What does this mean for property…For Sydney & Melbourne the pressure comes off .
Gor for Queensland for yeild in this low interest rate period
Analysis – Population 1.6m less than previously projected by 2030
- Australia’s population growth is expected to slow sharply over the next two years, primarily due to net migration given closed international borders. Population growth is expected to be 0.2% in 2020-21 and 0.4% in 2021-22 against its current 1.5% pace.
- Net migration is expected to fall from its usual 200k+ pace to subtracting from growth at -72k in 2020-21 and -22k in 2021-22. Importantly, this forecast dip in migration is temporary with the government forecasting a sharp rise in net migration to 201k by 2023-24. Australia’s high migration-driven population growth strategy remains intact.
- The implications of a sharp temporary fall in population growth are mixed and very geographically concentrated. Migrants have historically settled in Sydney and Melbourne, so other regional localities should be less affected.