David Azimi’s Post

Suburbs in Victoria Show Mixed Trends in Housing Prices In the last quarter, housing prices in Victoria showed minor changes, but some suburbs stood out for their growth. The western areas of Melbourne, as well as Greater Geelong and Greater Bendigo, led the way in growth while offering more affordable options for buyers. According to the Real Estate Institute of Victoria, in the quarter ending June 30, 2024, metropolitan house prices in Victoria fell by 1.5%, while units barely decreased by 0.1%. In contrast, regional house prices increased by 0.2%, although regional units fell by 1.4%. In Geelong, three suburbs showed notable price growth. Little River increased by 20.4% to $1,505,000, Indented Head rose by 10.3% to $955,000, and South Geelong grew by 10.1% to $906,250. Other suburbs like Drysdale and Bell Post Hill also saw increases of 5.9% and 2.7%, respectively. Greater Bendigo also showed strong growth with Elmore rising by 23.9% to $472,000 and Long Gully by 12.7% to $445,000. Golden Square and White Hills both rose by 4.0% to $520,000, and Lockwood South by 2.1% to $970,000. In western Melbourne, the municipalities of Melton and Brimbank performed well. Suburbs such as Rockbank, Hillside, Melton West, and Melton South were among the top twenty in quarterly growth. Melton stood out as the most affordable suburb with a price of $474,500. In Brimbank, Keilor East, Taylors Lakes, and St Albans were also among the top suburbs in terms of price growth. During the fiscal year 2024, housing prices in Melbourne's mid-zone increased significantly. Eltham rose by 9.4% to $1,300,000 and Glen Waverley by 8.5% to $1,770,500. In the unit market, Sandringham and Blackburn stood out with increases of 25.9% and 15.8%, respectively. Overall, there were more transactions and auctions this year. There were 39,110 auctions, a 25.5% increase from the previous year, and 156,550 properties were sold, a 10.8% increase. Jacob Caine, president of REIV, commented that the market is well balanced for both buyers and sellers. #RealEstate #HousingMarket #VictoriaRealEstate #MelbourneHousing #GeelongProperty #BendigoRealEstate #PropertyGrowth #AffordableHousing #SuburbTrends #MarketUpdate #PropertyPrices #HomeBuying #InvestmentProperty #RealEstateTrends #HousingPrices #MarketReport

Home Price Increases In NYC Affect Surrounding States The real estate market in New York City has always been a hot topic due to its dynamic and fast-paced nature. Recently, rising home prices in NYC have had a ripple effect on housing markets in the surrounding states, including New Jersey, Connecticut, and Pennsylvania. The reasons behind this phenomenon are rooted in the city's economic power, high demand for housing, and limited space for development. New York City's consistent growth in population, combined with its status as a global financial and cultural hub, places immense pressure on its housing market. As home prices in NYC escalate, many residents are being priced out of the city and looking for more affordable alternatives in neighboring states. This migration has spurred increased demand in suburban and exurban areas, driving up home prices in locations within commuting distance to Manhattan. In New Jersey, towns such as Hoboken, Jersey City, and Montclair have seen significant real estate appreciation. Their proximity to Manhattan and robust transit systems make them desirable for former New Yorkers seeking a balance of accessibility and cost savings. Connecticut's Fairfield County has experienced a similar trend, with cities like Stamford and Greenwich seeing an influx of buyers, particularly those who can work remotely but wish to maintain ties to the city. Meanwhile, even further afield, parts of Pennsylvania, such as the Lehigh Valley, have gained popularity due to lower cost of living and improved infrastructure. The effect extends beyond simple price adjustments. The influx of former NYC residents has transformed local economies, contributing to new business growth and altering community demographics. However, it has also put pressure on local resources, schools, and infrastructure. As prices in NYC remain high and new waves of residents seek space in neighboring states, the housing markets in these regions will continue to evolve, reflecting the broader economic and social impacts of NYC's housing trends. -themortgagenote.org

**Housing Market Trends in 2024: A Closer Look at Canada’s Largest Cities** In the first half of 2024, total housing starts in Canada’s six largest Census Metropolitan Areas (CMAs) increased by 4% compared to the same period in 2023, reaching 68,639 units. This marks the second-highest level of new construction since 1990. However, when adjusting for population growth, housing starts remain close to the historical average and fall short of meeting rising demographic demand. Calgary and Edmonton led the way in housing start growth, largely driven by record interprovincial migration due to their affordable housing and favorable economic conditions. On the other hand, housing starts declined in major markets like Toronto, Vancouver, and Ottawa. The increase in apartment starts, particularly rental units, was notable. Nearly 50% of the apartments started in 2024 were purpose-built rentals – the highest share on record. This surge aligns with shifting demographics and the increasing unaffordability of homeownership. Despite this, condominium apartment starts dropped across most CMAs, except for Calgary and Edmonton. Developers face challenges reaching pre-construction sales targets, particularly as higher interest rates deter both investors and end-users from purchasing new condos. Developers are also focused on completing ongoing projects, leading to a record number of apartment completions in most major cities, with the exception of Montréal and Vancouver. Local municipalities and provincial governments are implementing policies to expand housing supply and meet the diverse needs of today’s buyers and renters, reflecting a growing effort to address housing affordability and availability across the country. https://bit.ly/4eHvaGh #realestate #realestatebroker #immobilier #courtierimmobiliermontreal #courtierimmobilier #montrealrealestatebroker #bhhsquebec #realestateinvesting #investissementimmobilier #maison #premieracheteur #firsttimebuyer #fsbo #luxuryrealestate #montreal

D.C., Chicago are top YIMBY cities for housing development https://ift.tt/jVsgh7x San Francisco-based Pacaso, a tech-centric real estate marketplace, released a report Monday unveiling the top U.S. metro areas that are embracing new development and “creating a more diverse and plentiful supply of homes.“ The report delves into the “Yes in My Backyard“ (YIMBY) movement, which involves numerous strategies to improve housing supply and lower the cost of living for homeowners and renters alike. As Pacaso explained, these tactics can include partnerships between local governments and residents to rezone neighborhoods and allow for greater density. Many cities across the country are accomplishing this through co-ownership models and the creation of more accessory dwelling units (ADUs). “When it comes to solving the housing crisis, we need a dual approach: more construction and more efficient use of existing housing stock,“ Pacaso co-founder and CEO Austin Allison, a 2022 HousingWire Tech Trendsetter, said in the report. “Communities across the country increasingly are open to innovative solutions, including higher density and co-ownership models that maximize the functionality of available homes. Embracing these strategies will lead to more options for homebuyers and better use of our limited resources.“ According to recent research from Realtor.com, the nationwide housing deficit currently stands at 2.5 million homes. Other estimates are much higher. Pacaso said that these shortages have been exacerbated by various types of “municipal zoning and building ordinances [that] have historically restricted new housing construction.“ But certain areas of the country are “proactively addressing the housing shortage,“ which “underscores the importance of housing solutions and the positive momentum of the YIMBY movement.“ In tandem with data research firm MetroSight, Pacaso analyzed ZIP codes across the country during two five-year time periods: 2008 to 2012, and 2018 to 2022. A ZIP code was classified as YIMBY-friendly if it “experienced sharp growth in the number of residential units with relatively little growth in housing prices.“ The metro areas with the highest shares of ZIP codes that qualified as YIMBY-friendly were led by Washington, D.C. (71.2%) and Chicago (54.3%). In and around the nation’s capital, municipalities are adopting land-use policies that allow for more types of housing, the report noted. In Northern Virginia, for example, Arlington County passed a “missing middle” ordinance last year that allows for homes with up with to six units to be built in areas formerly zoned only for single-family detached homes. In Chicago, only 7% of the ZIP codes met the report’s requirements for high housing demand, but these areas “strongly correlated“ with other YIMBY criteria. The report noted that the city revised an ordinance in 2021 to encourage the development of affordable housing. Washington, D.C., and Chicago were the ...

National Housing Values Approached $11 Trillion Australian property value is estimated at $10,911 billion in June Quarter 2024, up $225.9 billion from $10,685.9 billion in the March quarter 2024. The number of residential dwellings in Australia increased by 52,900 to 11,211,000, and the mean price of residential dwellings rose by $15,600 to $973,300, over the June quarter 2024. In the same period, the total value of residential dwellings rose in all states and territories excluding Victoria, with the largest increase was recorded in the mid – sized cities including Adelaide (+ 14.8%), Perth (+ 24%) and Brisbane (+14.5%). The value of dwelling stock has a proven track record of strong growth at 7% – 8% over the past decade, which is a strong driver for the growth of households’ wealth in Australia. Prices The national property market landscape has changed significantly since the pandemic, with dwelling prices surging due to population increase and limited supply. According to PropTrack data, national home values have risen by 44.5% from March 2020 to October 2024. Affordability has played a key role in this trend, with more affordable regions recording stronger growth. Notably, Brisbane, Adelaide, and Perth have topped the list of high-performing cities, with dwelling prices increasing by 75%, 76%, and 78%, respectively. Rapid population increase driven by overseas migration has been a major factor driving housing demand, with a net increase of 518,000 people to Australia’s population by June 2023, marking the largest net overseas migration on record. On the supply side, there has been a significant decline in property listings nationally since 2020. Total listings dropped from approximately 300,000 before 2020 to around 230,000 since 2021, representing a 23% decrease. The demand and supply conditions have intensified the ongoing housing shortage and price pressures, especially in mid-sized cities and affordable segments of the market. The difference in growth rates between capital cities can be broadly explained by the affordability factor. While household income is similar across capital cities, house prices in Perth, Adelaide, and Brisbane are 50% lower than in Sydney. This significant affordability gap is one of the main factors driving up demand from both local and interstate. Please click the link to continue reading.

Another interesting trend: Recent economic, demographic, and regulatory shifts have made smaller units the future of American housing. Gone are the days of the suburban McMansion. Instead, buyers and renters are looking for smaller footprint housing that is better suited to their lifestyles and budgets. Industry experts predict this trend is poised to continue given the outlook for the U.S. housing market. On economic shifts, soaring home prices are leaving many first-time buyers with no options but to look for smaller, more affordable homes. In response, builders have started to offer smaller footprint dwellings tailored to this new economic reality. While mortgage rates are falling, the NYT reports “a move toward smaller, affordable homes—in some cases smaller than a studio apartment—seems poised to outlast the mortgage spike, reshaping the housing market for years to come and changing notions of what a middle-class life looks like.” Importantly, builders are making money off this trend.  A developer in Oregon built two dozen 500 sq ft cottages around a pond and common gardens. When the developer pitched the idea at community meetings, the overwhelming sentiment was “nobody is going to live in a house that small.” Then, as the NYT reports, “the units sold out, and his investors nearly doubled their money in two years.” On demographic shifts, a retiring wave of baby boomers is realizing their oversized suburban homes aren’t the most appropriate living space for their lifestyles (or budgets). Since the post-World War II construction boom, American homes have been getting larger; from approximately 750 sq ft (for a typical suburban home) to a median home size of 2,200 sq ft today. As NYT reports, “The expansion came despite a profound shift in household composition. Over the past half-century, America has gone from a country in which the predominant home buyer was a nuclear family with about three children to one in which singles, empty nesters and couples without children have become a much larger share of the population. Meanwhile, housing costs shot up in recent years as cities around the nation grappled with a persistent housing shortage and a surge in demand from millennial and Gen Z buyers.” Finally, on regulation, in response to a severe scarcity of housing, cities and states across the country are making it easier to build smaller footprint housing units. To reduce housing costs, city and state governments around the country have passed hundreds of new bills that make it easier for builders to erect smaller units at greater densities. From NYT: "These new rules have been rolled out gradually over years; what has changed recently is that builders are much more willing to push smaller dwellings because they have no other way to reach a large swath of buyers.” The key takeaway? “There is a market opportunity and people are using it.”  https://lnkd.in/gnYzHkc9

Over the past 20 years, the Bay Area housing market has experienced significant price increases and volatility. Here are some key trends and insights: Price Appreciation The Bay Area has seen substantial home price appreciation since the early 2000s:From 2000 to 2021, Bay Area home prices increased by approximately 70% in inflation-adjusted dollars Many counties saw even larger gains. For example, San Francisco County home prices increased by 344% between 1990 and 2015 The median home price in the Bay Area rose to $1,166,000 in 2021, a 77% increase from 2012 after adjusting for inflation Market Cycle The housing market has gone through several distinct cycles:The dot-com boom in the late 1990s/early 2000s drove rapid price increases, especially in San Francisco and Santa Clara counties Prices dropped during the 2008-2011 recession, with declines of 20-60% in some areas A strong recovery began in 2012, with prices surpassing previous peaks in many areas by 2015-2016 The pandemic initially disrupted the market in 2020 but then led to another surge in prices through 2021 Regional Variations There are significant price differences across Bay Area counties:In 2021, median home prices ranged from $538,000 in Solano County to $1.54 million in San Mateo County San Francisco, San Mateo, and Santa Clara counties consistently have the highest prices More affordable areas like Solano County have seen faster price growth in percentage terms in recent years Market Competitiveness The Bay Area remains one of the most competitive housing markets in the country: As of 2024, homes in San Francisco receive an average of 5 offers and sell in around 35 days Many homes sell above list price, with "hot homes" going for up to 16% over asking Factors Driving Price Growth Several factors have contributed to the long-term price increases: Strong job growth, particularly in the tech sector Limited housing supply and constraints on new construction High demand due to the region's desirable climate and amenities Periods of low interest rates Recent Trends While prices have generally trended upward over the past 20 years, there have been some recent shifts:The median sale price in San Francisco was down 7.6% year-over-year as of August 2024 Interest rate increases in 2022-2023 led to some cooling in the market, with more price reductions and longer time on market In summary, the Bay Area housing market has seen dramatic price appreciation over the last 20 years, driven by strong economic growth and limited supply. While there have been periods of adjustment, overall prices have reached levels that make homeownership challenging for many residents, particularly in the most desirable areas. Connie Dello Buono Investment Fiduciary Index Annuities Broker 408-854-1883

Interesting post Mario! The shifting dynamics in the Australian housing market highlight the importance of choosing the right location, as affordability and supply issues are driving varying trends across the country. Buyers should be cautious and strategic, especially in areas showing growth like Perth, while considering the risks in markets experiencing declines like Melbourne.

ADELAIDE HAS STEEPEST ANNUAL HOUSE PRICE GROWTH ACROSS THE CITIES ~ MARKET WRAP Adelaide’s housing market is the gift that keeps giving to homeowners – as the state is challenged by balancing positive demographic trends, Australia’s tightest city rental market (joint with Perth) and a chronic housing undersupply. Although Adelaide is not traditionally seen as an investor market, the city has continued to defy expectations and demonstrate returns unlike any other in Australia. Despite house price growth losing momentum over the December quarter to rise roughly one-third slower than the previous quarter – rising by 3.3% – it remains well above the historical average growth of 2.6%. Despite this slowdown, keeping in line with the city’s ongoing trend, house prices rose to another record high. Previously stronger quarters of growth have pushed annual gains into double-digit growth once more, providing the fastest rise since September 2022. Adelaide unit prices continued to grow over the December quarter at an eased pace one-third slower than the previous quarter. Adelaide is one of only three capital cities where unit prices are currently at an all-time high. Australia’s housing market has now fully recovered from the 2022 downturn – with combined capital house and unit prices ending 2023 at a new record. This is the first time they have surpassed the previous records that were set in March 2022 for houses and December 2021 for units. It has been a steady recovery for house prices and a fairly speedy one for units relative to the downturn. House prices fell for three consecutive quarters and took four quarters of growth to recoup, while unit prices fell for five consecutive quarters and recovered in just three quarters of growth. The pace of gains over the past two quarters has been fairly consistent and has eased since the strong gains achieved earlier in the year. Annual gains are now at the steepest in 1.5 years for houses and two years for units.