C21 Market Pulse | October 2023 | Australia

M A R K E T

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PUBLISHER Century 21 Australia Pty Ltd

CONTRIBUTORS Tim Lawless Chris Gray YourPorter Chantelle Groben

EDITORIAL ENQUIRIES Century 21 Australia (02) 8295 0600

ADVERTISING ENQUIRIES Century 21 Australia

WELCOME TO THE

October 2023 ISSUE OF

C21 MARKET PULSE

(02) 8295 0600

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.

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Cover image: Brian Zajac on Unsplash

C O N T E N T S O cto b er

PROPERTY MARKET UPDATE

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SELLING YOUR PROPERTY

Home Value Index up 0.8% in September as

Picture perfect: Preparing your property for

demand/supply imbalance continues to push

professional photography

values higher

CELEBRATING COMMUNITY

CoreLogic Head of Research, Tim Lawless

BUYING PROPERTY

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Your Empire CEO, Chris Gray

ENERGY EFFICIENCY

How do you determine the right asking price for

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a property?

Century 21 Platinum Agents, Chantelle Groben

Mastering energy efficiency: Taming power‑hungry appliances Your Porter

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Century 21 paves the way for athletic excellence

ASK A C21 AGENT

Only four weeks left for 2023

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WHAT WILL HAPPEN TO PROPERTY AFTER FREEDOM DAY?

KNOW YOUR PROPERTY’S VALUE IN AN INSTANT Access an instant property report now.

Click here to begin.

C21.com.au/property-report/

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

HOME VALUE INDEX UP 0.8% IN SEPTEMBER AS DEMAND/SUPPLY IMBALANCE CONTINUES TO PUSH VALUES HIGHER Utilising a fresh model upgrade, CoreLogic’s national Home Value Index (HVI) recorded a 0.8% rise in September as the recovery trend moved through an eighth consecutive month of growth.

The rise follows a 0.7% lift in August (revised down from 0.8%) taking the quarterly pace of growth in national home values to 2.2%. Quarterly growth has eased from a 3.0% gain in the June quarter, reflecting a

BY T I M L AW L E S S , HEAD OF RESEARCH, CO R E LO G I C

the underlying supply dynamic. “The

Delving into the detail, the upper

three capitals recording the highest

quartile of the capital city housing

capital gain each have advertised

market has led the slowdown in

supply levels that are around 40%

the pace of growth. After leading

below their previous five-year

the recovery cycle, the premium

average. Advertised supply levels

housing sector might be losing

across Hobart, where values are still

some steam, with the quarterly rate

trending lower, have been holding at

of growth across upper quartile

above average levels since June last

dwellings easing back to 2.3% while

year and were almost 40% above its

the lower quartile growth rate

five-year average.”

accelerated to 3.2%.

Since finding a trough in January,

“This shift is partly attributable

the national index has recovered by

to the lower value capitals such

6.6%, however home values remain

as Perth and Adelaide recording

1.3% below record highs recorded in

a faster rate of growth, however

April last year.

even in these cities it is the lower quartile that has outperformed,”

slowdown as advertised stock levels

Tim Lawless noted at the current rate

rise, helping to take some heat out

of growth, we are likely to see the

of the market.

national HVI recover to a new nominal

In the more expensive cities,

high by the end of November.

Sydney and Melbourne, the broad

The September quarter saw

Mr Lawless said.

middle of the market is now

Adelaide recording the highest

“We have already seen dwelling

capital gain at 4.3%, followed by

values reach new record highs

Brisbane at 3.9% and Perth at 3.6%.

in Perth and Adelaide. Brisbane

At the other end of the growth

looks set to reach a new record

spectrum is Hobart where values

high in October, with home values

“Possibly we are starting to see

were down -0.2% over the quarter,

currently only 0.6% below their

renewed affordability challenges

taking the southern capital to a new

previous peak. Hobart and Canberra

deflecting more demand towards

cyclical low.

have the furthest to go before

the middle of the market where

staging a nominal recovery, with

barriers to entry are lower,”

dwelling values remaining 12.4%

Mr Lawless said.

CoreLogic’s research director, Tim Lawless, notes the performance of the housing market in each city reflects

and 7.0% below their cyclical highs from last year.”

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recording the highest growth rate after previously being led by the upper quartile.

Click here to read the full article

BUYING PROPERTY

ONLY FOUR WEEKS LEFT FOR 2023 B Y C H R I S G R A Y, C E O, YO U R E M P I R E

There might be eleven weeks till the end of the year, but there’s only about four weeks left for new listings to come on the market. So, no matter whether you’re a buyer or a seller you’ll need to get your skates on if you want something to happen this year.

A typical marketing campaign for

flow their properties and aren’t forced

a property is around four weeks

to sell.

and there’s no guarantee it will sell in that time. As such most agents will probably suggest having six to eight weeks up your sleeve and that means starting a campaign by the end of October at the latest.

Most agents work very hard during the year, so by early to mid‑December, they’re ready to sell their last listings and take a break.

As not a lot happens in January, this time of year is a good chance for them to get away.

We’ve had our fourth consecutive month of no interest rate rises and so whilst some economists are predicting one more, the majority of experts are suggesting that this is the peak for the current cycle and if anything, we might see some drops in the later part of 2024.

All the talk about mortgage cliffs seems to have disappeared and whilst an extra 4% of mortgage interest rates are hurting most borrowers’ pockets, most homeowners and investors do seem to be able to cash

2. You can buy a great property in a great location at a great price and

CoreLogic have been reporting increased property prices for much of this year and many places are back to their previous peaks. Just last month we had a 0.8% national increase which equates to $8,000 on a $1M property.

3. You have the spare cash to hold on for the short to medium term.

And just remember, every time we’ve surveyed our database of clients, most people regret not buying more property, sooner.

These changes, along with a continued lack of supply is likely to lead to further increases in prices for the rest of this year and 2024.

It’s often been consumer sentiment that has been the biggest driver of property growth rather than the physical drivers of interest rates,

ABOUT THE CONTRIBUTOR

rents, and immigration. If people

Chris Gray is CEO of Your Empire, a buyers’

are motivated to buy, they will often

agency that buys homes and investments

find the money, just like if interest

for time-poor professionals – searching,

rates rise beyond affordability, they

negotiating, renovating and managing

still find a way to avoid being a forced seller.

over 10 years as the host of ‘Your Property Empire’ on Sky News Business channel, where

So, as I’ve said for many years, buy when:

he’s interviewed various heads of property research companies and major industry figures. Chris is a qualified accountant,

1. You have the deposit and can get a mortgage from the bank.

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property on their behalf. Chris has spent

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buyers’ agent and mortgage broker. For more information, visit www.yourempire.com.au and follow Chris on Facebook: @ChrisGraySydney

Ceiling $168 Lights $290

Ceiling $168 Lights $290

Cabinets $295 Door $52

Rangehood $184

Cabinets $295

Door $52

Stove $377 Bench tops $110

Plant and equipment deductions

Bench tops $110

Dishwasher $462

Stove $377 Flooring $442

Capital works deductions

Dishwasher $462

Flooring Example of typical tax deductions found $442 Plant and equipment deductions in an investment property Capital works deductions

Reduce d fee

$715

includin

g GST

R

Claim your reduced fee now and save thousands Example of typical tax deductions found

Depreciation is generally the second biggest tax deduction available to property investors and can save in an investment property you thousands at tax time every year.

$

inc

Depreciation is the natural wear and tear of a property and its assets over time. While all properties depreciate, only property investors can claim it as a tax deduction.

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Depreciation is the natural wear and tear of a property and its assets over time. While all prop depreciate, only property investors can claim it as a tax deduction.

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ENERGY EFFICIENCY

MASTERING ENERGY EFFICIENCY: TAMING POWER‑HUNGRY APPLIANCES

moving made

YourPorter specialises in conne ensuring B Y Yyour O U Rmoving P O R T E Rexperienc

As the cost of power continues to rise, Australian households are grappling with escalating energy bills, particularly due to the insatiable energy appetite of some household appliances.

However, there are strategies you can put in place to rein in those power bills without sacrificing your modern conveniences.

1. IDENTIFYING THE ENERGY CULPRITS

For example, consider the potential

So, once you've identified the

savings when selecting a 55-inch TV

energy guzzlers in your home,

Your journey to save energy starts

with a higher star rating, assuming

it might be time to gradually

with pinpointing the appliances

an electricity cost of 28 cents

replace these appliances with more

silently devouring your electricity.

($0.28) per kWh:

energy-efficient counterparts,

Conducting a home energy audit may seem daunting, but it's simply about getting acquainted with where your hard-earned energy and money are going.

setting the stage for significantly

• A 7-star rated TV, consuming

lower bills down the road.

213 kWh annually, would cost approximately $60 to operate

3. UTILISING APPLIANCES STRATEGICALLY

each year.

• In contrast, a 3-star rated TV,

Energy Star Ratings

using 520 kWh annually, might set

Begin by checking the energy star

you back around $146 annually.

ratings of your appliances. Most modern appliances bear a label that displays their star rating, usually ranging from one to six stars and sometimes up to 10 stars. The more stars an appliance has, the more energy-efficient it is.

Calculating the annual cost of running an electrical appliance with a star rating is straightforward— multiply its annual kilowatt-hour (kWh) usage (found on the Energy Rating Label) by your specific electricity rate, available on your electricity bill.

Now that you're acquainted with your power-hungry culprits, it's time to adopt smart usage

The same calculation can be

strategies. Adjusting your

applied to any appliance. For

appliance usage, such as running

instance, a 500L fridge with a

washing machines during off‑peak

2-star energy rating will have a

hours, optimising your fridge's andYOURPORTER using the WHY temperature, CHOOSE

yearly running cost of $163, while

a similar-sized fridge with a 4-star

dishwasher only when it's full,

rating will cost only $96 to run.

can help keep your energy bills

Independent – we are not aligned with in check.

2. INVESTING IN ENERGYpanel of providers to compete for you Other tips to reduce power EFFICIENT ALTERNATIVES Freedom – stay in total control, makin consumption include: While it may seem counter-intuitive or supplier preference • Opting for LED or LCD TVs, which to spend money in order to save, Simple – use our easy, online signup are more energy efficient. investing in energy-efficient appliances can be a wise move for Our service comes at no cost and no o Continued your financial future.

Based in Melbourne, weover arepage 100% Aus C21 MARKET PULSE

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CONNECTING SERVICES HAS NE

CENTURY 21

STEP 1

STEP 2

Continued from previous • Reducing the brightness of your TV screen.

• Investing in a front-loader washing

dryer, dishwasher, and pool pump)

Phantom power consumption, as

during peak sunlight hours.

highlighted by Energy Australia, can be responsible for up to 10% of your

5. MAINTENANCE Well-maintained appliances ensure

machine, especially if you use hot

they're not stealthily consuming

water.

more power than necessary. Regular

• Washing your clothes with cold water.

4. HARNESSING THE POWER OF SOLAR

maintenance, such as inspecting fridge seals and keeping dryers lintfree, is a simple yet effective way to keep electrical costs down.

home's electricity bills. Investing in smart power point adapters that block power when appliances are in standby mode may be worthwhile.

Compare Costs for the Power You Need Along with the power saving tips above, regularly comparing your energy plan to ensure you are on a

be significant, outfitting your

6. AUTOMATING FOR ADDITIONAL SAVINGS

home with solar panels can lead

While larger appliances often steal

in keeping costs down. YourPorter

to a future where electricity bills

the spotlight, don't forget about the

are substantially reduced or even

smaller gadgets nibbling at your

completely offset.

power usage. Plug in smart power

While the initial investment can

If you already have solar panels installed, use power-hungry appliances (e.g., washing machine,

strips and timers to manage these devices efficiently, ensuring they don't draw power when not in use.

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competitive deal will go a long way has made it quick and easy with bill scanning technology that will let you know in less than a minute if there is a better value plan available for you from a wide range of retailers. Try it now to see how much you can save.

moving made easy YourPorter specialises in connecting household utilities ensuring your moving experience is made easy.

WHY CHOOSE YOURPORTER Independent – we are not aligned with or owned by any energy retailer. We have created a panel of providers to compete for your business Freedom – stay in total control, making choices to suit your needs be it cost, product features or supplier preference Simple – use our easy, online signup process or speak to one of our friendly consultants Our service comes at no cost and no obligation Based in Melbourne, we are 100% Australian owned and operated

CONNECTING SERVICES HAS NEVER BEEN EASIER STEP 1 Once referred by an agent, YourPorter will contact you via SMS, email, and/or phone.

STEP 2 Choose your service providers via the online connection platform, or with the help of one of our friendly call centre team.

STEP 3 Tick connections off your moving home list.

Talk to your Century 21 representative or contact us via 1300 400 600 | info@yourporter.com.au | Level 3, 342 Flinders Street, Melbourne, VIC 3000

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SELLING YOUR PROPERTY Image: Spacejoy on Unsplash

PICTURE PERFECT: PREPARING YOUR PROPERTY FOR PROFESSIONAL PHOTOGRAPHY When it comes to selling your home, presentation is key. The right visuals can make a significant difference in attracting potential buyers and setting the stage for a successful sale.

remove garden tools and overgrown

here are five invaluable tips

plants to create an open and

to prepare your home for

inviting atmosphere.

professional photography.

3. ATTENTION TO DETAIL

1. A CLEAN CANVAS

Small details can make a big

A clean home is essential for

impact. Take a moment to

impressive property photos.

straighten up pillows and throws on

Remember, the camera lens

furniture, creating a sense of order.

magnifies even the smallest flaws.

Hide cords, cables, and remotes

One of the most powerful tools

Prioritise cleaning, especially in

for a clutter-free look. Align and

in your arsenal is professional

bathrooms and kitchens. Scrub away

maintain appliances, and ensure

property photography. A well-

stains, wipe down surfaces, and

vehicles are out of view from the

photographed home can leave

vacuum thoroughly. Outside, hose

front of the house or garage. These

a lasting impression, drawing

down your driveway and clear weeds

details contribute to an overall

buyers in and sparking their

to enhance your curb appeal.

polished and inviting atmosphere.

2. CREATE SPACE

4. REMOVE PERSONAL ITEMS

Space is a valuable asset when

While your personal items hold

selling a home. A cluttered

sentimental value, they can hinder

space can make even the most

potential buyers from envisioning

appealing rooms look cramped

themselves in your space. Before

and uninviting in photographs.

the photography session, remove

Begin by decluttering your home,

family photos, personalised

removing personal items like kids'

artwork, and unique memorabilia.

toys, pet bedding, and unnecessary

This allows buyers to project

knick-knacks. Consider rearranging

their own vision onto the space.

furniture to maximise the sense

Clear bathroom countertops and

imagination. To help you make Image: Laura Davidson on Unsplash

the most of this opportunity,

of space, particularly in rooms like the living area. In the backyard, C21 MARKET PULSE

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Continued over page

Image: Alona Gross on Unsplash

Continued from previous kitchen surfaces of personal items.

Tuck away pet belongings to create a neutral canvas.

5.MATTERS OF LIGHT Lighting is the magic that can transform a room's ambiance, and

and blinds, allowing sunlight to

Your Century 21 agent is here to

stream in and bathe your rooms

guide you through every step of the

in warmth. Keep the lighting

process, ensuring that you achieve

consistent by replacing burnt-out

the result you deserve when selling

bulbs throughout your home. Clean

your property.

windows to maximize the infusion of natural light, showcasing your home's finest features.

it's a key ingredient for captivating

By following these tips, you'll be

photographs. Embrace natural

well on your way to presenting your

light by throwing open curtains

home in the best possible light.

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Click here to find your local Century 21 agent today.

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With Australia’s largest home buying audience, realestate.com.au can put your listing in front of more home buyers than anywhere else.

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Source: Nielsen Consumer and Media View, 2023 Survey 03 National Online database Time period May 22 – Apr 23, Fused Nielsen Digital Content Planning (Text): March 2023, Realestate.com.au vs nearest competitor. Australian Population 14+. “Buyers” are Total Buyers who are likely or very likely to buy a residential property within 12 months.

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Find a Century21 agent using Openn:

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C E L E B R AT I N G C O M M U N I T Y

CENTURY 21 PAVES THE WAY FOR ATHLETIC EXCELLENCE Century 21 recently sponsored the highly anticipated NSW Koori Knockout Aboriginal Rugby League Carnival, which took place on the 29th, 30th September, and 1st & 2nd October 2023, on Darkinjung Country at Tuggerah Central Coast.

This carnival is a celebration of

Century 21 was excited to support

Century 21 recognises the

Aboriginal culture and talent in

an event that embodies inclusivity,

significance of actively engaging

Rugby League, bringing together

community spirit, and a passion for

with local communities.

communities from across New South

Rugby League.

By sponsoring the NSW Koori

Wales in a spectacular showcase of athleticism and camaraderie.

James Bell, CEO of Real Estate Century 21, expressed his

Described as a modern-day

enthusiasm for the sponsorship,

Corroboree, the NSW Koori

stating, "Century 21 is proud to

Knockout Carnival was a gathering

support an event that celebrates

of diverse communities converging

Aboriginal culture, sportsmanship,

on Darkinjung Country. It was an

and community unity. It was exciteing

unforgettable experience, with both

to be a part of this event and engage

amateur and professional athletes

with the vibrant communities that

showcasing their talents.

make this event so special."

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Knockout Aboriginal Rugby League Carnival, the brand's aim was to create positive connections within the community. With thousands in attendance, this event provided an excellent opportunity for Century 21 to connect with a wide and diverse audience.

ASK A C21 AGENT

HOW DO YOU DETERMINE THE RIGHT ASKING PRICE FOR A PROPERTY?

BY CHANTELLE GROBEN, PLATINUM AGENTS

How do you determine the right asking price for a property, and what factors do you consider when setting this price?

Determining the right asking price for a property is one of the

understanding of the area and the

and possessing a thorough

property market. They can provide

understanding of market conditions.

guidance in determining the right asking price, marketing the property effectively and highlighting its unique features and attributes to help you find the best buyer for your home.

most important and fundamental

One way we do this is to perform

elements of the selling process.

a comparative market analysis,

It is vital to work with a trusted local agent who has a deep

which involves comparing similar recently sold properties in the area, analysing their features

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Furthermore, we also consider the seller’s motivations and goals, as well as a potential buyer’s perception of the property’s value.

By taking all these factors into account, we are able to arrive at a carefully considered asking price and create a unique marketing strategy to achieve the best outcome possible.