Where the bloody hell are you?
Lara Bingle……we need YOU!!!
The Australian government has just allocated $42m to recruit an extra 500 staff to speed up visa processing. This includes $6m for an international marketing campaign, all designed to massively boost migration to Australia.
The big question of course is, has anyone stopped to consider the impact of this move on the property market?
With rental vacancy rates falling in recent months, tenants are currently facing the toughest rental market EVER in Australia.
In Sydney last month, there were only 10,048 vacant rental properties according to SQM Research, whereas 1 year ago there were 19,686. So in the last 12 months in Sydney, the amount of vacant rental properties has effectively halved.
So whilst employers have been calling for an urgent “catch up” business migration program to make up for 2 years of closed borders, where the hell are they all going to live?
The government has increased the target of net overseas migrants to 235,000 for next year, an increase of 85,000 people or 56%. This is massive. Add to this that universities are now doing their bit to attract overseas students to return and the Australian property market is in trouble.
With Sydney apartment prices falling or stagnant over the last 5 years and cost of construction going through the roof over that time, I just can’t help but think Sydney apartments are about to have some long overdue price rises coming their way.