In 2019, prior to the coronavirus, the Australian property market was tested. We came into 2019 with the findings of the Hayne Royal Commission into Misconduct in the Banking, Superannuation and Financial Services Industry. This placed immense pressure on the banking industry and had a direct impact on the property market, with APRA tightening lending restrictions and mortgage brokers unsure of their remuneration.

The lead up to the May 2019 federal election created further strain on the property market with the uncertainties around property tax and negative gearing. This is about the time the Australian property Market had an approximate 10 percent correction.

With what was, considered by most, a shock win to the Liberal government, we had some certainty back in the property sector. Meanwhile, abroad we had the Hong Kong riots and civil unrest as well as the ongoing trade war between China and America. Towards the end of 2019 and the beginning of 2020, it seemed like the property market found some breathing space. Then COVID 19 happened.

A one in one hundred year Global Pandemic. As we head towards a double digit unemployment rate, the Australian property market will be tested again and by no means will this be the end of the challenges the Australia Property market will succumb to.
In spite of all of this, the property market has remained resilient. Despite all of these challenges, the market has stayed strong.

So let’s end on this: once the coronavirus passes and the challenges ebb away, how will the market perform free from any burdens?