With 2025 on the horizon, we thought now was a great time to look back at the year that was in real estate. The Gold Coast’s property market surged to a whopping median price of $1.2 million, however many suburbs still sit at a more modest median - albeit much higher than just 3 years ago. The RBA held the cash rate throughout 2024, after raising it 5 times in 2023. REA Group senior economist, Eleanor Creagh, commented the consumer price index for the September 2024 quarter confirmed that inflation was easing, but noted the movement was “not enough to shift the RBA’s policy stance”. Despite the current weak economic growth in the country, the senior economist stressed that the RBA is “likely to remain on hold unless an external shock, higher unemployment or lower underlying inflation occurs, as it aims to sustainably return inflation to target”. While Creagh noted that the “higher number of properties listed for sale and uncertainty around rate cuts may slow price growth”, she said that prices are still “expected to keep rising as the selling season closes out”. LJ Hooker Group’s head of research, Mathew Tiller, shared his belief that the promising headline inflation figures had been overshadowed by “price pressures in services and housing”, which have caused the RBA to be “cautious about easing the cash rate”. “Government energy rebates and lower fuel prices are temporarily masking core inflation, making a rate cut now unlikely until 2025,” said Tiller. “While this isn’t good news for those struggling with home loan repayments, there is a lack of urgency for the RBA to take action as employment remains positive and people are still spending even with the strain on household budgets,” he said. In a hopeful sign for Australians struggling to secure a rental, the nation’s overall vacancy rate has jumped to its highest level in a year. There was a significant jump of 0.19 per cent in the number of rentals lying vacant in October, bringing the nation wide vacancy rate to - an admittedly still low - 1.36 per cent. The new figures from the latest PropTrack Market Insight Report come amid slowing rental price increases, in a sign that the rental market is finally putting on the breaks after years of surging prices. However, vacancies across the country are still well below the three per cent rate that’s considered the sign of a balanced market. “Despite the improvement, rental supply remains well below pre-pandemic levels, with 35 per cent fewer properties available for rent,” REA Group Senior Economist Anne Flaherty said. If you have any questions, our teams are available any time to talk about the property market, and hep you on your real estate journey. Welcome home. Passion, Persistence, Integrity, Innovation, Knowledge, Team Work Nicole Hintz Director Shane Colquhoun Director
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