Of all the property blows that have been landed since the onset of the COVID-19 pandemic, it’s houses in Melbourne’s high-end suburbs that have copped it the worst.
The RBA is worried that people and businesses are not willing to borrow despite record-low interest rates.
Melbourne is in the middle of a second strict COVID lockdown but it hasn’t stopped property developers finalising new deals to build thousands of homes.
It’s a tough time for everyone in the property market right now but a raft of government incentives are providing fertile ground for first homebuyers.
In amongst the turmoil of another round of COVID lockdown in Victoria, the RBA has kept the official cash rate steady at 0.25 per cent for another month.
Victoria’s strict new stage four restrictions could bring the state’s property sector to a standstill.
S&P Global Ratings say the second Melbourne COVID lockdown and lack of migration will hit house prices by 10 per cent.
The national median rent price has ended its long run of straight growth, dropping half a per cent amidst ongoing COVID-19 uncertainty.
Commercial property confidence has unfortunately sunk to a new low according to the National Australia Bank Commercial Property Index.
Parental lending to children has been in sharp decline since the May election last year, but it might be making a comeback.
