Australia is among the prosperous and politically stable countries, its economy has proved to be extremely resilient even during a recession. A decline (by 0.6%) was observed only in the 4th quarter of 2008, but thanks to the measures taken by the government and an unprecedented reduction in discount rates (to 3%), already in the 1st quarter of 2009, the decline was replaced by growth. Seller's market The Australian real estate market has shown amazing resilience to global shocks. Last year, the increase in the cost of objects exceeded the most optimistic expectations in many regions of the country - primarily in the eight largest cities, where about 65% of the population lives. Housing has also risen in price in some suburbs and rural areas. According to the RP Data-Rismark index, the most significant increase in house prices in 2009 among regional capitals was observed in Darwin (17.9%), Melbourne (17%) and Sydney (11.6%). At the end of 2009, the median house price (the level above and below which the number of offers is approximately the same) for three months was 395,000 Australian dollars, or $364,000. The median price for houses in Sydney is highest ($506,000), followed by the capital Australian Union Canberra ($492,000) and Darwin ($460,000). Apartment prices are highest in Sydney ($384,000), and Melbourne apartments are almost the same ($370,000). Home ownership for Australians is one of life's priorities, which is why more than 70% of the population lives in their own homes. Real estate is being built efficiently and quickly, but the population is growing even faster, mainly due to immigrants, so there are not enough new objects. Last year, population growth was at a record pace over the past 40 years, which was one of the main reasons for the rise in residential real estate prices. Demand for homes outstrips supply and this segment represents a seller's market. Lack of space pushes up rents and thus makes investment in Australian property even more attractive. According to most developers and market analysts, this situation will continue in the next few years. Harley Dale, an economist at the Australian Housing Association, fears that if the government does not stimulate the construction industry, the gap between supply and demand will widen even more. Some experts believe that in 2010, in light of higher interest rates and reduced government assistance to first home buyers, prices will rise more slowly. However, both events have already occurred in November, and prices are still rising. Economist at Australian Property Monitors Matthew Bell believes that interest rates will not affect the dynamics of the real estate market until they reach the level of 7.5-8%. Our there The percentage of foreigners owning detached houses in Australia is low, although the Green Continent is one of the most popular tourist destinations. Due to the flight, which takes about a day, Russians rarely buy property in Australia as a holiday home, but the number of those who use it as a means of earning is gradually growing. According to the Gordon Rock real estate agency report for the 1st half of 2009, buyers from Russia and the CIS took the second place after the British in terms of activity in the Australian real estate market: they account for about 27% of the total number of property purchases by non-residents. More than other Russians are interested in the state of Queensland, especially its resort cities of Brisbane and the Gold Coast. The Gold Coast is very popular and is one of the fastest growing regions in Australia: “Every week about 500 people arrive here for permanent residence,” says Elena Lukashova, lawyer at The Green Continent. “Apartments and houses are still being sold at the design and construction stage, and the housing shortage is unlikely to be satisfied in the next five years.” To purchase real estate in Australia, you must obtain permission from the Foreign Investment Review Board (FIRB). After that, foreigners have the right to acquire real estate only in the primary market and in the future they can dispose of it at their discretion. In the secondary market, the purchase is possible with a temporary Australian visa, valid for at least another 12 months at the time of the transaction. When buying a land plot, the investor is obliged to start construction on it within a year, and the cost of the building must be at least half of the cost of the land. Owning real estate in Australia allows you to count on benefits when applying for visas and citizenship. Pacific England New Zealand is a state built by the younger offspring of the English landed aristocracy on the model of England. Not only legislation, but landscapes, largely man-made, and even the local climate are reminiscent of England. The quality of life is also comparable, but its cost in New Zealand cities is significantly lower than in London. Foreign investment plays a large role in New Zealand's economy, facilitated by a liberal tax policy and low rates focused on long-term investment projects. The main trends in the New Zealand real estate market last year are similar to those in Australia, although the figures in which the recovery was expressed are lower - but the price threshold for entering the market is also lower. The average cost of homes in the country in 2009, according to a report by the New Zealand company Quotable Value, amounted to 404,700 New Zealand dollars, or $ 299,500, which is only 4.9% lower than the peak figures at the end of 2007. Director of Coastal Development Holdings Sergey Shchechka cites a 20% increase in exports compared to 2008, a reduction in unemployment, the lowest interest rates on bank loans in the last decade and an increase in the flow of immigrants and foreign investors. “The New Zealand economy is now emerging from recession and growth in the real estate market is solid and robust, making investors more confident in their investment. The demand for real estate is growing in all major regions of the country,” says the expert. Quotable Value recorded the largest increase in housing prices in the city of New Plymouth (7.1%). In the capital Wellington, prices rose by 4.6% (to $332,000), and in the largest Auckland - by 5.1% (to $396,000). The REINZ real estate institute in its statistical studies gives even more significant figures: for example, in Auckland, the positive dynamics, according to REINZ, amounted to 12%. But, based on the same statistics, some argue that the glass is half full, others that it is half empty. John Stewart, CEO of First National Group, believes that talk of a mini-boom in the New Zealand real estate market is unfounded. "Most homes, in our experience, are still selling 10% to 15% cheaper than they were two years ago, and sales volumes, while up year-over-year, remain substantially lower than in 2007." In other words, despite some growth, the market is still far from the maximum turnover that was noted a couple of years ago. Relatively low activity is due to the fact that many sellers still take a wait-and-see attitude. This is confirmed by the statistics of the official New Zealand real estate website Realestate.co.nz: the number of new offers on the market decreased by 17% compared to 2008 and by 24% compared to 2007, which was accompanied by a decrease in sales. It is worth noting that this is roughly consistent with the decline in demand in recent years. In general, in 2009, about 98,000 transactions were registered in the real estate sector. Glenda Whitehead, the manager of Quotable Value, points out the high buying activity in the lower price segment as a positive trend, while in 2008 it, on the contrary, fell significantly. The expert hopes that activity will increase in the near future and the market will become more balanced. In Knight Frank's 2009 Q3 Global Home Price Index, Australia and New Zealand are the fifth and seventh fastest recovering markets. Britain, according to this company, has been demonstrating steady growth since March 2009. "The rest of the world markets," says Elena Yurgeneva, head of foreign real estate at Knight Frank, "follow it, as a rule, at intervals of six months or a year." And this allows us to hope that, following the leaders of the list, most real estate markets will turn towards recovery.
