Residential real estate remains the cornerstone of Australia’s wealth, valued at approximately $11.1 trillion, overshadowing the stock market and superannuation funds, reports michaelwest.com.au.
However, investment performance showed a shift in 2024, with equities yielding 11.4% compared to properties’ 8.3%, prompting concerns about the appeal of real estate amid high interest rates and potential drops in home values.
In 2025, rental growth is expected to slow due to changes in migration patterns and household compositions, which could ease rental demand as the country aims to produce 1.2 million new homes by 2029.