It's been a long 2 years since Covid-19 first hit the scene in 2020, and while many of us would rather daydream about our next international flight and the possibilities of the future than look back, there are some important trends to note.
CoreLogic has released their top ways that Covid has shaped the property market since 2020, and here we share our thoughts on the biggest changes.
The most notable has been the record increase in home prices. Despite an initial dip, national housing values rose 24.6% between the end of March 2020 and February 2022. Multiple factors contributed to this rise including low-interest rates, high household savings, government grants and a sharp reduction in the supply of housing. The median Australian dwelling value increased by $173,805 over the course of the last 2 years.
There was an increase in First Home Buyers coming back to the market in the initial months of the pandemic. Making the most of more affordable housing options following the earlier downturn, along with record-low mortgage rates and government incentives such as the HomeBuilder scheme and the First Home Loan Deposit Scheme.
But perhaps most importantly for the Illawarra, is the rise of regional migration. Migration trends revealed an uptick in the volume of people leaving cities for regions, and a decline in people leaving regions for cities. The result has been higher than normal housing demand against unusually low levels of listings across the Illawarra, in both the sales and rental market.
If you'd like to discuss the state of the market, or get any assistance with selling, buying, investing or renting, get in touch with our experienced team today.