The Australian property market peaked in mid 2017. Since then prices have fallen by 6% on average nationally. Prices are down 13% in Sydney and 10% in Melbourne. These falls are the largest since the 1980s, albeit off the back of a large growth spurt which commenced in 2013. Overall, Justin Fabo of Macquarie expects the overall drop may be around 20% in Sydney but that it is very difficult to predict its timing. He says that it is too early to say whether recent improvements in auction clearance rates point to a bottoming in the market.
He says that although the level of housing approvals has dropped dramatically it will be 3 to 4 years before net migration turns the demand/supply balance to lead to a strong recovery in prices.Read More