Rapid population growth set to transform property market
In a week where Melbourne's population overtook Sydney's, housing market analyst Michael Matusik looks at the population trends that will shape property markets for years to come.
Australia is on track for net migration of more than 300,000 people this year. (Image source: Shutterstock.com)
Real estate is essentially about supply and demand. Demand comes in two forms – the number of people looking to buy an existing property and the underlying need to build more homes.
Population growth is a key factor when determining underlying demand.
In short, the higher the level of population growth the greater the need to build more homes. In general, each time an area’s population increases by about two people there is a need to build an…
