Core logic Australian housing-market update August 2020

Monthly Chart Pack
Our Insights. Your Story.
August 2020

218 July 2019© CoreLogic, Inc. All Rights Reserved.
Residential Real Estate Underpins Australia’s Wealth
Data as at August 2020
RESIDENTIAL REAL ESTATE
$7.1 Trillion
AUSTRALIAN SUPERANNUATION
$2.7 Trillion
AUSTRALIAN LISTED STOCKS
$2.0 Trillion
COMMERCIAL REAL ESTATE
$1.0 Trillion
Source: CoreLogic, APRA, RBA, ABS, ASX
10.5 million
Number of dwellings
$1.85 trillion
Outstanding mortgage debt
53.9%
Household wealth held in housing
420,127
Total sales p.a.
$274.3 billion
Gross value of sales p.a.
© 2020 CoreLogic, Inc. All Rights Reserved.

The quarterly change in national dwelling values was -1.6%, led by
a -2.0% decline across the capital city markets
Quarterly change in dwelling values Quarterly change – July 20
Source: CoreLogic© 2020 CoreLogic, Inc. All Rights Reserved.
-4%
-2%
0%
2%
4%
6%
8%
Jul 10 Jul 12 Jul 14 Jul 16 Jul 18 Jul 20
Combined Capitals Combined Rest of State
-2.1%
-3.2%
-0.9%
0.3%
-2.2%
0.9%
-1.6%
1.3%
0.7%
-0.8%
-0.2%
1.6%
-6.2%
1.4%
-0.5%
-2.0%
-0.1%
-1.6%
Sydney
Melbourne
Brisbane
Adelaide
Perth
Hobart
Darwin
Canberra
Regional NSW
Regional Vic
Regional Qld
Regional SA
Regional WA
Regional Tas
Regional NT
Combined capitals
Combined regionals
Australia

However, annual growth rates across most markets are still
relatively strong, off the back of the upswing between July 2019
and April 2020
Annual change in dwelling values Annual change – July 20
-10%
0%
10%
20%
30%
Combined Capitals Combined Rest of State
12.1%
8.7%
3.8%
2.4%
-2.5%
5.9%
-2.2%
7.2%
4.5%
4.4%
4.7%
3.0%
-8.9%
10.3%
1.5%
7.9%
3.9%
7.1%
Sydney
Melbourne
Brisbane
Adelaide
Perth
Hobart
Darwin
Canberra
Regional NSW
Regional Vic
Regional Qld
Regional SA
Regional WA
Regional Tas
Regional NT
Combined capitals
Combined regionals
Australia

Since March, upper quartile dwelling market values have been
most affected by the pandemic, particularly across Sydney and
Melbourne
Change in quartile dwelling values, Greater Capital City Regions – End of March to July 2020
-0.1%
-1.3%
-2.5%
-1.2%
-2.3%
-5.2%
-0.2%
0.2%
-1.5%
0.9%
0.6%
0.8%
-1.6%
-1.9%
-2.2%
1.2% 1.2%
0.2%
1.3%
0.2%
-0.6%
0.7%
1.8%
0.8%
-6%
-5%
-4%
-3%
-2%
-1%
0%
1%
2%
3%
25th 50th 75th 25th 50th 75th 25th 50th 75th 25th 50th 75th 25th 50th 75th 25th 50th 75th 25th 50th 75th 25th 50th 75th
SYD MELB BRIS ADL PER HOB DAR ACT

The ACT market is proving to be resilient amid the pandemic,
with the third-highest annual growth rate of the capital city
regions
Source: CoreLogic
Annual change in dwelling values
-2.5%
-2.2%
6.3%
7.2%
-15%
-10%
-5%
0%
5%
10%
15%
20%
25%
Perth Hobart Darwin ACT
12.1%
8.7%
3.8%
2.4%
-15%
-10%
-5%
0%
5%
10%
15%
20%
25%
Sydney Melbourne Brisbane Adelaide

The CoreLogic daily home
value index for the
combined capital cities
was -0.8% lower over the
past 28 days to 1st of
August.
The rate of decline
seemed to stabilize slightly
in the past month, but the
resurgence of COVID-19
cases presents high
uncertainty.
Rolling 28-day change in daily home value
index, combined capitals
-0.8%
-1.0%
-0.5%
0.0%
0.5%
1.0%
1.5%

818 July 2019© CoreLogic, Inc. All Rights Reserved.© 2020 CoreLogic, Inc. All Rights Reserved.
Quarterly and annual change in
dwelling values - Sydney
© 2020 CoreLogic, Inc. All Rights Reserved. Source: CoreLogic
 Sydney dwelling values fell by -0.9%
in July
 Dwelling values were down -2.1% in
the quarter
 Sydney dwelling values are up by
12.1% in the past year
 Sydney dwelling values are -4.4%
below the record high, which was in
July 2017
-15%
-10%
-5%
0%
5%
10%
15%
20%
25%
Quarterly Change Annual Change

dwelling values - Melbourne
 Melbourne dwelling values fell by
-1.2% in July
 Dwelling values fell -3.2% in the
quarter
 Melbourne dwelling values are up by
 Melbourne dwelling values are -3.5%
from the record high, which was in
March 2020
-15%
-10%
-5%
0%
5%
10%
15%
20%
25%

dwelling values - Brisbane
 Brisbane dwelling values fell by -0.4%
in July
 Dwelling values declined -0.9% in the
quarter
 Brisbane dwelling values are up by
 Brisbane dwelling values are -0.9%
April 2020
-10%
-8%
-6%
-4%
-2%
0%
2%
4%
6%
8%
10%

dwelling values - Adelaide
 Adelaide dwelling values increased
0.1% in July
 Dwelling values increased 0.3% in the
quarter
 Adelaide dwelling values were up by
 Adelaide dwelling values are -0.1%
May 2020
-8%
-6%
-4%
-2%
0%
2%
4%
6%
8%

dwelling values - Perth
 Perth dwelling values were down
-0.6% in July
 Dwelling values decreased -2.2% in
the quarter
 Perth dwelling values are down by
-2.5% in the past year
 Perth dwelling values are now -22.3%
June 2014
-10%
-8%
-6%
-4%
-2%
0%
2%
4%
6%
8%
10%

dwelling values - Hobart
 Hobart dwelling values fell
-0.2% in July
 Dwelling values increased 0.9% in the
quarter
 Hobart dwelling values are up by
 Hobart dwelling values are 0.2%
June 2020
-10%
-5%
0%
5%
10%
15%
20%

dwelling values - Darwin
 Darwin dwelling values declined
-0.3% in July
 Dwelling values fell -1.6% in the
quarter
 Darwin dwelling values are down by
-2.2% in the past year
 Darwin dwelling values are -31.4%
May 2014
-20%
-15%
-10%
-5%
0%
5%
10%
15%
20%

dwelling values - ACT
 ACT dwelling values increased 0.6% in
July
 Dwelling values were up 1.3% in the
quarter
 ACT dwelling values were up by
 The ACT dwelling market is currently
at a record high value
-10%
-5%
0%
5%
10%
15%

0
10,000
20,000
30,000
40,000
50,000
60,000
70,000
Jul-10 Jul-12 Jul-14 Jul-16 Jul-18 Jul-20
CoreLogic estimates that national settled sales have
bounced back since April. Sales volume estimates increased
a further 13.5% over July
Source: CoreLogic
Decade average
Monthly sales with six month moving average, National
Note: recent monthsare modelledestimates,and are
thereforesubjectto revision
Annual change in sales volumes
21.4%
12.0%
7.5%
-3.6%
5.5%
-8.7%
6.6%
13.0%
6.7%
6.0%
8.4%
5.8%
11.6%
-2.7%
-14.3%
11.3%
6.8%
9.6%
Sydney
Melbourne
Brisbane
Adelaide
Perth
Hobart
Darwin
Canberra
Regional NSW
Regional VIC
Regional QLD
Regional SA
Regional WA
Regional TAS
Regional NT
Combined capitals
Combined regionals
National
Note: recent monthsof sales volumes are modelledestimates,and are subject to revision

0
20
40
60
80
100
120
140
0
10,000
20,000
30,000
40,000
50,000
60,000
70,000
Jul-00 Jul-01 Jul-02 Jul-03 Jul-04 Jul-05 Jul-06 Jul-07 Jul-08 Jul-09 Jul-10 Jul-11 Jul-12 Jul-13 Jul-14 Jul-15 Jul-16 Jul-17 Jul-18 Jul-19 Jul-20
National sales volumes and consumer sentiment
Source: CoreLogic, Westpac/Melbourne Institute© 2020 CoreLogic, Inc. All Rights Reserved.
Note: recent monthsof sales volumes are modelledestimates,and are subject to revision
Consumer confidence started to decline off the back of a
resurgence of COVID-19 cases, which is likely to dampen
sales volumes in the coming months
Consumer sentiment index (RHS)Monthly sales volumes (LHS)

Annual growth in rent values fell to 0.6%, and declined
-0.7% since March. Rent values are expected to fall further in
Melbourne amid lockdown conditions
Annual change in rental rates - National Annual change in rental rates
0.6%
-2%
0%
2%
4%
6%
8%
Jul 08 Jul 10 Jul 12 Jul 14 Jul 16 Jul 18 Jul 20 -1.3%
-0.7%
0.6%
2.4%
2.9%
-1.0%
-0.7%
1.8%
2.7%
2.3%
1.4%
4.3%
5.0%
3.8%
-2.9%
0.0%
2.4%
0.6%
Sydney
Melbourne
Brisbane
Adelaide
Perth
Hobart
Darwin
Canberra
Regional NSW
Regional VIC
Regional QLD
Regional SA
Regional WA
Regional TAS
Regional NT
Combined capitals
Combined regionals
National

Nationally, dwelling value falls have so far been larger than
rent value falls, which has led to a slight increase in rent
yields of 3 basis points over July
Gross rental yields - National Gross rental yields as at July-20
3.76%
2.0%
2.5%
3.0%
3.5%
4.0%
4.5%
5.0%
Jul 10 Jul 12 Jul 14 Jul 16 Jul 18 Jul 20 2.9%
3.2%
4.4%
4.4%
4.4%
4.8%
5.9%
4.6%
4.5%
4.5%
5.2%
5.8%
6.3%
5.2%
6.9%
3.5%
4.9%
3.8%
Sydney
Melbourne
Brisbane
Adelaide
Perth
Hobart
Darwin
Canberra
Regional NSW
Regional VIC
Regional QLD
Regional SA
Regional WA
Regional TAS
Regional NT
Combined capitals
Combined regionals
National

Median days on market increased to 49 days across the
capital cities in the 3 months to July, up from 42 days in June
Median days on market Median days on market July 2019 v July 2020
Source: CoreLogic
These charts show the median days on market over 3 month rolling periods. Please note that
CoreLogic have made significant improvements to listings data, which help paint a more
accurate and consistent picture of real estate listing activity. These additions have resulted in
a revised view of the historical days on market series to ensure comparability across time.
0
10
20
30
40
50
60
70
80
90
100
Combined capitals Combined regionals
53
50
52
51
65
23
70
62
70
53
59
91
81
48
72
53
63
56
45
43
58
50
61
30
72
53
67
58
70
107
95
61
124
49
69
55
Sydney
Melbourne
Brisbane
Adelaide
Perth
Hobart
Darwin
ACT
Regional NSW
Regional VIC
Regional QLD
Regional SA
Regional WA
Regional TAS
Regional NT
Combined capitals
Combined regionals
National
Jul-20
Jul-19

However, the typical discount offered over the month
eased from 3.6% in June to 3.5% in July across the capitals
Median vendor discount Median vendor discount July 2019 v July 2020
These charts show median vendor discounting over 3 month rolling periods. Please
note that CoreLogic have made significant improvements to listings data, which help
paint a more accurate and consistent picture of real estate listing activity. These
additions have resulted in a revised view of the historical vendor discounting series
to ensure comparability across time.
-6%
-5%
-4%
-3%
-2%
-1%
0%
Combined capitals Combined regionals
-4.3%
-4.1%
-3.8%
-3.6%
-5.4%
-3.0%
-5.9%
-2.9%
-4.2%
-3.8%
-4.6%
-4.8%
-7.4%
-4.1%
-3.1%
-4.2%
-4.4%
-4.3%
-3.1%
-3.2%
-3.7%
-3.5%
-4.3%
-3.6%
-5.9%
-2.3%
-3.5%
-3.5%
-4.5%
-5.9%
-6.7%
-3.4%
-4.8%
-3.5%
-4.0%
-3.7%
Sydney
Melbourne
Brisbane
Adelaide
Perth
Hobart
Darwin
ACT
Regional NSW
Regional VIC
Regional QLD
Regional SA
Regional WA
Regional TAS
Regional NT
Combined capitals
Combined regionals
National
Jul-20 Jul-19

At the 28 days ending 26th of July, new listings had climbed
to be 1.0% higher than the equivalent period in 2019
New Listings, rolling 28-day count, national

However, as sales volumes continued to recover, listings
were strongly absorbed and fell a further -4.3% over the
month
Total listings, rolling 28-day count, national

New listings are
now higher than the
equivalent period
last year across
Sydney, Melbourne,
Perth and the ACT.
However,
Melbourne is the
only market with a
year-on-year rise in
total listings.
Source: CoreLogic. Data is a year-over-year comparison for the 28 days ending 26th of July
1.0%
8.9%
-10.3%
32.2%
7.0%
-6.2%
-6.0%
10.3%
-23.9%
-40.1%
2.2%
-5.9%
-4.5%
-13.2%
-25.8%
-14.5%
-9.2%
-20.8%
National
Combined Capital Cities
Combined Regional
Sydney
Melbourne
Brisbane
Adelaide
Perth
Hobart
Darwin
Canberra
Rest of NSW
Rest of Vic
Rest of Qld.
Rest of SA
Rest of WA
Rest of Tas
Rest of NT
New listings, change from
equivalent period last year
-15.2%
-12.5%
-18.1%
-3.1%
3.2%
-20.4%
-17.5%
-26.7%
-25.1%
-30.0%
-28.4%
-21.2%
-15.3%
-17.8%
-12.1%
-16.2%
-25.9%
-19.6%
Total listings, change from
equivalent period last year

Weekly clearance rates, combined capital cities
The typical clearance rate over July was 55.9%, down from
58.9% in June
0
500
1,000
1,500
2,000
2,500
3,000
3,500
4,000
4,500
0%
10%
20%
30%
40%
50%
60%
70%
80%
90%
Jul-15 Jul-16 Jul-17 Jul-18 Jul-19 Jul-20
Auctionvolumes
ClearanceRate
Number of auctions (RHS) Auction clearance rate (LHS) Auction clearance rate, 4 week average (LHS)

The Melbourne clearance rate fell amid the second lockdown
and a higher proportion of withdrawn auctions, while the
Sydney clearance rate stabilized at around 62%
Weekly clearance rates, Sydney v Melbourne
Source: CoreLogic

The weaker clearance rate results stem from an increase in
withdrawn properties, as onsite auctions are once again
suspended in Melbourne
* As a % of all auction results * As a % of all ‘sold’ auction results
Auction outcomes, combined capital cities
56.0%
27.1%
0%
10%
20%
30%
40%
50%
60%
70%
80%
90%
100%
31/07/2015
31/07/2016
31/07/2017
31/07/2018
31/07/2019
31/07/2020
% withdrawn results from auction
82.7%
44.9%
0%
10%
20%
30%
40%
50%
60%
70%
80%
90%
100%
31/07/2015
31/07/2016
31/07/2017
31/07/2018
31/07/2019
31/07/2020
% Sold Prior to Auction

Monthly number of dwellings approved for
construction, national (Seasonally adjusted)
Dwelling approvals declined a further 4.9% over June to
12,213 - the lowest volume of approvals since July 2012
Source: CoreLogic, ABS© 2020 CoreLogic, Inc. All Rights Reserved.
0
2,000
4,000
6,000
8,000
10,000
12,000
14,000
Houses Units
3409
4607
2294
933
1204
240
2903
4600
2043
890
1063
214
New South
Wales
Victoria Queensland Western
Australia
South
Australia
Tasmania
Monthly dwelling approvals by state,
seasonally adjusted
May 20 Jun 20

The value of finance
secured for the
purpose of housing
saw its largest
monthly decline in
the history of the
series in May 2020.
Investor lending
declined 15.6%, while
owner occupier
finance fell 10.2%.
The sharp drop in
secured finance is
likely a reflection of
the shock to sales
volumes in April.
Monthly value of new finance
commitments, total
($ billions)
Portion of new lending for
investment housing (excluding
refinance)
$3
$5
$7
$9
$11
$13
$15
$17 May04
May06
May08
May10
May12
May14
May16
May18
May20
Owner occupiers
Investors
25.0%
36.4%
20%
25%
30%
35%
40%
45%
50%
May04
May06
May08
May10
May12
May14
May16
May18
May20

Through May, first home buyer participation as a portion of
owner-occupiers fell slightly from April, but remains relatively
high
First home buyers as a portion of owner-occupier finance
commitments (values)
30.1%
26.7%
32.8%
29.7%
24.4%
39.0%
22.4%
47.9%
33.9%
Aust
NSW
Vic
Qld
SA
WA
Tas
NT
ACT
May 2020
0%
10%
20%
30%
40%
50%
60%
May 15 May 16 May 17 May 18 May 19 May 20
NSW Vic Qld SA WA Tas

In May, the portion of new housing finance to investors fell
to a new record low of 25.0%
Investors as a portion of total value of lending (excluding refinancing)
25.0% 29.4% 24.5% 20.8% 21.6%
15.4%
21.2%
13.3%
20.8%
Aust NSW Vic Qld SA WA Tas NT ACT
May 2020

The cash rate target was held at 0.25% for August, though
the RBA has reported the actual cash rate has been closer
to 13 or 14 basis points since late April
Source: CoreLogic, RBA© 2020 CoreLogic, Inc. All Rights Reserved.
7.25%
3.00%
4.75%
2.50%
1.50%
0.25%
0%
1%
2%
3%
4%
5%
6%
7%
8%
Aug 00 Aug 05 Aug 10 Aug 15 Aug 20
RBA Cash Rate

Lending conditions were relatively unchanged from the
December 2019 to March 2020 quarter, as economic
conditions started to slow in Australia
3.9%
3.6%
3.4%
3.1%
7.4%
6.8%
6.4%
6.1%
Jun 2019 Sep 2019 Dec 2019 Mar 2020
Interest rates for new loans
funded
Weighted average variable rate of new loans funded
Weighted average assessment rate used for serviceability
20.4%
18.3%
17.7% 18.0%
Jun 2019 Sep 2019 Dec 2019 Mar 2020
Portion of new loans funded on interest-only
terms
* Data on loans fundedon an LVR ≥ 95% were unavailable from APRA, as such these figuresare a derived estimate
37.8%
38.3%
39.1% 39.2%
Jun 2019 Sep 2019 Dec 2019 Mar 2020
Portion of new loans funded with an LVR 80% ≤ *
Source: CoreLogic, APRA

Disclaimer
In compiling this publication, RP Data Pty Ltd trading as CoreLogic has relied upon information supplied by a number of external sources. CoreLogic does not warrant its accuracy or completeness and to the full extent allowed by law excludes
liability in contract, tort or otherwise, for any loss or damage sustained by subscribers, or by any other person or body corporate arising from or in connectionwith the supply or use of the whole or any part of the information in this
publication through any cause whatsoever and limits any liability it may have to the amount paid to CoreLogic for the supply of such information.
Queensland Data
Based on or contains data provided by the State of Queensland (Department of Natural Resources and Mines) 2020. In consideration of the State permitting use of this data you acknowledge and agree that the State gives no warranty in relation
to the data (including accuracy, reliability, completeness, currency or suitability) and accepts no liability (including without limitation, liability in negligence) for any loss, damage or costs (including consequential damage) relating to any use of the
data. Data must not be used for direct marketing or be used in breach of the privacy laws.
South Australian Data
This information is based on data supplied by the South Australian Government and is published by permission. The South Australian Government does not accept any responsibility for the accuracy or completeness of the published information
or suitability for any purpose of the published information or the underlying data.
New South Wales Data
Contains property sales information provided under licence from the Land and Property Information (“LPI”). CoreLogic is authorised as a Property Sales Information provider by the LPI.
Victorian Data
The State of Victoria owns the copyright in the Property Sales Data which constitutes the basis of this report and reproduction of that data in any way without the consent of the State of Victoria will constitute a breach of the Copyright Act 1968
(Cth). The State of Victoria does not warrant the accuracy or completeness of the information contained in this report and any person using or relying upon such information does so on the basis that the State of Victoria accepts no responsibility
or liability whatsoever for any errors, faults, defects or omissions in the information supplied.
Western Australian Data
Based on information provided by and with the permission of the Western Australian Land Information Authority (2020) trading as Landgate.
Australian Capital Territory Data
The Territory Data is the property of the Australian Capital Territory. No part of it may in any form or by any means (electronic, mechanical, microcopying, photocopying, recording or otherwise) be reproduced, stored in a retrieval system or
transmitted without prior written permission. Enquiries should be directed to: Director, Customer Services ACT Planning and Land Authority GPO Box 1908 Canberra ACT 2601.
Tasmanian Data
This product incorporates data that is copyright owned by the Crown in Right of Tasmania. The data has been used in the product with the permission of the Crown in Right of Tasmania. The Crown in Right of Tasmania and its employees and
agents:
a) give no warranty regarding the data's accuracy, completeness, currency or suitability for any particular purpose; and
b) do not accept liability howsoever arising, including but not limited to negligence for any loss resulting from the use of or reliance upon the data.
Base data from the LIST © State of Tasmania http://www.thelist.tas.gov.au

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Core logic Australian housing-market update August 2020

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