The average price of Australian residential property has risen over the past ten years, and in December 2024, it reached 976,800 Australian dollars. Nonetheless, property experts in Australia have indicated that the country has been in a property bubble over the past decade, with some believing the market will collapse sometime in the near future. Property prices started declining in 2022; however, a gradual upward trend was witnessed throughout 2023, with minor fluctuations in 2024. Australian capital city price differences While the national average residential property price has exhibited growth, individual capital cities display diverse trends, highlighting the complexity of Australia’s property market. Sydney maintains its position as the most expensive residential property market across Australia's capital cities, with a median property value of approximately 1.19 million Australian dollars as of April 2025. Brisbane has emerged as an increasingly pricey capital city for residential property, surpassing both Canberra and Melbourne in median housing values. Notably, Perth experienced the most significant annual increase in its average residential property value, with a 10 percent increase from April 2024, despite being a comparably more affordable market. Hobart and Darwin remain the most affordable capital cities for residential properties in the country. Is the homeownership dream out of reach? The rise in property values coincides with the expansion of Australia's housing stock. In the December quarter of 2024, the number of residential dwellings reached around 11.29 million, representing an increase of about 53,200 dwellings from the previous quarter. However, this growth in housing supply does not necessarily translate to increased affordability or accessibility for many Australians. The country’s house prices remain largely disproportional to income, leaving the majority of low- and middle-income earners priced out of the market. Alongside this, elevated mortgage interest rates in recent years have made taking out a loan increasingly unappealing for many potential property owners, and the share of mortgage holders at risk of mortgage repayment stress has continued to climb.

Portugal, Canada, and the United States were the countries with the highest house price to income ratio in 2024. In all three countries, the index exceeded 130 index points, while the average for all OECD countries stood at 116.2 index points. The index measures the development of housing affordability and is calculated by dividing nominal house price by nominal disposable income per head, with 2015 set as a base year when the index amounted to 100. An index value of 120, for example, would mean that house price growth has outpaced income growth by 20 percent since 2015. How have house prices worldwide changed since the COVID-19 pandemic? House prices started to rise gradually after the global financial crisis (2007–2008), but this trend accelerated with the pandemic. The countries with advanced economies, which usually have mature housing markets, experienced stronger growth than countries with emerging economies. Real house price growth (accounting for inflation) peaked in 2022 and has since lost some of the gain. Although, many countries experienced a decline in house prices, the global house price index shows that property prices in 2023 were still substantially higher than before COVID-19. Renting vs. buying In the past, house prices have grown faster than rents. However, the home affordability has been declining notably, with a direct impact on rental prices. As people struggle to buy a property of their own, they often turn to rental accommodation. This has resulted in a growing demand for rental apartments and soaring rental prices.

Over the past two years, industrial property operators have suffered from reduced total merchandise imports and exports. However, expansions in business inventories have helped the industry and growth in online shopping popularity has propped up demand for industrial properties, particularly warehouses and logistics buildings. Forecasts estimate industry revenue to climb at an annualised 23.2% for the five years through 2024-25 to $19.3 billion. Notably, this growth rate is relative to a low base year in 2019-20. This year saw negotiated lease agreements meant to accommodate the pandemic-era economic landscape. More recently, climbing interest rates have justified higher rental prices, which have helped swell revenue compared to the 2019-20 financial year. More recently, the industry has fallen in revenue, recording a 3.9% slump in 2024-25. The effect of mining demand has been twofold on the Industrial and Other Property Operators industry. As overall mining demand has decreased, in part because of a slowdown in construction in China, the number of storage facilities that mining companies need has reduced, while simultaneously, many of the larger miners have sought to secure their storage capabilities by building their own warehouses, trading rental costs for construction costs. Combating this has been an improving business confidence index, which bodes well for the industry as more companies potentially look to expand their operations, requiring them to lease more property and driving revenue up for the industry. Current profit margins are estimated at 31.2%, a healthy figure that should remain relatively stable for the next five years. Over this same period, the industry will face some troubles, with a rising bond rate redirecting investments away from property and indicating the possibility of higher mortgage rates. These raised costs will see consolidation in the industry as the more significant industry players with greater cash reserves or access to capital can exploit reduced competition for new properties up for sale. Forecasts estimate revenue to swell at an annualised 0.2% for the five years through 2029-30 to sit at $19.5 billion.

This information was complied from the Australian Bureau of Statistics in Partial fullfilment of Coursework for the Master of Data Science taught at UNSW

Household income and wealth Australia, Building Activity Australia, Affordable Housing Database, National and Regional House Price Indices, Population Projections, Lending Indicators

Household income and wealth Australia ->https://www.abs.gov.au/statistics/economy/finance/household-income-and-wealth-australia/latest-release, Affordable Housing Database ->http://www.oecd.org/social/affordable-housing-database.htm, National and Regional House Price Indices ->https://stats.oecd.org/Index.aspx?DataSetCode=RHPI_TARGET, Population Projections ->https://stats.oecd.org/Index.aspx?DataSetCode=POPPROJ, Lending Indicators ->https://www.abs.gov.au/statistics/economy/finance/lending-indicators/apr-2021

Over the past decade, the South Australian electricity market has undergone a dramatic change in supply mix. Prior to 2005, energy generation needs were predominantly sourced from gas and brown coal power stations. Since then, over 1500 MW of wind capacity and 680 MW of rooftop solar has been installed. At the same time, 770 MW of brown coal capacity has exited the market.These developments have substantially reduced the greenhouse gas emissions from South Australian electrical power generation. Recent steep increases, especially in the winter of 2016, has seen record high prices set, in what some have called the South Australian “energy crisis”. Recent media attention has focused on the relationship between the high level of penetration of renewable energy and the energy crisis. Much of the reporting has been framed in ideological terms - renewables are either ‘good’ or ‘bad’ - with little reference to quantitative analysis of the dynamics of the wholesale electricity market or movements in associated markets such as gas.This report explores the evolving dynamics in the electricity market in South Australia and how it is impacting wholesale prices. In particular, the report focuses on the growth in renewable energy generation, the impact of a changing gas market and market power concentration and competition issues.

In 2024, Sydney had the highest price per square meter of land across major cities in Australia. Lot buyers expected to pay a premium of ***** Australian dollars per square meter in the capital of New South Wales. Conversely, lot buyers in Adelaide expected to spend around *** Australian dollars per square meter of land. Prices through the roof Over the past decade, the surge in land and housing costs has been attributed to rapid population growth, driving up median prices for property and land, particularly in cities. In Sydney, the per square meter price of land has almost tripled since 2010, while the number of new property listings has declined over the years. A shortage of residential land available to build on has exacerbated the housing affordability crisis in Australia. Will lending rates continue to climb? The homeownership dream is out of reach for the average Australian without a housing loan. Nevertheless, Australia's high mortgage interest rates for both owner-occupiers and investors have impacted current and aspiring mortgage holders, with the value of household lending trending downwards over the past two years. While rates remained high in the first half of 2024, they likely reached their peak, as shown by the gradual plateau in the second half of the year. This stabilization should, in turn, accelerate buying, selling, and lending activities.

The Asia-Pacific condominiums and apartments market is experiencing robust growth, driven by rapid urbanization, rising disposable incomes, and a burgeoning middle class across key economies like China, India, and Japan. The market's Compound Annual Growth Rate (CAGR) exceeding 7.80% from 2019 to 2024 indicates a significant upward trajectory. This expansion is fueled by increasing demand for modern, comfortable housing, particularly in densely populated urban centers. Government initiatives promoting affordable housing and infrastructure development further contribute to market expansion. However, challenges such as fluctuating property prices, stringent regulatory environments in certain countries, and potential economic downturns could act as restraints on growth. The market is segmented geographically, with China, India, and Japan holding considerable market share, while other Southeast Asian nations are showing increasing potential. The substantial growth witnessed across the region demonstrates a favorable outlook for investors and developers, despite potential economic uncertainties. The competitive landscape includes both established international players and prominent local developers, reflecting a dynamic and evolving market. Further analysis indicates that within the segment of Production Analysis, consumption analysis is particularly strong in major metropolitan areas, fueled by high population densities and robust economic activity. Import and export analyses of the market reveal a complex interplay of local production and international trade, influenced by global supply chains and economic policy. Price trends show cyclical fluctuations, influenced by material costs, interest rates, and overall economic conditions. The market's future is characterized by a continued emphasis on sustainable building practices, technological integration in property management, and a growing focus on luxury and high-end residential options. The forecast period of 2025-2033 promises continued expansion of the Asia-Pacific condominiums and apartments market, although at a potentially moderated rate compared to previous years. While the CAGR will likely settle somewhat, the underlying drivers – urbanization, increasing affluence, and evolving lifestyle preferences – remain strong. The market will likely see further segmentation based on factors like property type (luxury vs. affordable), location, and amenities offered. Strategic partnerships between developers and technology companies will become increasingly common, driving innovation in areas such as smart home technology and property management solutions. Regulatory changes aiming to enhance transparency and affordability within the housing sector will continue to shape market dynamics. The successful navigation of potential economic fluctuations and the adaptation to evolving consumer preferences will be crucial for sustained growth during this forecast period. Continuous monitoring of economic indicators and demographic trends will be key to making accurate predictions regarding future market performance. Recent developments include: October 2022: The USD 280 million Gold Coast condo development in Australia is a collaboration between Banda, a development and design studio founded by Princess Beatrice's husband, Edo Mapelli Mozzi, and Australian real estate expert Rory O'Brien. The new development will provide the most luxurious condos in the area. Banda Design Studio will create 28 units: 20 residences, five sky homes, two duplex sub-penthouses, and a super-penthouse., March 2022: Goldman Sachs may collaborate with trading firm Sojitz to acquire and renovate older apartments that would otherwise go unnoticed by real estate investors. By the summer, they plan to form a joint venture to focus on rental housing in major Japanese cities. Properties that have been improved will be sold in batches to financial institutions and investment funds. The partners intend to invest JPY 40-50 billion (USD 323-405 million) in the company each year.. Notable trends are: Increase in Demand for Rental Properties.

The Crisis and Care Accommodation industry forms part of Australia's community welfare sector and provides services for some of the most economically vulnerable people in Australian society, including children, those with long-term disabilities and the elderly. Even before the COVID-19 pandemic and the cost-of-living crisis, a growing number of Australians were at increased risk of homelessness, with many experiencing financial hardship, persistent disadvantage and social exclusion. Stagnant wage growth in inflation-adjusted terms, heightened housing stress and associated incidences of family breakdown and family violence have boosted demand for crisis and care accommodation over the past few years. Given high inflation and rising rental costs, many of the industry’s clients have become increasingly vulnerable and their needs are also becoming more complex. Rising disability prevalence is creating additional challenges for residential care providers, with the Australian Bureau of Statistics finding that 5.5 million Australians had a disability in 2022 (latest data available). However, the ability to meet increased demand hasn't necessarily been matched by additional funding, constraining industry and profit growth. In light of these socio-economic variables and supply constraints, industry revenue growth is expected to be a modest 4.3% annualised over the five years through 2024-25 to $5.7 billion, including anticipated growth of 4.0% in the current year. Solid demand for residential care services will persist in the coming years, bolstered by a strong need for homelessness services as high rents and inflation exacerbate Australia’s housing crisis. An ageing population is set to continue driving demand for palliative care and respite services, while the existence of deep and persistent disadvantage among Australia’s most vulnerable population cohorts will continue to sustain demand for crisis and rehabilitation care. Government policies and associated regulatory reforms – including those stemming from the Royal Commission into Violence, Abuse, Neglect and Exploitation of People with Disability – will dictate the industry's operating environment. Industry growth rates will remain modest at 2.7% annualised through 2029-30, to reach $6.5 billion.

Explore key insights from a recent presentation on housing, labour and economic pressures, and why long-term policy direction is vital to Australia’s future.

The self-storage market, valued at approximately $XX million in 2025, is projected to experience robust growth, driven by several key factors. The rising urbanization trend globally, coupled with increased residential mobility and a growing preference for smaller living spaces, fuels the demand for convenient and secure storage solutions. The e-commerce boom also significantly contributes to the market's expansion, as businesses require warehousing space for inventory management and fulfillment. Furthermore, the increasing adoption of cloud-based storage solutions for digital data complements the growth of physical self-storage facilities, creating a diversified market landscape. The market is segmented by user type (personal and business), with both segments exhibiting substantial growth potential. The North American market, particularly the United States, currently dominates the global self-storage landscape due to high residential mobility rates and established infrastructure. However, emerging markets in Asia and Europe show promising growth trajectories, driven by increasing disposable incomes and changing lifestyles. Competition within the market is intense, with major players like U-Haul, Life Storage, and CubeSmart vying for market share through strategic acquisitions, technological advancements, and expansion into new geographical territories. While challenges such as fluctuating real estate prices and economic downturns exist, the long-term outlook for the self-storage market remains positive, projecting a Compound Annual Growth Rate (CAGR) of 3.65% from 2025 to 2033. Despite the positive outlook, certain restraints could impact market growth. These include increasing construction costs, stringent regulations related to environmental impact and zoning, and the potential for economic slowdowns impacting consumer spending. However, innovative solutions such as climate-controlled units, enhanced security features, and flexible lease terms are mitigating these challenges and driving customer acquisition. The ongoing development of specialized self-storage facilities catering to specific needs, like art storage or wine cellars, presents further growth opportunities. The market's resilience is also bolstered by the inherent inelasticity of demand for storage; individuals and businesses require storage solutions irrespective of minor economic fluctuations. The trend towards technology integration, such as online booking platforms and automated access systems, further streamlines operations and improves customer experience, contributing to market expansion. Recent developments include: In March 2024, Singapore's StorHub, a leading self-storage operator, entered the Australian market with the launch of StorHub Australia, supported by a USD 300 million equity commitment. StorHub's Australian platform begins with five properties in Sydney, Melbourne, and Canberra, featuring a combined gross floor area (GFA) of 56,210 square meters. These acquisitions enhance StorHub's presence in Australia and align with its pan-Asia growth strategy, adding 655,000 sq m to its portfolio across seven markets in the Asia-Pacific region., In February 2024, SecureSpace Self Storage announced opening a new self-storage facility, SecureSpace San Bernardino, located in San Bernardino, California. The self-storage facility has a proprietary high-security platform with artificial intelligence-enabled cameras and sensors offering state-of-the-art security and monitoring., In January 2024, Etude Capital, a company of self-storage facilities in the United States, and San Felipe Financing LLC, a private real estate entity, announced the launch of a Joint Venture, Etude Storage Partners, which would invest across the North American self-storage market.. Key drivers for this market are: Increased Urbanization Coupled with Smaller Living Spaces, Changing Business Practices and COVID-19 Consumer Behavior. Potential restraints include: Increased Urbanization Coupled with Smaller Living Spaces, Changing Business Practices and COVID-19 Consumer Behavior. Notable trends are: Personal Storage Segment is Expected to Hold Major Market Share.

Organisations in the Community Services subdivision play an integral role in Australia's wider care and support economy. Subdivision operators help to arrange paid and unpaid care and counsel for individuals in need, including the economically disadvantaged and other vulnerable members of society like children and the elderly. Favourable demographic trends and ongoing government funding - especially funding associated with the staged aged care reforms, the 2023 Cheaper Child Care policy and the National Disability Insurance Scheme - have supported the subdivision's performance in recent years. With a growing number of Australians experiencing persistent social and economic disadvantages, housing insecurity and associated mental health challenges, the Community Services subdivision has become increasingly overstretched and underfunded, especially as government indexation continues to lag cost inflation. At the same time, recent national inquiries have exposed several failings in Australia's aged care, disability and mental health systems, with the subdivision being the subject of several Royal Commission reviews, including the Royal Commission into Aged Care Quality and Safety and the Royal Commission into Violence, Abuse, Neglect and Exploitation of People with Disability. Sweeping regulatory reforms stemming from these Royal Commissions are now underway, shaking up the subdivision's operating environment. The subdivision's not-for-profit organisations and private enterprises are expected to receive $115.1 billion from government funding, donations and private income in 2025-26, following annualised growth of 7.3% over the past five years. This includes expected revenue growth of 2.0% in 2025-26, with legislative uncertainty and funding shortfall concerns constraining the ability of community service providers to help disadvantaged Australians grappling with the ongoing housing and cost-of-living crisis. Cost pressures, combined with increased regulatory burdens, will impact already slim profit margins during the year. Rising demand from Australia's ageing population and ongoing demand for child care services will support future industry growth, as will continued disadvantages for Australia's most vulnerable members of society. At the same time, labour shortages and profit margin pressures arising from long-term chronic underfunding will hamper the ability of the subdivision to meet demand. Further changes to the industry's operating backdrop in view of rising concerns over former government policies favouring the privatisation of aged care and child care may be imminent. Despite these challenges, revenue for the Community Services subdivision is forecast to climb at an annualised 4.0% through the end of 2030-31 to total $145.2 billion.