Australia is experiencing a significant but temporary surge in migration, which has impacted housing values and rental trends across various regions. Eliza Owen, Head of Research at CoreLogic, highlights that the Australian Bureau of Statistics (ABS) recorded a 2.5% increase in the national population in the year leading up to September 2023, driven largely by both internal and overseas migration.
Top 10 Migration Hotspots and Housing Trends
Owen’s research reveals that the top migration hotspots primarily encompass regions in Sydney and Melbourne, including Rockbank-Mount Cottrell, Box Hill-Nelson, and Marsden Park-Shanes Park. Interestingly, internal migration accounted for the majority of the population growth in six out of the ten regions.
Rockbank-Mount Cottrell: Leading in total migration, this region added 3,662 people in FY23 due to ongoing development. Despite a 7.2% rent increase, housing values dipped by 4.9%.
Marsden Park-Shanes Park: This Sydney region saw over 3,500 new residents and moderate rent growth.
Carlton: Primarily benefiting from overseas migration, Carlton experienced an 18% rent hike but a 10.9% drop in property values.
The trends underscore how different regions attract migrants seeking lifestyle changes, family homes, or affordable rental options.
Migration Trends Across Other Capitals and Regional Areas
Chambers Flat-Logan Reserve (Brisbane): Rents grew 9.6%, while migration trends remain steady.
Alkimos-Eglinton (Perth): Saw balanced growth due to its attractive coastal lifestyle and affordability.
Munno Para West-Angle Vale (Adelaide): Stood out with a 10% rise in both rent and property values, largely due to internal migration.
In regional areas like Sunshine Coast and Gold Coast, hotspots such as Caloundra West-Baringa and Hope Island showcase how internal and overseas migration continues to shape rental markets.
Key Takeaways
Internal Migration: Fueled by people seeking more space and affordability, internal migration shapes population distribution but often doesn’t significantly impact home values due to a balanced supply.
Overseas Migration: Primarily affects rental markets, with recent arrivals mostly seeking rental properties.
The data suggests that supply and affordability remain critical factors influencing housing trends amid these shifting migration patterns. For more detailed analysis and housing market insights, subscribe to Golden Gates Realty’s newsletter to not miss out on any Brisbane real estate news.