
Shellabears Blog
The Market Signals I’m Watching
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There’s been a noticeable shift in the news and media narrative around the state of the economy. Higher inflation, strong employment figures and GDP growth coming in above expectations have tempered talk of further interest rate cuts. In fact, the rhetoric has swung quite sharply, ranging from an extended hold through 2026 to commentary around the possibility of multiple increases.
Coming from a background in economics, and as both a keen property investor and real estate agent, I keep a close eye on a wide range of data points, trends and market commentators. Layered over that is the real-time feedback I gather from buyers through my listings, and from sellers as they work through their own decision-making. That combination provides a level of current, local market insight that’s hard to replicate.
When it comes to selling property, there’s far more to it than simply marketing a home. Strategy, pricing and timing all matter, and a deep understanding of what’s happening beneath the surface helps give buyers confidence in their decisions, which in turn supports sellers in achieving their best outcomes.
Below is a snapshot of the key variables currently carrying the most weight in our market. I’ll be unpacking each of these in more detail over the coming months.
7 Things I’m Watching
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Interest Rates & Capital |
What’s happening RBA has changed its tune from a bias towards hiking from easing Why it matters Buyers getting lower principal amounts with reduced serviceability Market impact ⬇️ Downward pressure on prices |
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Population |
What’s happening Increasing Why it matters More people = more housing demand. Market impact ⬆️ Upward pressure on prices |
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Employment |
What’s happening National employment remains strong, with WA leading the charge. Why it matters Job security underpins buyer confidence. Market impact ⬆️ Upward pressure on prices |
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Building |
What’s happening Still below long term approvals and completion Why it matters Increased demand for established property Market impact ⬆️ Upward pressure on prices |
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Stock |
What’s happening Listing supply remains tight. Why it matters Owners are sitting and waiting for the right property Market impact 🔥 Intense competition for quality homes |
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Investment Properties |
What’s happening Investment lending has increased significantly. Why it matters Rental demand remains strong due to population growth. Market impact ⬆️ Upward pressure on prices, particularly for high-yield properties |
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Government – Intervening as always! |
What’s happening First Home Buyer Guarantee schemes continue, alongside state-led zoning reforms. Why it matters Substantial demand on sub $850,000 properties Possibly flooding the market with supply of development sites Market impact ⬆️ Powerful upward pressure on prices ⬇️ Possibly downward pressure on development values |
