C21 Market Pulse | Summer 2021 | Australia

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PUBLISHER Century 21 Australia Pty Ltd

CONTRIBUTORS Chris Gray Tim Lawless Nicola Conville On The Move

EDITORIAL ENQUIRIES Century 21 Australia (02) 8295 0600

ADVERTISING ENQUIRIES Century 21 Australia (02) 8295 0600

WELCOME TO THE

SUMMER 2021 ISSUE OF

C21 MARKET PULSE

DISCLAIMER We have in preparing this information used our best endeavours to ensure that the information contained therein is true and accurate, but accept no responsibility and disclaim all liability in respect of any errors, inaccuracies or misstatements contained herein. Prospective buyers and sellers should make their own enquiries to verify the information contained herein. All information contained in the CENTURY 21 Australia Pty Ltd website is provided as a convenience to clients. All links to property prices displayed on the website are current at the time of issue, but may change at any time and are subject to availability. For more information on our Privacy Policy please refer to: www.century21.com.au/privacy


C O N T E N T S S U M M E R

BOOM OR BUST

02-03

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WATER WISE GARDENS

How much will your property grow by in 2021?

5 ways to be water wise in the garden.

Your Empire CEO, Chris Gray

Home Beautiful Magazine, Nicola Conville

PROPERTY MARKET UPDATE

05

SMARTER DECORATING

Dwelling values rise across every capital city and rest

Renting friendly Christmas decorating ideas.

of state region.

On The Move

Corelogic Head of Research, Tim Lawless

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BOOM OR BUST

HOW MUCH WILL YOUR PROPERTY GROW BY IN 2021?

B Y C H R I S G R A Y, C E O, YO U R E M P I R E

Chris Gray began his property investing journey when he was 22 years old. With only $35,000, he spent the next nine years learning about investing firsthand, and applying that knowledge to his own portfolio now worth over $15m.

it might be putting property even

best being Sydney at 6.1%, Hobart at

further out of reach.

6.4% and Canberra at 6.8%.

Before we discuss 2021, let’s take a

2021 is predicted to have an even

quick look back at 2020:

better result with Melbourne 2-6%,

In Jan and Feb, the market was off to a great start after the previous year’s

COVID has shown that no one can

looking rosy. COVID hit in March

100% accurately predict the market

and then we were looking down the

and so the author of the report, Louis

barrel of a 10% – 30% crash in the

Christopher, has included a number

market, according to many of the

of different results given different

Due to a number of

SQM Research has their Boom-andBust report for 2021 and I think that most property owners will be very happy with their

factors (including

"...for those buyers that took the situation as an opportunity, they look to profit over the coming years if the SQM predictions do come true."

6-month mortgage

that are yet to enter the market may not be so happy as

COVID and how the government and banks react. You also need to be aware that these are average results for a capital and there’s literally hundreds of micro

falling interest

markets depending on location, price

rates, lack

point and condition of a property. So,

of stock) we

if your property is in an area of high

never saw

supply such as a CBD or an area with

that drop and

thousands of similar properties or in

12-month data to Nov 2020, all capital cities saw a net positive result, with the

C21 MARKET PULSE

scenarios of what happens with

extensions,

from the SQM

capital growth predictions. Those

Perth 8-12%.

election result and everything was

bank’s economists.

recently launched

Brisbane 4-8%, Sydney 7-11% and

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an area of low demand such as those purchased or renters by foreigners, that are less active, then you might get a completely different result.


202 1 SCENARIO 1

AC T UA L S

202 1 SCENARIO 2

(BASE CASE)

• Cash Rate unchanged at 0.1%

• JobKeeper phased out as planned (March)

• QE Expands

• JobSeeker returned to base

• 3 COVID-19 wave contained via more lockdowns rd

• 12 months to 22-Nov-2020 All dwellings

• JobKeeper extended to Sept Qtr 2021

• QE unchanged. Rates unchanged • Progressive roll out of COVID-19 vaccine

• Progressive roll out of COVID-19 vaccine

• 3 COVID-19 wave contained via more lockdowns rd

202 1 SCENARIO 3

• Better than expected roll out of vaccine in 1 st half of year • Bounce in employment • No more lockdowns, State borders remain open, regional hub open • JobKeeper phased out as planned

202 1 SCENARIO 4

• No vaccine released in 2021 • International/State borders remain closed • Negative cash rate • JobKeeper/Seeker extended to end of year

• QE scaled back after mid-year

PERTH

+0.8%

+8% to +12%

+8% to +12%

+10% to +15%

+3% to +6%

BRISBANE

+3.5%

+4% to +8%

+4% to +7%

+5% to +9%

+3% to +6%

DARWIN

+2.8%

+6% to +9%

+3% to +6%

+3% to +6%

+6% to +9%

MELBOURNE

+0.7%

+2% to +6%

-5% to 0%

-1% to +4%

-3% to +3%

SYDNEY

+6.1%

+7% to +11%

0% to +4%

+3% to +7%

+4% to +8%

ADELAIDE

+4.4%

+6% to +10%

+1% to +4%

-2% to +2%

+4% to +8%

HOBART

+6.4%

+3% to +7%

-2% to +3%

+3% to +6%

+1% to +3%

CANBERRA

+6.8%

+5% to +9%

+5% to +9%

+4% to +7%

+2% to +6%

Capital City Average

+3.5%

+5% to +9%

0% to +4%

+2% to +6%

+2% to +6%

(weighted)

Source: Christopher's Housing Boom and Bust Report 2021

If you are in an area of low supply

3) Have enough cash to hold on for

due to height restrictions or lack of

available land and there’s plenty of demand from high income earners, then you’re more likely to beat those average predictions. The repercussions of COVID could have been very bad for all property owners but it looks like most have survived, at least for the time being as it’s not over yet. However, for those buyers that took the situation as an opportunity, they look to profit over the coming years if the SQM predictions do become true. My advice to anyone has always been to not time the market and to buy when you:

the short to medium term, and;

4) You can buy the right property

at the right price.

I still believe in this and so if you haven’t bought yet, or have the ability to buy more, buying today will probably be cheaper than buying tomorrow.

ABOUT THE CONTRIBUTOR Chris Gray is CEO of Your Empire, a buyers’

There is a lot more to the report than just the table and so to get

agency that buys homes and investments for time-poor people – searching, negotiating, renovating and managing property on their

the full story, you can purchase

behalf. Chris has spent over 10 years as the

the full report for $59.95 here:

host of ‘Your Property Empire’ on Sky News

https://sqmresearch.com.au/ boombustreport.php

Business channel, where he’s interviewed various heads of property research companies and major industry figures. Chris

NB: I have no financial arrangement with Louis Christopher or SQM Research.

is a qualified accountant, buyer’s agent and mortgage broker. For more information visit www.yourempire.com.au, www.chrisgray.com.au and follow Chris on

1) Have the deposit

Twitter: @ChrisGrayEmpire.

2) Can get a mortgage

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EXPANDING NETWORK

NEW C21 OFFICE OPENS IN BURWOOD NSW An experienced team of real estate professionals have opened an agency in Sydney’s inner west under the Century 21 brand. Directors Eugene Ganke, Jada Vi, Betty Lu, and Ricky Kong are a team that are passionate about property. Together they will operate the Burwood real estate business after having worked together in different roles across independent and franchise agencies. “We are incredibly excited to be partnering with the bold and dynamic Century 21 brand whose vision and values really resonated with us,” said Mr Ganke who has over 10 years of industry experience. “It’s great to have received so

Fellow Director Jada Vi offers six

Century 21 Chairman and Owner

years of real estate experience

Charles Tarbey is pleased to have

said each member of the team

this young team come together

brought a wealth of knowledge

under the C21 brand and is

and skills that complement each

confident of their success.

area of real estate.

“The passion and drive that these

“Our combined focus will be to

individuals have for real estate

ensure that the sale or management

is inspiring. By leveraging the

of our customers most valuable

strength of the C21 brand, training

assets are given the highest priority

and technology, I am sure they will

and utmost care.”

achieve their immediate goal of

The new team believes there is a gap in the local market for

The new office will benefit from

agents which they will aim to fill.

the continued partnership that

They will offer sales, property management and

“Our combined focus will be to ensure that the sale or management of our customers most valuable assets are given the highest priority and utmost care.”

our own agency. We look forward to growing with this global brand for many years to come and leveraging their processes and platforms to deliver a level of service and care that is unmatched”.

Mr Tarbey said.

Cantonese and Mandarin speaking

project marketing

much support to start

being the best agency in Burwood,”

services with an emphasis on delivering exceptional service.

Century 21 have with Bauer Media across the Home Beautiful website and magazine. With the majority of that audience owning or paying off their own home, having ownership in sight or looking to invest, the initiative not only showcases C21 properties

The office

to consumers with an interest in

will be

property, it also generates strong

rounded out by Betty

buyer and seller leads for the network.

Lu who has

experience in real estate and running her own business, and rising star Ricky Kong who in his first year with a major franchise made the Top 100 agents list on GCI.

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The story New C21 office opens in Burwood NSW, first appeared on Elite Agent. Article Link: https://eliteagent.com/new-c21-officeopens-in-burwood-nsw/


P R O P E R T Y M A R K E T U P DAT E

DWELLING VALUES RISE ACROSS EVERY CAPITAL CITY AND REST OF STATE REGION Australia's housing market continued along a recovery trend through November. CoreLogic’s national index recorded a second consecutive monthly rise in November, with dwelling values up 0.8% over the month. The new recovery trend follows a 2.1% drop in Australian home values between

BY T I M L AW L E S S , CO R E LO G I C H E A D O F R E S E A R C H

2017. While rising, Perth values are

“The resilience in Melbourne unit

similar to mid-2006 levels, whilst

values is surprising given the high

Darwin values are in line with 2007

supply levels across inner city

levels. At the other end of the

areas and the sharp decline in

spectrum, housing values moved

rental conditions. We suspect the

to new record highs in Brisbane,

stronger trend in Melbourne unit

Adelaide, Hobart and Canberra

values relative to houses could

through November.

be short-lived unless overseas

House and unit value performance has shown more divergence in recent months. House values

migration turns around sooner than expected which would help to shore up rental tenancy demand,” Mr Lawless added.

April and September.

have driven gains in the combined

According to CoreLogic’s Head

capitals index over the past three

The stronger performance

months, rising 1.1%. While the

across regional areas of Australia

rate of decline has eased, capital

continued in November, with

city unit values fell by -0.6% over

CoreLogic’s combined regionals

the same period.

index recording a monthly growth

of Research, Tim Lawless, if the current growth trend persists, we are likely to see CoreLogic’s national home value index surpass preCOVID levels in early 2021. “The national home value index is still seven tenths of a per cent below the level recorded in March, but if housing values continue to rise at the current pace we could see a recovery from the COVID downturn as early as January or February next year. The recovery

“This trend towards stronger conditions in detached housing markets is evident across most of the capital cities. Relative weakness in the unit market can be attributed to factors including low investment activity, higher supply levels in some regions, and weaker rental market conditions across key inner

in Melbourne, where home values

city unit precincts,” Mr Lawless said.

remain 5% below their recent peak,

Melbourne’s unit market is the

will take longer.”

exception, where unit values

Although housing values look set

have recorded a smaller then

to surpass their pre-COVID highs early next year, both Sydney and Melbourne home values remain at levels similar to those seen in early

expected decline throughout the COVID period to-date and a more substantial recovery trend over recent months.

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rate double that of the combined capitals. Regional home values were up 1.4% in November compared with a 0.7% rise in capital city values. Regional Queensland has led the rise in values over the past three months, posting a 3.2% lift, followed by regional NSW where values are up 3.1%.

Click here to read the full article


WAT E R W I S E G A R D E N S

5 ways to be water wise in the garden It’s never been more important to save our water supplies, here are some expert tips to get you started.

BY NICOLA CONVILLE,

D I G I TA L C O N T E N T E D I TO R , H O M E B E AU T I F U L M AGA Z I N E

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“While kitchens and bathrooms offer the biggest opportunity for water conservation, a few simple changes in the garden can also make a big difference,” says TV personality and Horticulturist, Melissa King who discusses the latest ways to save water in your garden. 1. WATER AT THE RIGHT TIMES Restrictions dictate that watering should be done before 10am or after 4pm. Set customised schedules easily with wifi controllers that allow you to control your sprinklers through your mobile, no matter where you are. Create several watering settings according to

It also provides an opportunity to

frost resistant as they stand up to all

get up close and personal with

weather conditions and hold their

your plants, so you can detect any

colour beautifully.

issues early and get on top of them quickly. Water restrictions state that all hoses must have a trigger nozzle, and it’s a great idea to choose one with different settings for all your watering needs to allow you to easily shut the water on and off on, effectively minimising wastage.

Gardens and lawns are often the first areas to suffer in dry conditions, but Melissa says all that it takes is some common sense, a little creativity and the right tools to conserve moisture and keep your plants happy and healthy.

4. USE A WATERING CAN Watering cans are also a great water-saving option. Choose a can with lots of small holes to help give you an even distribution of fine water droplets, it lets water soak deeper into the roots. The Nylex Premium Spray Gun has seven different functions and allows you to easily shut the water on and off with its simple to use click control design, effectively minimising wastage.

the needs of each section of your garden to ensure that plants stay healthy while paving and walls stay dry.

5. CHOOSE YOUR POTS WISELY When every drop counts, the right

2. MOVE WITH THE RAIN Rain sensors prevent unnecessary watering, providing savings of up to 20%. The Rain Bird Wired Rain Sensor easily connects to most irrigation system controllers and

pots can really make a difference. If you love the look of classic terracotta, look out for pots in Northcote Pottery’s CottaSEAL collection, which are treated with a water-resistant sealant that helps to prevent moisture loss.

automatically shuts your sprinkler

If you’re after a more modern look,

ABOUT THE CONTRIBUTOR

system off when it rains, leaving you

turn to plastic pots. They’ve come

worry free whether at home or away.

a long way in recent years and now

Home Beautiful is Australia’s fastest growing homemaker brand. With beautiful

come in a range of fantastic designs,

original photography, gorgeous styled

3. GET HANDS ON

colours and finishes to suit any

stories and signature inspirational how-tos,

Hand watering is another great way

locations as they can build up heat

to care for your garden and allows

in the sun, leading to unwanted

you to tailor your watering to the

evaporation. Additionally, look for

needs of specific crops or plants.

plastic containers that are UV and

garden. Keep darker pots in shaded

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Home Beautiful is simply one of the most loved, most recognised and commercially successful brands in Australia. Article Link: https://www.homebeautiful.com.au/5-waysto-be-water-wise-in-the-garden


S M A R T E R D E C O R AT I N G

RENTING-FRIENDLY CHRISTMAS DECORATING IDEAS With Christmas less than a few weeks away it can be challenging to decorate without leaving markings as you hang up those decorations in your rental property. We’ve got some fun ideas to help you decorate without the need for any permanent markings as you create your own Christmas wonderland.

BY ON THE MOVE

Christmas light display by using hooks and clips. If you have a front veranda, try stringing lights to it using cable ties. Also you can

DECORATE WITH AUSTRALIAN NATIVE FLOWERS

decorate your lawn with lovely

Even the smallest of homes have

colours and beautiful lighting with

room for flowers and Australian

solar lights.

native flowers, like bright red bottlebrush, firey Christmas

ADD SOME FESTIVITY TO YOUR TABLE

bush and golden wattle, all feel

Enchant your table by creating

displays.

effortlessly cheery which makes them perfect for creating Christmas

a festive centrepiece by adding foliage, faux flowers, tinted glass bowls and candles to your table.

DIY CHRISTMAS VASES

Why not set this up well in advance

You can create your own decorations

it brings to your home.

of the day and enjoy the festive feel

for Christmas by using things that you already have around the house. No doubt, you already own several boxes of ornaments and fairy lights.

FIND CREATIVE WAYS TO DISPLAY ORNAMENTS

If you combine them with everyday

Don’t limit decorations to the

items such as twigs, pine cones

Christmas tree! Take stock of your

or candles in a mason jar, you can

home and look for creative places to

create beautiful arrangements that

drape tinsel or string up fairy lights.

are unique and eye catching.

DECORATING OUTSIDE There are many options these

Great places to hang extra lights

ABOUT THE CONTRIBUTOR On the Move is Australia’s leading service connections specialist providing a one-stop service for electricity,

are window ledges, mantelpieces,

gas, phone, internet, pay TV and insurance.

curtain rods and even mirrors or

Since 2004 On The Move has partnered with Real

artworks with bulky frames.

Estate agencies and other organisations to give their customers a convenient and seamless move-in,

days for decorating the outside of

lights-on experience.

your home with an extraordinary

https://www.onthemove.com.au/

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Electricity

Gas

Home Phone

NBN / Broadband

Pay TV

Insurance


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