S U M M E R
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 Nicola Conville On The Move
EDITORIAL ENQUIRIES Century 21 Australia (02) 8295 0600
ADVERTISING ENQUIRIES Century 21 Australia (02) 8295 0600
WELCOME TO THE
SUMMER 2021 ISSUE OF
C21 MARKET PULSE
DISCLAIMER We have in preparing this information used our best endeavours to ensure that the information contained therein is true and accurate, but accept no responsibility and disclaim all liability in respect of any errors, inaccuracies or misstatements contained herein. Prospective buyers and sellers should make their own enquiries to verify the information contained herein. All information contained in the CENTURY 21 Australia Pty Ltd website is provided as a convenience to clients. All links to property prices displayed on the website are current at the time of issue, but may change at any time and are subject to availability. For more information on our Privacy Policy please refer to: www.century21.com.au/privacy
C O N T E N T S S U M M E R
BOOM OR BUST
02-03
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WATER WISE GARDENS
How much will your property grow by in 2021?
5 ways to be water wise in the garden.
Your Empire CEO, Chris Gray
Home Beautiful Magazine, Nicola Conville
PROPERTY MARKET UPDATE
05
SMARTER DECORATING
Dwelling values rise across every capital city and rest
Renting friendly Christmas decorating ideas.
of state region.
On The Move
Corelogic Head of Research, Tim Lawless
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06-07
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BOOM OR BUST
HOW MUCH WILL YOUR PROPERTY GROW BY IN 2021?
B Y C H R I S G R A Y, C E O, YO U R E M P I R E
Chris Gray began his property investing journey when he was 22 years old. With only $35,000, he spent the next nine years learning about investing firsthand, and applying that knowledge to his own portfolio now worth over $15m.
it might be putting property even
best being Sydney at 6.1%, Hobart at
further out of reach.
6.4% and Canberra at 6.8%.
Before we discuss 2021, let’s take a
2021 is predicted to have an even
quick look back at 2020:
better result with Melbourne 2-6%,
In Jan and Feb, the market was off to a great start after the previous year’s
COVID has shown that no one can
looking rosy. COVID hit in March
100% accurately predict the market
and then we were looking down the
and so the author of the report, Louis
barrel of a 10% – 30% crash in the
Christopher, has included a number
market, according to many of the
of different results given different
Due to a number of
SQM Research has their Boom-andBust report for 2021 and I think that most property owners will be very happy with their
factors (including
"...for those buyers that took the situation as an opportunity, they look to profit over the coming years if the SQM predictions do come true."
6-month mortgage
that are yet to enter the market may not be so happy as
COVID and how the government and banks react. You also need to be aware that these are average results for a capital and there’s literally hundreds of micro
falling interest
markets depending on location, price
rates, lack
point and condition of a property. So,
of stock) we
if your property is in an area of high
never saw
supply such as a CBD or an area with
that drop and
thousands of similar properties or in
12-month data to Nov 2020, all capital cities saw a net positive result, with the
C21 MARKET PULSE
scenarios of what happens with
extensions,
from the SQM
capital growth predictions. Those
Perth 8-12%.
election result and everything was
bank’s economists.
recently launched
Brisbane 4-8%, Sydney 7-11% and
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an area of low demand such as those purchased or renters by foreigners, that are less active, then you might get a completely different result.
202 1 SCENARIO 1
AC T UA L S
202 1 SCENARIO 2
(BASE CASE)
• Cash Rate unchanged at 0.1%
• JobKeeper phased out as planned (March)
• QE Expands
• JobSeeker returned to base
• 3 COVID-19 wave contained via more lockdowns rd
• 12 months to 22-Nov-2020 All dwellings
• JobKeeper extended to Sept Qtr 2021
• QE unchanged. Rates unchanged • Progressive roll out of COVID-19 vaccine
• Progressive roll out of COVID-19 vaccine
• 3 COVID-19 wave contained via more lockdowns rd
202 1 SCENARIO 3
• Better than expected roll out of vaccine in 1 st half of year • Bounce in employment • No more lockdowns, State borders remain open, regional hub open • JobKeeper phased out as planned
202 1 SCENARIO 4
• No vaccine released in 2021 • International/State borders remain closed • Negative cash rate • JobKeeper/Seeker extended to end of year
• QE scaled back after mid-year
PERTH
+0.8%
+8% to +12%
+8% to +12%
+10% to +15%
+3% to +6%
BRISBANE
+3.5%
+4% to +8%
+4% to +7%
+5% to +9%
+3% to +6%
DARWIN
+2.8%
+6% to +9%
+3% to +6%
+3% to +6%
+6% to +9%
MELBOURNE
+0.7%
+2% to +6%
-5% to 0%
-1% to +4%
-3% to +3%
SYDNEY
+6.1%
+7% to +11%
0% to +4%
+3% to +7%
+4% to +8%
ADELAIDE
+4.4%
+6% to +10%
+1% to +4%
-2% to +2%
+4% to +8%
HOBART
+6.4%
+3% to +7%
-2% to +3%
+3% to +6%
+1% to +3%
CANBERRA
+6.8%
+5% to +9%
+5% to +9%
+4% to +7%
+2% to +6%
Capital City Average
+3.5%
+5% to +9%
0% to +4%
+2% to +6%
+2% to +6%
(weighted)
Source: Christopher's Housing Boom and Bust Report 2021
If you are in an area of low supply
3) Have enough cash to hold on for
due to height restrictions or lack of
available land and there’s plenty of demand from high income earners, then you’re more likely to beat those average predictions. The repercussions of COVID could have been very bad for all property owners but it looks like most have survived, at least for the time being as it’s not over yet. However, for those buyers that took the situation as an opportunity, they look to profit over the coming years if the SQM predictions do become true. My advice to anyone has always been to not time the market and to buy when you:
the short to medium term, and;
4) You can buy the right property
at the right price.
I still believe in this and so if you haven’t bought yet, or have the ability to buy more, buying today will probably be cheaper than buying tomorrow.
ABOUT THE CONTRIBUTOR Chris Gray is CEO of Your Empire, a buyers’
There is a lot more to the report than just the table and so to get
agency that buys homes and investments for time-poor people – searching, negotiating, renovating and managing property on their
the full story, you can purchase
behalf. Chris has spent over 10 years as the
the full report for $59.95 here:
host of ‘Your Property Empire’ on Sky News
https://sqmresearch.com.au/ boombustreport.php
Business channel, where he’s interviewed various heads of property research companies and major industry figures. Chris
NB: I have no financial arrangement with Louis Christopher or SQM Research.
is a qualified accountant, buyer’s agent and mortgage broker. For more information visit www.yourempire.com.au, www.chrisgray.com.au and follow Chris on
1) Have the deposit
Twitter: @ChrisGrayEmpire.
2) Can get a mortgage
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EXPANDING NETWORK
NEW C21 OFFICE OPENS IN BURWOOD NSW An experienced team of real estate professionals have opened an agency in Sydney’s inner west under the Century 21 brand. Directors Eugene Ganke, Jada Vi, Betty Lu, and Ricky Kong are a team that are passionate about property. Together they will operate the Burwood real estate business after having worked together in different roles across independent and franchise agencies. “We are incredibly excited to be partnering with the bold and dynamic Century 21 brand whose vision and values really resonated with us,” said Mr Ganke who has over 10 years of industry experience. “It’s great to have received so
Fellow Director Jada Vi offers six
Century 21 Chairman and Owner
years of real estate experience
Charles Tarbey is pleased to have
said each member of the team
this young team come together
brought a wealth of knowledge
under the C21 brand and is
and skills that complement each
confident of their success.
area of real estate.
“The passion and drive that these
“Our combined focus will be to
individuals have for real estate
ensure that the sale or management
is inspiring. By leveraging the
of our customers most valuable
strength of the C21 brand, training
assets are given the highest priority
and technology, I am sure they will
and utmost care.”
achieve their immediate goal of
The new team believes there is a gap in the local market for
The new office will benefit from
agents which they will aim to fill.
the continued partnership that
They will offer sales, property management and
“Our combined focus will be to ensure that the sale or management of our customers most valuable assets are given the highest priority and utmost care.”
our own agency. We look forward to growing with this global brand for many years to come and leveraging their processes and platforms to deliver a level of service and care that is unmatched”.
Mr Tarbey said.
Cantonese and Mandarin speaking
project marketing
much support to start
being the best agency in Burwood,”
services with an emphasis on delivering exceptional service.
Century 21 have with Bauer Media across the Home Beautiful website and magazine. With the majority of that audience owning or paying off their own home, having ownership in sight or looking to invest, the initiative not only showcases C21 properties
The office
to consumers with an interest in
will be
property, it also generates strong
rounded out by Betty
buyer and seller leads for the network.
Lu who has
experience in real estate and running her own business, and rising star Ricky Kong who in his first year with a major franchise made the Top 100 agents list on GCI.
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The story New C21 office opens in Burwood NSW, first appeared on Elite Agent. Article Link: https://eliteagent.com/new-c21-officeopens-in-burwood-nsw/
P R O P E R T Y M A R K E T U P DAT E
DWELLING VALUES RISE ACROSS EVERY CAPITAL CITY AND REST OF STATE REGION Australia's housing market continued along a recovery trend through November. CoreLogic’s national index recorded a second consecutive monthly rise in November, with dwelling values up 0.8% over the month. The new recovery trend follows a 2.1% drop in Australian home values between
BY T I M L AW L E S S , CO R E LO G I C H E A D O F R E S E A R C H
2017. While rising, Perth values are
“The resilience in Melbourne unit
similar to mid-2006 levels, whilst
values is surprising given the high
Darwin values are in line with 2007
supply levels across inner city
levels. At the other end of the
areas and the sharp decline in
spectrum, housing values moved
rental conditions. We suspect the
to new record highs in Brisbane,
stronger trend in Melbourne unit
Adelaide, Hobart and Canberra
values relative to houses could
through November.
be short-lived unless overseas
House and unit value performance has shown more divergence in recent months. House values
migration turns around sooner than expected which would help to shore up rental tenancy demand,” Mr Lawless added.
April and September.
have driven gains in the combined
According to CoreLogic’s Head
capitals index over the past three
The stronger performance
months, rising 1.1%. While the
across regional areas of Australia
rate of decline has eased, capital
continued in November, with
city unit values fell by -0.6% over
CoreLogic’s combined regionals
the same period.
index recording a monthly growth
of Research, Tim Lawless, if the current growth trend persists, we are likely to see CoreLogic’s national home value index surpass preCOVID levels in early 2021. “The national home value index is still seven tenths of a per cent below the level recorded in March, but if housing values continue to rise at the current pace we could see a recovery from the COVID downturn as early as January or February next year. The recovery
“This trend towards stronger conditions in detached housing markets is evident across most of the capital cities. Relative weakness in the unit market can be attributed to factors including low investment activity, higher supply levels in some regions, and weaker rental market conditions across key inner
in Melbourne, where home values
city unit precincts,” Mr Lawless said.
remain 5% below their recent peak,
Melbourne’s unit market is the
will take longer.”
exception, where unit values
Although housing values look set
have recorded a smaller then
to surpass their pre-COVID highs early next year, both Sydney and Melbourne home values remain at levels similar to those seen in early
expected decline throughout the COVID period to-date and a more substantial recovery trend over recent months.
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rate double that of the combined capitals. Regional home values were up 1.4% in November compared with a 0.7% rise in capital city values. Regional Queensland has led the rise in values over the past three months, posting a 3.2% lift, followed by regional NSW where values are up 3.1%.
Click here to read the full article
WAT E R W I S E G A R D E N S
5 ways to be water wise in the garden It’s never been more important to save our water supplies, here are some expert tips to get you started.
BY NICOLA CONVILLE,
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 M AGA Z I N E
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“While kitchens and bathrooms offer the biggest opportunity for water conservation, a few simple changes in the garden can also make a big difference,” says TV personality and Horticulturist, Melissa King who discusses the latest ways to save water in your garden. 1. WATER AT THE RIGHT TIMES Restrictions dictate that watering should be done before 10am or after 4pm. Set customised schedules easily with wifi controllers that allow you to control your sprinklers through your mobile, no matter where you are. Create several watering settings according to
It also provides an opportunity to
frost resistant as they stand up to all
get up close and personal with
weather conditions and hold their
your plants, so you can detect any
colour beautifully.
issues early and get on top of them quickly. Water restrictions state that all hoses must have a trigger nozzle, and it’s a great idea to choose one with different settings for all your watering needs to allow you to easily shut the water on and off on, effectively minimising wastage.
Gardens and lawns are often the first areas to suffer in dry conditions, but Melissa says all that it takes is some common sense, a little creativity and the right tools to conserve moisture and keep your plants happy and healthy.
4. USE A WATERING CAN Watering cans are also a great water-saving option. Choose a can with lots of small holes to help give you an even distribution of fine water droplets, it lets water soak deeper into the roots. The Nylex Premium Spray Gun has seven different functions and allows you to easily shut the water on and off with its simple to use click control design, effectively minimising wastage.
the needs of each section of your garden to ensure that plants stay healthy while paving and walls stay dry.
5. CHOOSE YOUR POTS WISELY When every drop counts, the right
2. MOVE WITH THE RAIN Rain sensors prevent unnecessary watering, providing savings of up to 20%. The Rain Bird Wired Rain Sensor easily connects to most irrigation system controllers and
pots can really make a difference. If you love the look of classic terracotta, look out for pots in Northcote Pottery’s CottaSEAL collection, which are treated with a water-resistant sealant that helps to prevent moisture loss.
automatically shuts your sprinkler
If you’re after a more modern look,
ABOUT THE CONTRIBUTOR
system off when it rains, leaving you
turn to plastic pots. They’ve come
worry free whether at home or away.
a long way in recent years and now
Home Beautiful is Australia’s fastest growing homemaker brand. With beautiful
come in a range of fantastic designs,
original photography, gorgeous styled
3. GET HANDS ON
colours and finishes to suit any
stories and signature inspirational how-tos,
Hand watering is another great way
locations as they can build up heat
to care for your garden and allows
in the sun, leading to unwanted
you to tailor your watering to the
evaporation. Additionally, look for
needs of specific crops or plants.
plastic containers that are UV and
garden. Keep darker pots in shaded
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Home Beautiful is simply one of the most loved, most recognised and commercially successful brands in Australia. Article Link: https://www.homebeautiful.com.au/5-waysto-be-water-wise-in-the-garden
S M A R T E R D E C O R AT I N G
RENTING-FRIENDLY CHRISTMAS DECORATING IDEAS With Christmas less than a few weeks away it can be challenging to decorate without leaving markings as you hang up those decorations in your rental property. We’ve got some fun ideas to help you decorate without the need for any permanent markings as you create your own Christmas wonderland.
BY ON THE MOVE
Christmas light display by using hooks and clips. If you have a front veranda, try stringing lights to it using cable ties. Also you can
DECORATE WITH AUSTRALIAN NATIVE FLOWERS
decorate your lawn with lovely
Even the smallest of homes have
colours and beautiful lighting with
room for flowers and Australian
solar lights.
native flowers, like bright red bottlebrush, firey Christmas
ADD SOME FESTIVITY TO YOUR TABLE
bush and golden wattle, all feel
Enchant your table by creating
displays.
effortlessly cheery which makes them perfect for creating Christmas
a festive centrepiece by adding foliage, faux flowers, tinted glass bowls and candles to your table.
DIY CHRISTMAS VASES
Why not set this up well in advance
You can create your own decorations
it brings to your home.
of the day and enjoy the festive feel
for Christmas by using things that you already have around the house. No doubt, you already own several boxes of ornaments and fairy lights.
FIND CREATIVE WAYS TO DISPLAY ORNAMENTS
If you combine them with everyday
Don’t limit decorations to the
items such as twigs, pine cones
Christmas tree! Take stock of your
or candles in a mason jar, you can
home and look for creative places to
create beautiful arrangements that
drape tinsel or string up fairy lights.
are unique and eye catching.
DECORATING OUTSIDE There are many options these
Great places to hang extra lights
ABOUT THE CONTRIBUTOR On the Move is Australia’s leading service connections specialist providing a one-stop service for electricity,
are window ledges, mantelpieces,
gas, phone, internet, pay TV and insurance.
curtain rods and even mirrors or
Since 2004 On The Move has partnered with Real
artworks with bulky frames.
Estate agencies and other organisations to give their customers a convenient and seamless move-in,
days for decorating the outside of
lights-on experience.
your home with an extraordinary
https://www.onthemove.com.au/
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Moving?
Leave it to us Since 2004 we’ve partnered with Australia’s leading suppliers to bring
Connect six services in just one call
you a convenient and seamless move-in, lights-on experience. Simple and convenient One-call convenience. In 10 minutes, we can arrange to connect all 6 services.
Our service is free You get connected by a member of our Australiabased team, absolutely free of charge.
Our Promise to you We guarantee that your electricity and gas will be connected on your agreed move-in date*.
* Terms and conditions apply. Full details at onthemove.com.au
Move home with confidence and peace of mind 1300 850 360 | onthemove.com.au
Electricity
Gas
Home Phone
NBN / Broadband
Pay TV
Insurance