Pete Wargent blogspot

Co-founder & CEO of AllenWargent property buyer's agents, offices in Brisbane (Riverside) & Sydney (Martin Place), & CEO of WargentAdvisory (providing subscription analysis, reports & services to institutional clients).

5 x finance/investment author - 'Get a Financial Grip: a simple plan for financial freedom’ (2012) rated Top 10 finance books by Money Magazine & Dymocks.

"Unfortunately so much commentary is self-serving or sensationalist. Pete Wargent shines through with his clear, sober & dispassionate analysis of the housing market, which is so valuable. Pete drills into the facts & unlocks the details that others gloss over in their rush to get a headline. On housing Pete is a must read, must follow - he's one of the finest property analysts in Australia" - Stephen Koukoulas, MD of Market Economics, former Senior Economics Adviser to Prime Minister Gillard.

"Pete is one of Australia's brightest financial minds - a must-follow for articulate, accurate & in-depth analysis." - David Scutt, Business Insider, leading Australian market analyst.

"I've been investing for over 40 years & read nearly every investment book ever written, yet I still learned new concepts in his books. Pete Wargent is one of Australia's finest young financial commentators." - Michael Yardney, Australia's leading property expert, Amazon #1 best-selling author.

"The most knowledgeable person on Aussie real estate markets - Pete's work is great, loads of good data & charts, the most comprehensive analyst I follow in Australia. If you follow Australia, follow Pete Wargent" - Jonathan Tepper, Variant Perception, Global Macroeconomic Research, author of the New York Times bestsellers 'End Game' & 'Code Red'.

"The level of detail in Pete's work is superlative across all of Australia's housing markets" - Grant Williams, co-founder RealVision - where world class experts share their thoughts on economics & finance - author of Things That Make You Go Hmmm, one of the world's most popular & widely-read financial publications.

"Wargent is a bald-faced realty foghorn" - David Llewellyn-Smith, 'MacroBusiness'.

Sunday, 6 August 2017

Is the Perth market finding a floor?

Losing steam...

While on the subject of dwelling price indices, CoreLogic's index results to 31 July showed capital growth across the combined capital cities of +10.5 per cent over the year to July. 

The quarterly price increased across the capital cities slowed to +2.2 per cent in July, down from a pacy +3.6 per cent in February.

Sydney houses (+12.3 per cent) and units (+10.3 per cent) have continued to be strong performers over the year to July 2017.

Growth in Melbourne house prices has accelerated to a thumping +17.2 per cent, although unit prices (+4.6 per cent) have lagged. 

Overall, this helped to take the median capital city dwelling price to a new high of $625,000.

The rest of state figures increased by +5.4 per cent over the year to July, to $382,500.


Source: CoreLogic


Rental price growth returns

CoreLogic's quarterly showed a return to annual rental price growth, following a crackdown on lending to investors. 


Source: CoreLogic

The rental price growth was driven by Sydney, (+4.5 per cent) Melbourne (+4.1 per cent), Hobart (+6.2 per cent), and Canberra (+8.4 per cent).

These rental price gains were offset by declines in Darwin and Perth.

Perth levelling out

CoreLogic noted that Perth appears to be approaching the bottom of its market cycle, with prices easing by -0.3 per cent over the three months to July. 

Prices in the Western Australian capital have declined by -10.2 per cent since the market peak in 2014.

Transaction volumes in Perth have also found a floor at ~2,500 per month, while listing numbers have also declined.

The "mining cliff" has now been effectively seen off, too.

These are positive numbers, though I do note that my dwelling supply dashboard implies that there will yet be a lot of new dwellings to be absorbed!

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