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Media Absurdities

Hotspotting

Release Date: 12/12/2024

Why Property Investors Are Walking Away - Mark Bouris & Tim Graham show art Why Property Investors Are Walking Away - Mark Bouris & Tim Graham

Hotspotting

Australia’s property market is changing — but the story is far more complicated than the national headlines suggest. Tim Graham recently joined Mark Bouris on the Property Insights podcast for a wide-ranging discussion about what is really happening across Australian real estate, where the opportunities may be emerging, and why investors need to look beyond historical price growth when deciding where to buy. They unpack how Hotspotting uses forward-looking indicators — including our proprietary Hotspotting Thermometer and Price Predictor Index — to measure market pressure, sales...

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Australia’s Housing Affordability Has Never Been This Bad show art Australia’s Housing Affordability Has Never Been This Bad

Hotspotting

Australia’s housing affordability crisis has reached an alarming new low. But if property prices are falling in many markets, why is housing becoming less affordable? Hotspotting examines the impact of higher interest rates, rising mortgage repayments and persistent inflation, revealing why modest price declines have done little to improve affordability. With a chronic shortage of housing still driving the market, this episode explores what is really preventing Australians from accessing affordable housing and why increasing supply remains the critical solution.

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Property Investors Are Panicking When They Should Be Looking For Opportunity show art Property Investors Are Panicking When They Should Be Looking For Opportunity

Hotspotting

Is property market panic distracting investors from the opportunities right in front of them? In this episode, Hotspotting cuts through the political noise and media frenzy surrounding Australia’s property market to examine what the fundamentals are really telling us. Despite policy uncertainty and predictions of falling property prices, housing demand remains strong, driven by population growth, infrastructure investment, chronic undersupply, tight rental vacancies and rising rents. With decades of property market expertise, Hotspotting explores why experienced investors should focus on...

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The Housing Budget Promised More But Delivered Less show art The Housing Budget Promised More But Delivered Less

Hotspotting

Is Australia’s Housing Strategy Actually Making The Housing Crisis Worse? The Albanese Government says its Budget is tackling housing affordability and helping first home buyers. But the latest evidence tells a very different story. Building approvals are falling, first home buyer activity is weakening, rents are rising and confidence is deteriorating — while Australia remains well behind the pace required to deliver 1.2 million new homes. In this episode, Hotspotting examines the latest ABS housing data, property prices, investor activity, first home buyer trends and the Government’s...

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Where Australia’s Next Affordable Property Opportunities Are Emerging show art Where Australia’s Next Affordable Property Opportunities Are Emerging

Hotspotting

Where are Australia’s genuinely affordable property opportunities hiding as house prices continue to rise? In this episode, Hotspotting explores the latest Cheapies With Prospects selections, revealing why the search for affordable property is increasingly shifting towards established unit, townhouse and apartment markets in Australia’s capital cities. We examine the fundamentals behind the opportunities, including rental yields, infrastructure, employment, population growth, healthcare, transport and future demand. We also look at five regional markets where affordability is backed by...

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The Housing Crisis Just Got Worse And Here’s Why show art The Housing Crisis Just Got Worse And Here’s Why

Hotspotting

New home sales have fallen for the third consecutive month, raising fresh questions about Australia’s housing supply crisis and the effectiveness of current government policy. In this episode, we examine the latest HIA data, the 13.5% quarterly decline in new home sales, and the growing impact of policy uncertainty, interest rates, property tax changes and weakening consumer confidence. With Australia already struggling to deliver enough new homes, could current policies be making the supply problem even worse? Get the expert property market analysis you need to understand what is...

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What Happened To The 50 Markets We Recommended Two Years Ago show art What Happened To The 50 Markets We Recommended Two Years Ago

Hotspotting

What if the strongest property investment opportunities are hiding in markets that offer both high rental yields and proven capital growth? In this episode, we examine the latest The Pulse results, revealing what happened to the 50 markets recommended two years ago. Every market recorded positive capital growth, with an average uplift of 38.4%, while rental growth averaged almost 15%. We explore why affordable houses and units with above average rental yields can also deliver strong capital growth, and what these results reveal about the Australian property market and the opportunities...

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Australia’s Rental Market Is Nowhere Near Recovery show art Australia’s Rental Market Is Nowhere Near Recovery

Hotspotting

Australia’s rental crisis is becoming harder to ignore — and the latest vacancy data reveals just how tight the market has become. With the national rental vacancy rate at just 1.3%, well below the 3% benchmark for a balanced market, rental supply remains severely constrained across Australia. In this episode, Hotspotting examines why vacancies have stayed so low, what is driving continued rental pressure and why current policy settings could make conditions even tougher for tenants. With some capital cities recording vacancy rates below 1% and forecasts pointing to further rent increases,...

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2026 Is Officially The Worst Year Ever For First Home Buyers show art 2026 Is Officially The Worst Year Ever For First Home Buyers

Hotspotting

The Worst Time Ever For First Home Buyers? Politicians may be claiming there has never been a better time to buy your first home, but the numbers tell a very different story. New research from FoundIt suggests 2026 is the worst year for Australian first home buyers since records began in 1970. With property prices reaching 10.2 times average annual income, larger mortgage debt, elevated borrowing costs and deposits becoming harder to save, aspiring homeowners are facing an unprecedented affordability squeeze. In this episode, Hotspotting examines the real pressures confronting first home...

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ABC Radio Interview with Tim Graham show art ABC Radio Interview with Tim Graham

Hotspotting

Australia’s property market is cooling — but is Australia really in a property recession? In this interview with ABC Radio Adelaide, Hotspotting Managing Director Tim Graham cuts through the headlines to explain what is actually happening across Australia’s highly fragmented property market. Tim discusses the slowdown in national conditions, why the current market is far more nuanced than the term “property recession” suggests, and why buyers, sellers and investors need to look beyond the national headlines. Tim also explains Hotspotting’s new Thermometer methodology, which...

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More Episodes

Things are constantly changing in real estate nationwide but the one factor that never changes is this: 

we can always rely on news media to distort the facts and deliver a steady flow of misinformation to Australian consumers, all in the interests of attracting readership, with little regard for accuracy, honesty or fairness.

The past week or so has been chockful of media nonsense.

If you can believe the headlines, the national property boom is over, house prices are plunging, the rental boom is over and the North Queensland city of Townsville is a mining town.

One of the constants of my 40-plus years charting Australian real estate is that there are lines and lines of idiots scrambling to be the first to declare that a boom is over, usually long before it actually is.

This is often fed by data research entities like CoreLogic where the key people never let the facts get in the way of good headline and free publicity.

So Australia has been resplendent lately with strident headlines declaring that the national property boom is over or words to that effect.

Here’s the first problem: we don’t have a national property boom so it’s rather odd to declare that something which doesn’t exist is finished.

We have certainly had a boom in Perth, Adelaide and Brisbane among the capital cities, but certainly nothing remotely resembling a boom in the other five state and territory capitals. 

It’s a similar scenario in the regional markets, with a variety of different situations ranging from downturn and stagnation to moderate growth and, in some cases, strongly rising prices.

But nationally growth in house and unit prices has averaged 6 or 7 percent throughout 2024 – and lately the annual growth rate, as a national average, has been 4 or 5 percent. Only in the fertile imaginations of media headline writers would that constitute a boom.

But, according to various media outlets, this mythical boom is over – even though the latest figures for annual growth in three of our capital cities and three of our state regional markets are still well above 10%.

The only places where the evidence suggests the boom is over are the ones where a boom never took place – like Melbourne, Hobart, Darwin and Canberra.

But not only, according to media, is the fictional national boom over, but property prices are plunging. One headline in Fairfax media claimed to reveal Why property prices are plunging across Australia – amid warning they could slide even further.

A close examination of the article underneath this startling headline discovered there was no evidence in the story to justify the headline. Quite simply, the headline was a blatant fabrication – which, sadly, is all too common in today’s news media.

The article revealed that Sydney’s median price was 0.8% lower than three months earlier but 3.3% higher than a year earlier, while Melbourne was down 1% over three months. Nothing in those figures goes even close to “prices plunging”.

In the other major cities prices were still rising and indeed were still growing at boom time rates.

House prices were also up in the Combined Regions in the latest month, the latest quarter and the past year– and unit prices were also up nationally, both in the cities and the regions.

So, there was very little sign of even minor decline in prices anywhere and certainly no evidence at all of price plunging. 

So this was yet another instance of a headline which was an outright and blatant lie.

And who wrote this rubbish? well, it was the champion of negative media about residential real estate, the endlessly sad Shane Wright who has devoted his career to writing nonsense about property markets.

But wait, there’s more. Not only is the fictional national price boom over, but apparently the rental boom is over as well!

There have been strident headlines and soundbites inferring that rents are no longer rising. 

As is so often the case with these big sweeping media statements, the claim was based on a single month’s figures from one source. Nationally, rents rose only 0.2% in November, according to CoreLogic, therefore the boom is over in the simplistic minds of attention-seeking analysts and journalists.

And, yes, once again, the source of this myopic and shallow analysis is CoreLogic, a business which publishes lots of major real estate data but is quite dreadful at analysing what it all means.

So CoreLogic’s head of research Tim Lawless said:

“At 5.3% annual growth, rents are still rising at more than twice the pre-pandemic decade average of 2.0%, but given the weak monthly change the annual trend is set to slow further from here.

“It will be interesting to see if the rate of rental growth rebounds through the seasonally strong first quarter of the year in 2025, but beyond any seasonality, it looks increasingly like the rental boom is over”.

But other sources tell a different story. SQM Research records a monthly rise of a tick under 1% as the national average for residential rents, with Adelaide up 1.1%, Perth rising 1.9% and Canberra up 1.5%.

The national vacancy rate remains a fraction above 1%, essentially unchanged from three years ago, so can anyone justify a claim that the rental shortage crisis and rising rents is all done and dusted? Hardly.

Another startling set of headlines resulted from the latest Regional Market Update from CoreLogic which declared that the highest capital growth was occurring in Queensland and WA mining towns.

I was truly perplexed because I know there has been little price growth recently in mining towns like Karratha, Port Hedland and Newman in WA and Moranbah in Queensland.

However, the headlines resulted from CoreLogic boffins – yes, it’s CoreLogic again - re-defining major regional cities as mining towns. 

Apparently Townsville, which has one of the most diverse economies in regional Australia, with only minor influence from the resources sector, is now a mining town. 

So is the key Central Queensland of Mackay, apparently, despite being 2-3 hours’ drive from the nearest coal mine.

In WA, the key regional city of Geraldton is also, apparently, a mining town, according to Core illogic, although the nearest iron ore mine is an hour’s drive away.

All of this, and a whole lot more, reinforces our view that there is more misinformation than actual information in mainstream media.

And that any real estate consumer who bases a decision on the content of media reports is at risk of making a very bad decision.