Australia’s property market began 2020 with strong momentum. Property prices had accelerated in the 10 months following the Coalition’s shock election victory in May 2019. This was led by Sydney and Melbourne whose values were rising at a double-digit annual pace.
Then came the global coronavirus pandemic, which stopped the property market and Australian economy in their tracks.
Borders were closed in March. Economic activity was shut down. Job losses ensued. It was the biggest shock since the Great Depression and we were highly pessimistic about the impact on Australia’s already expensive housing market, particularly in the migrant epicentres of Sydney and Melbourne.
