23 Oct More proof not to ignore the regional markets – Simon Pressley
34% of Australia’s population choose not to live in one of our eight capital cities. That is one in three people. Across the country, there’s a plethora of regional locations with a stable population base, essential infrastructure and affordable housing. We discussed some of those locations with Simon Pressley.
Kevin: Well certainly the recent negative property media relates primarily to Sydney and Melbourne. We’ve said that in the past. There have been downturns in those areas, so everyone seems to think that nationally the property market’s in decline, but we should remind you that one in three Australians choose not to live in a capital city.
Kevin: So, what impact does that have on property prices? A recent blog article that we carried on our site, and check it out from Propertyology, points out that there are factors that we need to take into consideration to get a full picture for what’s happening with the Australian property market. Joining me to talk about that, Simon Presley from Propertyology. Simon, thanks again for your time.
Simon: My pleasure, Kevin.
Kevin: Let’s talk about the property markets. You say in the blog article that four out of the eight capital cities, including three of Australia’s four biggest capital cities produced small declines over the last 12 months.
Simon: Yeah, that’s right. I mean, so, Sydney, Melbourne, and Perth. Three out of our four biggest cities, lost there absolutely no question, but those three big markets have had price declines over the last 12 months. With the exception of Hobart, the other three out of our eight capital cities have had very very mild price growth 0.8% in Brisbane the last 12 months, 0.7% in Adelaide, and 2% in Canberra.
Simon: But look it was a few years ago Kevin that Propertyology went on record and said “we anticipate there’s gonna be a very lean period for capital city property markets ahead, but the opportunities will be in regional Australia”. So, we’ve been saying that for long time on this show we’re producing lot’s of evidence to try to educate people. The latest bit of information we’ve put out in the public domain is an interactive map. So the Propertyology website there’s a map where people can scroll around there’s actually 64 locations none of which are in a capital city where property prices are growing as we speak. Some of those growths are mild 2% or 3%, there’s actually 16 locations throughout Australia right now that have produced double digit price growth.
Kevin: Yeah, I’m looking at this map now and you can go to the Propertyology website. We’re gonna carry this blog article underneath this interview and also give you a link to the Propertyology site. Strongly suggest, when we go to the site where can we find it there? Cause I’m looking inside your blog article at present.
Simon: Yeah, so go to Propertyology.com.au. Click on the insights tab in the menu bar right across the top of the page and it’s the very first blog that’s live on our site now titled “Where to Find Australia’s Strongest Property Market”. Click on there, there are some short commentary about what’s happening throughout Australia including as you very wisely said at the start of this interview Kevin, reminding people that 1 in 3 Australians choose to not live in a capital city.
Simon: If you’re looking to invest it’s not a matter of whether you would or would not live there. The key is do others want to live there and why do they want to live there and what’s happening to influence their individual property markets, but large parts of regional Australia, they are producing some, you know, in some cases we’re talking double digit price growth.
Kevin: Yeah so we’ll carry that link below so jump into that, that’ll take you if our smarts are right. We’ll try to work it out so we can take you straight to that blog article. I’m just looking on the map now. You just simply click on one of the locations. I’m looking at, let’s say for example, North Queensland. I’ve just clicked on that and there are two locations in that area that are featured.
Simon: Yeah so it enables people to zoom right in, to scroll around. The statistics on the interactive map shows you the change in median house price over the last 12 months. It also shows you what the median house price value is, so if you are contemplating investing in some of these locations and you’re curious what the cost of a typical property will be you’ll see that all on our exciting new interactive map
Kevin: Yeah it is exciting too. I just clicked on the Brisbane link too and you can see various locations around and then you just move in to get the locations and all of the stats. So we’ll put that link up, but once again it highlights the story that we’ve been banging away about for sometime, you more than us. But that there are bigger fish to fry when you get outside the cap city market Simon.
Simon: As they say small fish are sweeter Kevin, and nothing could be truer in Australian property climate right now.
Kevin: Well you’ve proven that to us time and time again. Simon Presley from Propertyology, thanks for your time Simon.
Simon: Thanks Kevin, have a great day.