Australia is on the brink of a significant demographic shift known as the "Silver Tsunami." Increased life expectancy, declining birth rates, and Baby Boomer’s entering retirement en masse will have widespread effects on healthcare, the workforce, housing, and government policies.

This shift in population profile is reshaping the country’s housing market and urban planning priorities, requiring a rethink of how cities and towns accommodate and support our senior residents.

Australia’s regional markets are continuing to attract the attention of buyers and new residents, outpacing capital city counterparts. While there are cyclical factors that can affect price growth, such as the level of interest rates and markets correcting after a period of sustained growth, there continues to be a range of underlying and long-term structural factors driving growth/decline.

The UK’s housing crisis is a well-documented issue, with increasing demand outstripping supply in both urban and rural areas. The pressure to provide affordable housing, coupled with a desire for sustainable and community-focused living spaces, has fuelled calls for a dedicated task force to steer urban growth: the New Towns Taskforce.

New population data released by the ABS shows a welcome downturn in population growth due to falls in both net overseas migration, and natural increase across most states. Interestingly, the massive growth in some states is a notable contrast to what is happening in the property market.

Read the full article for a look at the trends.

Our economic advisory work extends beyond analysis, to support you with evidence-based insights to identify opportunities and inform strategic decisions. With experience across both private sector and government, our team bring expertise in trend forecasting, understanding economic indicators and their implications, property research, modelling, and evaluating policy implications. We are here to help you navigate the complexities of the current economic landscape.

The NSW Productivity Commission has warned in a new housing paper that Sydney is losing some 7,000 people aged 30 to 40 a year. “Sydney is at risk of becoming a city with no grandchildren if we don’t meaningfully address the housing crisis”. The paper found that between 2016 and 2021, Sydney lost twice as many people aged 30 to 40 as it gained. 35,000 came to Sydney, but 70,000 left. It also found that while Sydney has among the highest average wages in Australia, over recent years it has consistently lost population to other states and regional NSW. Approximately two out of every three departures are from the working-age population – that is, those aged between 25 and 64, it’s not only ‘grey nomads’ who leave Sydney.

Solve Property Group was asked to consider on the back of this housing paper, is there a disparity in dwelling sizes and household demographics? Here is a snapshot of our insights.

The Queensland State Government recently released their Draft South East Queensland Regional Plan 2023 Update for public consultation, signalling that South East Queensland’s recent strong growth is expected to continue over the coming decades.