Antipodean Housing Deep Dive

Starting to fire up

Each month we take a graphical deep dive into the Antipodean housing markets.

Falling interest rates are starting to get the juices flowing in Australia’s established housing markets.

Housing price growth in May was solid and auction clearance rates have picked up. While some of this improvement is seasonal, anecdotal evidence from real estate agents suggests that buyer activity has strengthened since interest rates have been lowered.

Online search activity also points to renewed interest in investment property in Australia in May. There was also a jump in searches for “display home” in the month which have a solid (leading) correlation with house building approvals.

In contrast, online search activity suggests that Australian households’ appetite to renovate has recently diminished.