Shellabears Blog
Interest Rates, Productivity & Tariffs
With interest rates easing, momentum is building across the property market. Buyers are regaining confidence, sellers are benefiting from stronger competition, and investors are seeing improved conditions for growth and yield. At the same time, national reform discussions on productivity and regulation signal a push for faster approvals and reduced red tape. And while global tariff debates add noise to equity markets, property remains the safe, reliable asset Australians continue to back.
Interest Rates Trending Down
Impact on Buyers
- Increased borrowing power
- Increased Buyer confidence
- Increased Demand
Impact on Sellers
- More Buyers in the market
- Increased competition from Buyers
- Decreased selling times
- Increased prices achieved
Impact on Investors
- Improved borrowing conditions
- Rental Demand growing
- Capital growth expectations and improved yields
Productivity
With the Economic Reform Roundtable in full swing, regulation, approvals and competition for improved outcomes for consumers is at the forefront of the agenda. Cutting regulation and superfluous Red Tape Faster approvals Lower administrative burden Faster turn around from concept to completion.
Tariffs
At this stage, the only impact on real estate is having some noise in the wider economy. Noise, uncertainty and volatility in the broader equity markets always bring people back to ‘safe harbour’ assets like property which you can touch and feel whilst also being paid a weekly dividend!
