According to recently released data from the Australian Bureau of Statistics (ABS), Australia's population growth rate has reached 1.49 per cent – the highest rate of population growth recorded since the last quarter of 2009. If population growth continues on this trajectory, it will likely be a factor that underpins national housing demand.
The ABS' 'Australian Demographic Statistics, Mar 2012', reports that Australia's population growth had two components in the year ended 31 March 2012: net overseas migration (57 per cent) and natural increase (43 per cent). The ABS indicated that all states and territories experienced positive population growth over this period.
The expansion in Australia's population can be attributed partially to a turnaround in overseas net migration; 197,200 net overseas migrants arrived in Australia in the twelve months preceding March 31, 3012, which is 18.2 per cent higher than figures for the year prior.
According to the ABS, all Australian states saw an increase in overseas migration, with most migrants choosing to reside in either New South Wales or Victoria. Western Australia – however, saw the most significant increase, with the number of new migrants rising by 49.3 per cent.
RP Data's Research Director, Tim Lawless, expects interstate and international net flows of migrants to support demand for residential property throughout Australia in both the short and long term:
"Stronger population growth is a significant factor for the housing market because it creates demand for housing," Mr Lawless said.
"Looking forward, we can expect population growth to increase across Australia. If the Department of Immigration figures are anything to go by, we are likely to see higher levels of population growth over the coming years on the back of further overseas migration."
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