With Josh Frydenberg being our local member, we receive regular emails from him. This week’s correspondence included some juicy insights around why the property market was not severely impacted due to Covid (not that this was the purpose of his email):
- Employment of those aged 15-34 is 3.3 per cent LOWER in January 2021 than in March 2020.
- Whereas for those aged 35 and over, employment has INCREASED by 1.2 per cent.
Aside from some impressive youngsters, most property buyers are in the 35 and above age bracket.
The equation looks something like this:
More employment for ‘most’ property buyers + most savings ever + lowest rates ever + leverage + ‘unprecedented’ property competition = huge value increases!
Keep watching this space…we do not believe the property data algorithms can move as fast as the real world. Especially when you combine data lag due to settlement dates being well after the purchase date.
For a complete overview of the property market’s performance during Covid, listen to the Property Planner, Buyer and Professor podcast market update #16 – 2020, that’s a wrap!
If you’d like to discuss your property plans or mortgage strategy, please get in touch with us here.