Population growth and the housing market

According to the Australian Bureau of Statistics (ABS), Australia's estimated resident population is 22.3 million as of June 2011, a rise of 15 per cent since June 30, 2011.

In the short term, population growth was above the long-term average for 2011, increasing by 302,565, which is 22.5 per cent higher than the long-term average increase of 246,973.

The Australian Bureau of Statistics' data suggests that the increase in population growth could be partly due to a recent swell of long term overseas arrivals and net permanent residents. The ABS recently reported that in April 2012 alone, 274,000 residents arrived in Australia – an increase of 35.4 per cent from the same time in 2011.

For property investors, Australia's growing population could potentially offer some profitable opportunities; rent yields are expected to increase in metropolitan areas and some investors may consider looking towards new developments to capitalise on long term demand.

The population figures released by the ABS reinforce a fundamental issue that will likely continue to underpin the residential property market throughout the medium-term – that is, there is an ongoing need for housing in Australia, which is good news for buyers and sellers alike.

For more information about the real estate market in your area, please contact your local Century 21 office.


Disclaimer: The opinions posted within this blog are those of the writer and do not necessarily reflect the views of CENTURY 21 Australia, others employed by CENTURY 21 Australia or the organisations with which the network is affiliated. The author takes full responsibility for his opinions and does not hold CENTURY 21 or any third party responsible for anything in the posted content. The author freely admits that his views may not be the same as those of his colleagues, or third parties associated with the CENTURY 21 Australia network.