The preliminary results of last year’s ABS Census are out, and property industry insiders have been picking through them with a fine toothed comb. One high profile industry figure has pointed out that, despite 300,000 people seemingly disappearing, landlords well and truly have the upper hand. Read on to discover why.
SQM Research managing director Louis Christopher has stated in his company’s newsletter that the only real survey that counts is the ABS Census, conducted every five years. This is because the annual population statistics published by the ABS are estimates which can be way off the mark.
“The Australian Bureau of Statistics came out with some of the results from the 2011 Census. The findings? There were 300,000 people who have disappeared. Now, it is our understanding that the rapture has not yet occurred and these people have not been abducted by aliens. The ABS has simply got its most recent estimates for the population, wrong,” he wrote.
He added that our population is growing at a slower rate than expected and household formation is also not at the level expected “which has large ramifications for those estimating whether we as a nation have a shortage of real estate and if so, to what level the shortage is”.
That said, property investors still appear to have the upper hand in the rental market.
“According to the Census - median rents have risen from $190 a week in 2006 to $285 a week in 2011. That's a compound increase of 8.45% per annum....a serious landlord's market,” wrote Christopher.
Do you agree with SQM’s findings? Have your say by commenting below, or joining the debate on our online property investment forum.
What’s keeping house prices high?
Danger: when good apartments go bad
Renovators are still spending, thanks to The Block
With interest rates at their lowest for more than 50 years, there are some great rates available. The best thing to do is to compare rates from all the lenders. Let us help take the leg work out of doing this - Compare Home Loans now
Top Suburbs :
Get help with your investment property
Do you need help finding the right loan for your investment?
When investing in property, it is important to make sure that you not only have the lowest available rate that you can get, but also have the correct loan features for your needs.
Just fill in a few details below and we'll then arrange for a local Aussie Mortgage Broker to contact you and work out what features or types of loans are right for your needs. We'll even help with the paperwork. Plus and appointment is free.
We value your privacy and treat all your information seriously - you can check out