “When an area is
of a shabby past. Keep an eye out
about to take off, agents will be
for construction in less desirable
marketing themselves strongly.
suburbs, be it the remodelling
You will also see an abundance
of industrial spaces, the creation
of properties advertised in their
of green areas, or locals tidying
windows with SOLD stickers.”
up their homes, as they are good
Agents will also be able to share
indications both the council and
their knowledge of development
locals are investing into their area
plans, so it’s worth taking the
re-sale all the more difficult.
time to speak to them about recent market shifts and planned movements.
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The tricky part about investing in an up-and-coming suburb is finding the sweet spot in timing. But buying too early may involve a long waiting game and leave you living in an area you would rather not be in. So, when is the optimal time to buy? “When there is an abundance of property on the market,” says Mr Tarbey. “In a buyers’ market, your ability to negotiate improves dramatically.”
https://www.homebeautiful.com.au/topsuburbs-to-buy-growth
Terri Scheer exclusive offer
15 Months Cover for the Price of 12 As an exclusive offer to Century 21 clients, Terri Scheer is offering Landlords 15 months of insurance cover for the price of 12 months for a Landlord Preferred policy. Offer is available for the first year of new policies purchased from 1 March 2021 through to 31 August 2021*. Terri Scheer is Australia’s leading landlord insurance specialist, providing cover for landlords from many of the tenant related risks of property investment. To redeem this offer, your property must be managed by a Century 21 office in Australia. Contact your Century 21 Property Manager for an application form, or if your Property Manager is a distributor for Terri Scheer you can apply directly through your Property Manager. This offer is not available online.
Call Terri Scheer on 1800 804 016 for further information Australia’s Leading Landlord Insurance Specialist *The 3 months extra offer (15 months insurance cover for the cost of 12) is limited to customers who purchase a new Terri Scheer Landlord Preferred policy for a property managed by a Century 21 office in Australia. Not valid on current policies or for policy renewals. Usual underwriting rules and acceptance criteria apply. This offer applies in the first period of cover only and is not redeemable for cash and no extra premium is refundable in the event of early cancellation. This offer is valid from 01 March 2021 to 31 August 2021 and applications for a new policy must be received within this period. Insurance issued by AAI Limited ABN 48 005 297 807 AFSL 230859 trading as Vero Insurance. In arranging your insurance, Terri Scheer Insurance ABN 76 070 874 798 AFSL 218585 acts under authority given to it by Vero Insurance. Read the Product Disclosure Statement before buying this insurance and consider whether it is right for you. Call 1800 804 016 for a copy.
*While our services are free to you, standard service provider connection fees and charges may still apply. Water connection services only available in Victoria.
BAT H R O O M B E A U T Y
LUXE FOR LESS IN THE BATHROOM
BY DIANA MOORE,
D I G I TA L C O N T E N T E D I TO R , H O M E B E AU T I F U L
Rather than just a room to address your daily personal care routine, bathrooms are increasingly becoming a sanctuary to escape from the busy lives we lead. The choice of fixtures and finishes to create a more high-end, luxurious look to your bathroom can create an atmosphere of calm luxury, but how can you stretch your budget to best effect? To avoid overspending on your bathroom renovation budget, here are some bathroom design ideas
visually. Invest in a feature tile
“Gold gives an affluent edge to
wall or vibrant vanity splashback
nearly anything, and nothing
in your bathroom to set the tone
screams high-end more than
- and they needn’t cost the earth.
striking matt black finishes.”
“Hexagons and penny rounds come in an array of shades and create a dramatic impact to any space,” says Beaumont Tiles design specialist Christie Wood. “They’re easy to lay as they generally come on a meshed backing – making them perfect for DIY projects.”
also lift the entire feel of the room. Tiling is an essential finish in a wet space but more than function alone,
than tiling a set-in tub - will be
second hand which could save
looks lighting into the bathroom for
hundreds of dollars. You might be
an unexpected statement of luxury.
surprised at what’s on the market
such as stone, brass and timber
point for your space, but it will
straightforward tiling job - rather
Add drama by taking the latest
simple, clean lines, with materials
not only create a gorgeous focal
that the money saved by a more
your research and consider buying
without the luxury price tag.
selecting one luxury feature will
from any angle and it is possible
factor of the design you choose. Do
2. BOLD LIGHTING
“We’re seeing a trend towards
Paring back bathroom styling by
A freestanding bath says luxury
better spent on the va-va-voom
to help achieve a luxurious space,
1. PICK ONE FEATURE
4. STATEMENT BATH
high on wish lists,” says design services manager Amy Harper-Pell
within your budget however, from a classic cast iron clawfoot bath to more sleek, contemporary designs.
5. LARGE FORMAT FINISHES
of Special Lights. “Another trend
Remove visual clutter in your
is to contrast minimalist bathroom
bathroom and create space
design with bright-coloured,
by choosing finishes that have
oversized or crystal lighting, which
‘expanding’ properties. “Large-
commands attention.”
format or slab tile designs should be your go-to here as sizes can go
3. STATEMENT TAPWARE
up to three meters,” says Christie.
carry a greater design load to see
“Beyond tiles, consider matt black
it punching well above its weight
or brushed gold tapware or a
https://www.homebeautiful.com.au//luxefor-less-in-the-bathroom
the style of tiles you choose can
statement bath,” Christie suggests.
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