Property Buzz

PropertyBuzz, your daily dose of property news.

A bank economist’s view of the RBA’s next move; NSW starts trialling AI to speed up homebuilding, and the winter slowdown arrives as scheduled.

Welcome to Property Buzz! I’m Juliet Helmke. Today is Saturday, 06 July.

– Bendigo Bank’s chief economist, David Robertson, has said that the latest inflation data might push out rate relief to May 2025 – updating the bank’s earlier forecast for a cut as early as February – but sait that it was too soon to prepare for another hike.

– He emphasised that the upcoming jobs data and the quarterly inflation figure will be influential in determining the likelihood of a rate rise, though he noted that the data from May does push the probability of the RBA making a move slightly higher.

– Even so, he predicted that the forthcoming figures will reflect a continued economic rebound, albeit in slow increments.

– In NSW, the government is trialling the use of AI to expedite development approvals, with 16 councils participating in an initiative to fast track the process.

– The trial is part of a $5.6 million investment to improve the quality and accuracy of information in development applications, and to identify common mistakes early in the process rather than once they have hit the desk of a council planner.

– Councils are responsible for assessing about 85 per cent of all residential development applications, and the state believes that streamlining the assessment process is key to addressing property supply issues.

– The participating councils will use their chosen technology for 12 months before reporting on its effectiveness. 

– Turning attention to the auction market, CoreLogic has forecast a decrease in auction volumes for the week ending 7 July 2024, with 1,790 capital city homes scheduled for auction, down from just over 2,000 the previous week.

– Melbourne’s auction volume is expected to fall by 24 per cent, with 673 properties scheduled, while Sydney’s volume is set to rise by 4.8 per cent with 803 homes hitting the block.

– Smaller capital cities are also seeing a decrease, with Brisbane’s auctions down to 119 from 159, and Canberra’s down to 43 from 65. Adelaide’s volume remains consistent at 143.

– CoreLogic has thus determined that a “winter slowdown” is in full swing with early estimates for the week ending 14 July 2024 showing less than 1,500 homes scheduled for auction across combined capitals.

That’s Property Buzz for today. See you again tomorrow, 07 July, for your daily dose of Property Buzz.

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A bank economist’s view of the RBA’s next move