Real Estate Outlook 2019
The Australian Perspective
Softer economic growth is likely to add to challenges facing the real estate outlook this year.
Over the past year the economic drivers of real estate shifted and residential property prices fell at the fastest rate since the Global Financial Crisis. Driven by tighter credit conditions and weak wages it throws the issues of housing affordability into sharp relief.
In a series of articles below we cover the 2019 macroeconomic outlook from Deloitte Access Economics – which remains solid but likely to be challenged. The critical issue of housing affordability is covered by economist Nicki Hutley who untangles the conundrums of NIMBYism (Not In My Back Yard) and medium density developments. And Financial Advisory’s Tapan Parekh outlines the A-REIT (Australian real estate investment trust) opportunities across various asset classes. We also take a leap into the future and explore the power of Digital Twining with experience design partner Robbie Robertson who shares the pragmatics of increasing productivity and operational excellence with his passion for human centred and transformative design.
Explore our article series here
- What does the year ahead hold for real estate?
Over the past year the economic drivers of real estate have shifted. Australia is expected to continue its long run of uninterrupted economic growth, albeit at a slower pace than previously experienced.
- Digital Twinning in Real Estate: Humanising buildings with Industry 4.0
As technology gets more pervasive, and smart buildings and precincts develop, real estate companies will (and some already do) use their smarts to anticipate both customer and technological needs. A good way to do this, and also cut time and costs, is to create a digital twin of the physical assets.
- The answer to housing affordability is staring us in the face
Media headlines continue in full war cry regarding falls in Australian house prices over the past year, particularly in Sydney and Melbourne. And yet, just over 12 months ago, the lack of housing affordability, and 'millenials locked out of home ownership forever,' led the stories.
- A-REITS: Resilient growth supported by fundamentals
Australian REITS enjoyed strong returns in 2018 on the back of lower interest rates, strong economic growth and strong investor flows. Read here for what to expect in 2019.
To read the global trends impacting real estate in 2019 click here.