C21 Market Pulse | Summer 2024 | Australia

Page 1


Century 21 Australia (02) 8295 0600 ADV er TISING e NQUI r I e S

Century 21 Australia (02) 8295 0600

DIS c LAI mer

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

T H e r OL e OF OFF- m A r K e T

OPPO r TUNITI e S

IN b LU e - c HIP

SU b U rb S

As the year winds down and Christmas is just three weeks away, the official property market has effectively hit pause. Most agents have already listed their final properties for the year, with no new campaigns likely to launch until well into January or early February. Many real estate professionals take extended breaks over the summer, not returning until after Australia Day.

This leaves buyers with a narrow window to secure a property – and the only real opportunities during this period are off-market transactions. For those looking to act quickly, tapping into off-market deals is the only viable strategy to purchase before traditional campaigns resume next year. This is especially true in premium markets where competition is fierce, and stock remains tight.

UNDERSTANDING THE OFF-MARKET LANDSCAPE

In blue-chip suburbs, off-market transactions – where properties are sold without public advertising – play a significant role. These deals are particularly common in premium locations where privacy and exclusivity are paramount for both buyers and sellers.

Sellers in these areas often opt for off-market transactions to maintain control and privacy during the sales

process, making this approach especially valuable in high-demand, tightly held markets.

WHY DO SELLERS OPT FOR OFF-MARKET?

• Discretion: High-net-worth individuals often prefer to keep their property transactions out of the public eye to maintain privacy.

• Targeted Marketing: Sellers may only want to deal with serious, qualified buyers, avoiding the hassle and spectacle of open inspections

• Pre-Market Testing: Some sellers use off-market listings to gauge interest and price expectations without committing to a full campaign.

THE COMPETITIVE ADVANTAGE FOR BUYERS

For buyers, off-market deals offer an opportunity to access high-quality properties without competing with the broader

market. This becomes especially critical during the holiday season lull, as these transactions may represent the only way to purchase in premium locations before new listings return in February.

Off-market transactions also enable buyers to establish more direct communication with sellers, allowing for tailored negotiations that can result in favourable terms.

HOW TO ACCESS OFF-MARKET OPPORTUNITIES

• Partner with a Buyer's Agent: Experienced buyer's agents often have extensive networks and early access to properties before they hit the market. They can connect buyers with opportunities in these sought-after areas.

• Build Relationships with Agents: Being known as a serious buyer to local real estate agents can ensure you're informed about properties coming to market discreetly.

• Leverage Personal Networks: Word-of-mouth referrals and community connections often uncover properties that aren't formally listed. This can be especially useful in close -knit communities or highly networked markets.

CHALLENGES OF OFF-MARKET BUYING

While off-market deals offer exclusivity, they can also pose unique challenges:

• Pricing Transparency: Without other bidders at auction, it can be harder to determine if you're paying a fair price.

• Limited Time to Decide: Sellers often expect quick decisions in off-market transactions, especially during the holiday period.

• Fewer Options: Off-market properties represent only a fraction of the total market,

requiring buyers to be flexible and prepared to act decisively.

TIPS FOR BUYERS

• Be Ready to Move Fast:

Ensure your finances are pre -approved and be prepared to act quickly when an opportunity arises. In competitive blue-chip markets, delays can mean missing out entirely.

• Do Your Research:

Understand the suburb’s market dynamics to assess the value of a property accurately. Knowing average prices and specific trends in the area can give you an edge in negotiations.

• Engage Experts:

Work with professionals like buyer's agents, property advisors, and valuers who specialise in blue-chip markets to guide your decisions. Their expertise can be invaluable in areas where every deal is unique.

SEASONAL REALITIES:

A TIME-SENSITIVE OPPORTUNITY

With the official market effectively shutting down for the next one to two months, off-market opportunities are the key to staying ahead. For time-poor professionals or high-net-worth individuals eager to secure a property in iconic suburbs, the holiday period doesn’t have to mean waiting until February.

Off-market transactions allow buyers to act decisively during the seasonal lull, bypassing the competition that comes with traditional campaigns.

Off-market transactions are a powerful tool for savvy buyers in blue-chip residential markets. During this seasonal lull, they’re not just an advantage – they’re the only viable pathway to securing a property before the market restarts. By leveraging the right relationships, networks, and expertise, buyers can gain an edge and secure their dream home or investment property. For those seeking properties in elite suburbs, off-market access offers the exclusivity and opportunity needed to stay ahead of the curve.

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 Facebook: @ChrisGraySydney

TIME TO SELL YOUR PROPERTY?

We will go above and beyond to get the best price for you.

N ATIONAL UPSWING IN HO me VALU e S IS ALL b UT OV er WITH VALU e S r ISING JUST

0.1% IN NOV

ember

CoreLogic’s national Home Value Index (HVI) rose by just 0.1% in the last month of spring, the weakest Australia-wide result since January 2023. This marks the 22nd straight month of growth, but it could be close to the last in this cycle.

“The downturn is gathering momentum in Melbourne and Sydney,” said Tim Lawless, CoreLogic’s research director.“While the mid-sized capitals, which have dominated the growth cycle of late, are also losing steam.”

Melbourne, where housing values have fallen over ten of the past twelve months, recorded a -0.4% fall over the month, taking values -2.3% lower over the past year.

For Sydney, August likely marked the peak of the cycle, with values flattening in September and falling -0.2% in October and November.

On a rolling quarterly basis, we are now seeing four of the eight capitals record a fall in values, led by Melbourne (1.0%) and joined by Darwin (-0.7%), Sydney (-0.5%) and Canberra (-0.3%).

“The mid-sized capitals and most of the regional ‘rest of state’ markets continue to provide some support for growth in the national index,

but it is clear momentum is also leaving these markets,” added Mr Lawless.

Perth’s pace of capital gain continues to lead the nation, with values up 1.1% over the month and 3.0% higher over the rolling quarter, however this was the softest rise over a rolling three-month period since April 2023 and is less than half the rate of growth recorded through the June quarter (6.7%).

Similarly, Brisbane’s quarterly rate of growth has eased back to 1.8%, the slowest pace of gains since March 2023, while Adelaide’s 2.8% rise in values over the past three months was the smallest outcome since June 2023.

Outside of the capitals, regional housing trends have been a little stronger, with the combined regional index rising 1.1% over the past three months compared with a 0.3% lift across the combined capitals. That being said, like

the capital city trends, there is significant diversity, with regional Victoria weighing on the headline numbers, down -0.9% over the rolling quarter, while every other ‘rest of state’ region continued to record a mild rise, led by regional WA up 3.3%.

Weaker housing conditions have been accompanied by a rebalancing in available supply as vendor activity lifted through spring. Based on the volume of houses and units advertised for sale over the four weeks ending November 24th, capital city listings are up 16% since the end of winter, with Perth (+33%) and Adelaide (+25%) recording the largest lift in advertised stock levels through the spring season, albeit from an extremely low base, with total listings remaining well below average in these cities.

Sydney and Melbourne listings are now tracking 10.4% and 9.1% above

Continued over page

Continued from previous

their previous respective five-year averages, to be at their highest level for this time of the year since 2018. At the same time, purchasing activity looks to be winding down. CoreLogic’s estimate of capital city home sales over the past three months is -4.6% lower than a year

ago and 2.0% below the previous five-year average. The largest drop in the volume of home sales has been in Sydney, where sales over the rolling quarter were estimated to be -15.4% lower than a year ago and -15.1% below the previous five-year average.

With more available supply and less purchasing activity, selling

conditions have deteriorated through spring. The combined capitals auction clearance rate has held below the 60% mark since mid-October, and median selling times are trending higher for private treaty sales.

PANTON e c OLOU r OF TH e Y e A r 2025: HOW TO IN c O r PO r AT e m O c HA m OUSS e INTO YOU r D ec O r

As we step into 2025, the design world has found its new muse in Pantone's Colour of the Year: Mocha Mousse (PANTONE 17-1230). This inviting, medium-toned brown exudes a luxurious warmth and elegance, striking a perfect balance between earthy simplicity and refined sophistication. It’s a shade that seamlessly fits into both contemporary and classic interiors, offering endless opportunities for design enthusiasts to craft harmonious, inspiring spaces.

WHY MOCHA MOUSSE

Inspired by the richness of chocolate and the comfort of coffee, Mocha Mousse is more than just a colour – it’s a mood. Its versatile and grounding nature makes it an ideal choice for creating cosy yet stylish interiors. Whether you're refreshing a single corner of your home or redesigning an entire space, Mocha Mousse provides a reliable foundation with an indulgent twist.

INTEGRATING MOCHA MOUSSE INTO YOUR HOME

Here are some creative ways to incorporate this great shade into your interior design:

1. Statement Wall

Transform any room into a sanctuary of warmth by featuring Mocha Mousse

on an accent wall. This bold yet soothing choice works beautifully in living rooms and bedrooms, enhancing comfort and intimacy. For balance, pair it with soft neutrals like ivory or light beige.

2. Furniture with Flair

Let your furniture make a statement with this trending colour. A plush Mocha Mousse velvet couch or a sleek leather armchair can instantly elevate your space. If purchasing new furniture isn’t an option, introduce this hue with slipcovers, throw blankets or cushions.

3. Subtle Décor Accents

Sometimes, the smallest details have the biggest impact. Incorporate Mocha Mousse through decorative items

such as rugs, curtains, artwork or even vases. These accents allow you to experiment with the colour without committing to a major overhaul.

4. Elevated Kitchens and Dining Rooms

Don’t confine Mocha Mousse to just living areas. Bring understated luxury to kitchens and dining spaces with this shade. Whether used for cabinetry, dining chairs or table settings, it pairs beautifully with wood tones and metallic finishes, creating a sophisticated yet inviting ambiance.

5. Spa-like Bathrooms

Transform your bathroom into a retreat by incorporating Mocha Mousse through towels, tiles or accessories. The warmth

of this colour suits both minimalist and lavish aesthetics, offering a perfect backdrop for relaxation.

COLOUR PAIRING POSSIBILITIES

One of Mocha Mousse’s greatest strengths is its adaptability. This colour complements a variety of palettes, allowing you to explore creative pairings:

1. Neutral Companions: Combine it with shades like taupe, cream or sandy beige for a serene, monochromatic look.

2. Vibrant Contrasts: Add depth and drama with rich greens such as forest or teal.

3. Metallic Highlights: Accentuate its warmth with gold, brass or bronze for a touch of glamour.

A COLOUR FOR THE FUTURE

Mocha Mousse isn’t just a trend, it’s a celebration of comfort, connection and timeless elegance. As we continue to seek balance in our lives, this colour brings a sense of grounding and harmony to our

living spaces. Whether you’re drawn to bold design moves or subtle enhancements, Mocha Mousse provides a foundation for creating interiors that feel as good as they look.

H OT 100 SU b U rb S

TO WATc H IN 2025: e XP er T P re DI c TIONS

What do St Kilda East, Maroochydore, Enmore and Broome have in common? They’re all suburbs in the 2025 REA Group Hot 100.

For the third year, experts from around the country have nominated suburbs they tip to see short- to medium-term price growth based on nine lifestyle, demographic and economic factors.

The 226 nominated suburbs were then analysed by REA Group’s Hot 100 project team to narrow down the list of suburbs to watch in 2025. This year’s list has a large number of affordable suburbs, REA Group director of economic research Cameron Kusher said. “In a lot of instances, the places that have been chosen are more affordable areas, particularly in the capital cities,” Mr Kusher said.

He said though there were suburbs on the list with median house prices of more than $1 million, the type of homes in those suburbs were larger and better quality than in other more expensive areas.

“In Queensland, Adelaide and Perth in those really premium suburbs, you're still paying a lot less than you would for the equivalent suburb in Melbourne or Sydney.”

Suburbs were nominated based on various growth drivers, including:

• Affordability, either low prices suiting buyers on a budget or relative affordability compared to nearby suburbs.

• Amenity, being the level of lifestyle pluses, from bars and restaurants to boutiques and parklands.

• Family appeal, such as dwelling type, perceived safety and proximity to good schools

• Location, including proximity to the CBD or major hubs, or closeness to natural amenity like beaches.

• Investment prospects, from rental market conditions to expected imminent upside

• Gentrification, being the changing face of a suburb.

• Population growth, representing a projected increase in the number of locals.

• Demographic change, indicating a shift from the current make-up

of residents, for example young families replacing downsizing elderly locals.

• Infrastructure, looking at major investments in projects that will benefit the suburb or surrounds.

2025 TRENDS: SECRET SUBURBS AND INVESTOR HOT SPOTS

Suburbs in Sydney and Melbourne of course do feature on the list, but many of those are lesser-known suburbs that may benefit from amenities in neighbouring areas, or be starting to see gentrification, which is what the list intends to show, REA Group economist Anne Flaherty said.

“It's about opening your eyes to other suburbs out there. We know that a growing number of buyers are being priced out of more and more suburbs. So, people are having to sort of broaden their horizons to other areas that they might be able to buy in,” Ms Flaherty said.

“This is a good way of helping educate people about other suburbs out there that might offer them the quality of life that they're looking for.”

Continued over page

Continued from previous

Many of the suburbs were also had strong investment prospects, Ms Flaherty said.

“One of the trends that stood out to me immediately is a lot of them are relatively high yielding suburbs. So, they have a relatively high level of rental income relative to the actual price of the property.”

Mr Kusher said suburbs in WA in particular were seeing strong rental yields in relation to purchase prices.

"Even though prices have gone up a lot in WA, if you're an investor focused on the yield, it definitely still ticks the box, and you're still getting that capital growth," he said.

THE EXPERTS BEHIND THE HOT 100

The list was compiled by a panel of industry experts – including the heads of major agency groups, buyer’s agents, researchers, investors and an academic – and complemented by PropTrack data and economic analysis.

Despite recent price declines in Melbourne and, conversely, the increasingly expensive conditions

in Sydney, both cities still attracted people for their employment opportunities, Mr Kusher said, and Ms Flaherty tipped Melbourne for strong future growth.

"I do think Melbourne is well placed for a recovery," she said. "If you look at the fundamentals of Melbourne's property market, it is forecast to be the strongest growing capital city [for population], it has the most diverse local economy, it attracts very high numbers of international students and international migrants.

"It's also been relatively better at providing more housing supply, but that is going to start to change. We are seeing a very significant slowdown in the rate of new construction activity in Victoria. So at some point that population growth, and the slowdown in housing supply is going to lead property prices in Melbourne back upwards."

When it came to the regional areas on the list, many were suburbs famed for their beachside lifestyle, something Mr Kusher said Australians overwhelmingly favoured.

"By and large, the places that people are recommending are coastal, and that reflects the fact that, aspirationally, most people in Australia still want to live near or close to the beach, if they can find a way to do that."

In suburbs where there has not been enough sales or rental activity over the past 12 months to give an accurate price indication, PropTrack data will reflect N/A in the tables below.

Here are the 100 suburbs the experts have tipped for 2025 –whether you're a first-home buyer, investor or upsizer – you may just find your perfect match here.

Jump to your state or territory

• New South Wales

• Victoria

• Queensland

• South Australia

• Western Australia

• Australian Capital Territory

• Tasmania

• Northern Territory

Originally published on realestate.com.au.

Click here to read the full article

YourPorter specialises in connecting household utilities ensuring your moving experience is made easy. Freedom – stay in total control, making choices to suit your needs be it cost, product features or supplier preference Our service comes at no cost and no obligation to you Simple – use our easy, online signup process or speak to one of our friendly consultants on the phone.

Once

Turn static files into dynamic content formats.

Create a flipbook
Issuu converts static files into: digital portfolios, online yearbooks, online catalogs, digital photo albums and more. Sign up and create your flipbook.