The Property Trio (formerly The Property Planner, Buyer and Professor)

Got a question for the trio? https://forms.zohopublic.com/propertyplanningaustralia/form/GotaquestionforthePropertyTrio/formperma/zYCQAxzE_24CVlDafP1ozyzwtmB-8m1iCNtCTgDvHXM🎙️This week on The Property Trio, Cate and Dave field two great listener questions. Max, a young investor weighing his options for a second property asks: Should I buy now at 90% LVR and pay lenders mortgage insurance (LMI), or wait until I save for 80% LVR and a lower rate? 💡 Getting in soonerDave explains that buying at 90% LVR can bring a purchase forward by one to three years, giving valuable time for capital growth. While LMI and slightly higher interest rates add costs, these are often outweighed by early market entry—provided investors maintain cashflow buffers and commit to a long holding period.📉 Avoid the cheaper asset trapCate warns that buying a lower-quality property to get in sooner is risky. Compromises in location, dwelling type, or fundamentals can significantly underperform over time. Even small differences in annual growth rates can compound into major wealth gaps. 🎙️ Our second listener question is from from Peter, who’s weighing up what dwelling types to invest in Melbourne with a budget of $500k–$650K.  Peter also asks the Trio whether a new build in Perth could deliver stronger long-term returns.🏡 Peter shares that he’s been pitched house-and-land and townhouse packages by property investment groups, only to find they’re priced $50k–$100k higher than local builder offerings. This raises red flags for the Trio, who unpack how “introducers” and commission-driven sales can inflate prices and compromise buyers’ outcomes. Cate warns of the dangers of overpaying, the poor land-to-asset ratio of new builds, and the risk of investing in stock that lacks scarcity or uniqueness. 📉 Dave builds on this by explaining how oversupply in fringe estates puts capital growth under pressure. When developers keep releasing new stock, yesterday’s shiny home quickly becomes tomorrow’s dated dwelling. Together, the Trio emphasise that buying brand-new—whether in Melbourne or Perth—comes with hidden risks, from inflated valuations at settlement to lower demand from owner-occupiers down the track.The discussion then pivots to alternative strategies. Rather than chasing fringe house-and-land packages, Cate suggests exploring established units and boutique apartments in well-located Melbourne suburbs where buyers can tap into amenity, strong transport links, and genuine scarcity. Dave adds that regional cities may also present better value within Peter’s budget.  And our gold nuggets!.....  Cate Bakos's gold nugget: Buyers need to understand and apply land-to-asset ratio to every purchase.David Johnston's gold nugget: "I would prefer people get into the market sooner rather than later if they have an appropriate budget, especially given the market we're in with rates falling, the deposit scheme just increasing, prices rising already. And as I touched on, I expect prices to rise at a faster rate in 2026." Shownotes: https://www.propertytrio.com.au/2025/09/22/listener-questions-september/

Got a question for the trio? https://forms.zohopublic.com/propertyplanningaustralia/form/GotaquestionforthePropertyTrio/formperma/zYCQAxzE_24CVlDafP1ozyzwtmB-8m1iCNtCTgDvHXMIn this latest market update episode, the Trio unpack the findings in the August data, and they reflect on the cash rate cut and how 2025's third cash rate cut has impacted the early spring market.🏡 The Property Trio: Market Movers, Segmentation & City Standouts  It's interesting to see the perennial performers of 2023 and 2024—Brisbane, Adelaide and Perth are still delivering. Brisbane’s 1.2% monthly growth even pipped Darwin's (1.1%), while Perth clocked 1.1% and Adelaide added 0.9%. Darwin continues to lead the nation on an annualised basis, but the Trio ask: how much longer can these hot markets run? Cate weighs in on Melbourne, where official growth numbers appear soft compared with the strong buyer competition she’s experiencing on the ground. She attributes this to segmentation, noting that upgraders—often emotionally driven and recently boosted by interest rate cuts—are pushing the middle of the market hardest. Mike backs this up with data: the 50th percentile is outperforming both the bottom and top quartiles.The Trio also highlight that national growth is broadly positive, with every capital except Hobart showing gains over the last three months. Melbourne may be lagging on paper, but it’s just 3% shy of its 2022 peak—a sign of resilience and potential upside. Dave contrasts quartile data across cities, noting that in Brisbane, Adelaide and Perth, the lowest quartile is leading, suggesting investors and latecomers may be driving the final leg of this cycle. 🏡 The Property Trio: Spring Stock, Footy Fever & Market Sentiment  Spring has arrived, but for property watchers, it doesn’t quite feel like the floodgates have opened yet. Cate reminds listeners that we’re only in early September—and for Melbourne, (and much of Victoria), the property market doesn’t hit full stride until after the AFL season finishes. In a city where everything stops for footy, October is traditionally when listing volumes surge.📈 Agents are reporting stronger appraisal activity and plenty of auction dates locked in, but stock levels remain tight. 🤔 This supply/demand imbalance creates a tricky chicken-and-egg scenario. Vendors don’t want to list until they’ve secured their next home, but in a rising market, especially with rare or fussy briefs, hesitation can stall the cycle. Dave and Mike weigh in on the balancing act sellers face between locking in strong results and avoiding homelessness.  📊 Mike brings the data lens to national listings. Darwin and Brisbane are showing sharp annual contractions in stock, aligning with their recent strong performances. Meanwhile, Melbourne and Hobart are down year-on-year, possibly reflecting weaker sentiment and more cautious vendors. Dave stresses the importance of comparing numbers to five-year averages, reminding listeners that spring always swells supply, but buyer demand doesn’t fluctuate nearly as much. 🌏 The Trio then tackle a puzzling consumer sentiment report: despite an interest rate cut sparking buyer activity on the ground, confidence in the economy has dropped. Global conflict and local unrest may be weighing on Australians’ psyche, even while house price expectations remain firm.  This lively episode blends property insights with cultural context, giving listeners a glimpse of spring 2025’s early signs, the quirks of timing around footy season, and the broader forces shaping confidence in our markets.Shownotes: https://www.propertytrio.com.au/2025/09/15/ep-327-august-2025-market-update/

Got a question for the trio? https://forms.zohopublic.com/propertyplanningaustralia/form/GotaquestionforthePropertyTrio/formperma/zYCQAxzE_24CVlDafP1ozyzwtmB-8m1iCNtCTgDvHXM🎙️ In this episode of The Property Trio, Dave Johnston, Cate Bakos, and Mike Mortlock unpack a fantastic listener question from Jade about granny flats in Melbourne. With her mum considering upsizing and building a $250,000 granny flat for multi-generational living, Jade wanted to know: is it a smart value-add or just an expensive lifestyle decision?🏡 Cate’s Take – Lifestyle Over Capital GrowthCate kicks off by stressing the key distinction between lifestyle value and market value. Granny flats can be brilliant for families — providing affordable housing for parents, in-laws, or adult kids — but they rarely deliver strong capital growth. Most mainstream buyers in Melbourne simply prefer a bigger backyard over a second dwelling, and in some cases, granny flats can even detract from resale appeal. Cate highlights that the decision must come down to family priorities rather than assumptions about adding financial value.💰 Mike’s Numbers – Costs, Yields & DepreciationMike digs into the data. While Sydney has seen investors boost yields with granny flats, Melbourne’s stricter planning rules make it harder. With build costs often ranging from $150,000 to $300,000, the risk of overcapitalisation is real. For family use, there’s no rental income to offset expenses, and lenders generally don’t assign much extra value to granny flats unless fully approved and rentable. There can be depreciation benefits, but only if income is being generated. ⚖️ Regulations – Small Second Homes vs Dependent Person’s UnitsA major theme of the discussion is Victoria’s new planning changes. Cate explains the difference between “Small Second Homes” (up to 60m², rentable, no planning permit needed in most cases) and “Dependent Person’s Units” (for family use only, often requiring removal when no longer occupied). Understanding these distinctions is vital — the wrong choice could trigger compliance headaches, fines, or even council orders.👨‍👩‍👦 The Verdict – Family First, Investment SecondThe Trio wrap up with clear advice: granny flats can be fantastic for family needs — affordable, practical, and supportive of multi-generational living. But from an investment perspective, they’re rarely a capital growth driver in Melbourne. For Jade, the decision should hinge on lifestyle benefits, not financial returns.And our gold nuggets!.....  Cate Bakos's gold nugget: The mainstream market preferences must be considered when weighing up overcapitalisation threats.Mike Mortlock's gold nugget: Mike considers the cost-benefit proposition of a granny flat build. His live modelling suggests a payback period of 16 years; a significant amount of time.David Johnston's gold nugget: "Go and talk to anyone you know who has built a granny flat, and find out mroe about their experience, return on investment, and their overall outcome." Show notes: https://www.propertytrio.com.au/2025/09/07/granny-flats/

Got a question for the trio? https://forms.zohopublic.com/propertyplanningaustralia/form/GotaquestionforthePropertyTrio/formperma/zYCQAxzE_24CVlDafP1ozyzwtmB-8m1iCNtCTgDvHXM🎙️ In this eye-opening episode, Dave, Cate and Mike dig into brand-new research on housing affordability from MCG Quantity Surveyors. But instead of looking at mortgage repayments, this report flips the focus to deposits — an obvious entry hurdle for buyers. What they uncover is staggering: the time it takes to save a 20% deposit has tripled or even quadrupled since the 1970s. However, the Trio also delve into the deposit size and question whether 20% is all that applicable in today's day and age.📊 Mike explains why deposits matter more than repayments in understanding affordability. Back in 1975, saving a 20% deposit took around six months of income. Today, it takes two years or more — before repayments even begin. Prices have risen 30–40× since the mid-70s, while wages have only grown 10×. The gap is where affordability has collapsed, and it’s clearly visible across every Australian capital city.🏡 Cate takes us through the hard numbers: Sydney’s deposit multiple has jumped from 29 weeks of income in 1975 to 121 weeks today. Melbourne has moved from 32 to 97, Brisbane from 28 to 104, and Adelaide from 35 to 114. Even Hobart, once the most affordable, has shifted from 40 to 93. These figures make one thing clear — buying into the market now requires a far longer savings journey, even at a reduced deposit size.💰 Cate shares a Sydney case study. In 1975, a family needed just $6,860 for a 20% deposit — achievable in seven months. Fast forward to 2025, and the required deposit has blown out to $282,000. At today’s incomes, that’s more than two years of full earnings. Factoring in tax, rent and everyday living costs, translates to a decade or more of disciplined saving.📉 Brisbane paints a similar picture. Back in 1975, buyers could scrape together a deposit in six months. Today, despite lower house prices compared to Sydney, Brisbane buyers still face a two-year deposit hurdle. With house prices in Brisbane and Adelaide surging 70% since COVID, affordability in these “cheaper” markets has eroded just as sharply.🏦 The Trio also break down the role of government schemes — from first-home buyer grants to stamp duty concessions. While these policies help individuals in the short term, they’re stimulatory, adding buying power but pushing prices up. The result? Affordability worsens for those left out of the schemes, and the saving treadmill just speeds up. Yet Dave and Cate shed light on some of the advantages and initiatives on offer for today's first home buyers. Is the 20% hurdle a fair one to contrast to the old days?🚦Dave reminds listeners that the affordability gulf isn’t about monthly repayments — it’s about the growing difficulty of getting through the deposit door. But he also promises to share a counter episode on deposits! Stay tuned...And our gold nuggets!..... Cate Bakos's gold nugget: Cate explains the difference between the deposit and the servicing. Both are very important, but mutually exclusive.David Johnston's gold nugget: Dave has some great suggestions for our first homebuyer listeners, from planning, to assessing their needs, to starting with a smaller property as a stepping stone. "You need to be pragmatic, because the earlier you get into the property market, the better."Mike Mortlock's gold nugget: Mike conducts this research because he loves to start a conversation. He also mentions some statistics that Alan Kohler shared on the ABC (see notes in our shownotes).Shownotes: https://www.propertytrio.com.au/2025/09/01/clearing-the-deposit-hurdle/

Got a question for the trio? https://forms.zohopublic.com/propertyplanningaustralia/form/GotaquestionforthePropertyTrio/formperma/zYCQAxzE_24CVlDafP1ozyzwtmB-8m1iCNtCTgDvHXM🎙️ Should I Build or Hold? A Listener’s Dilemma with a Vacant Block in Tasmania In this week’s episode of The Property Trio, we tackle a thoughtful listener question from Lauren, who finds herself at a crossroads with her property journey. Living in inner-Geelong and loving the lifestyle, Lauren is currently priced out of the local housing market for her own home. But with a block of land she purchased in Tasmania back in 2022, she’s weighing up whether to build an investment property on the land, or take a different approach to reach her financial and property goals.🏡 Lauren’s SituationLauren bought her block of land for $180,000 (with $150,000 still owing), and she’s been told by local agents that demand for built homes in the area is strong. With building costs estimated at $330,000 and potential rental returns of $550–$595 per week, the numbers initially sound promising. On a healthy income of $100,000, paying just $1,000 in rent for her share house, Lauren has managed to save a 5% deposit. Adding to the opportunity, her sister has offered to go guarantor for the remaining 15%—a generous offer that could help her avoid costly lenders’ mortgage insurance.💡 The QuestionsBut Lauren has some big considerations:Is sitting on vacant land in a market with oversupply a sound move, or is it better to build?How should she assess the Tasmanian growth drivers, and are there risks she hasn’t yet considered?What does the land-to-asset ratio tell us about this strategy?How could she think about a close family member's offer of guarantor, and what safeguards should they both put in place?Most importantly, how will taking on this investment impact her ability to borrow for her own future home? Will the rental income and equity help her, or will lenders view the added debt as a hurdle?📈 The Trio Weigh InCate, Dave, and Mike unpack the intricacies of Lauren’s situation, looking at the opportunity through the lenses of lifestyle, risk, and financial strategy. Dave's team have modelled some borrowing capacity details to assist the Trio when weighing up the possibilities for Lauren's scenario; Borrowing capacity for home purchase: Current position: Existing $150,000 loan (for land) and $6,000 Credit card = borrowing capacity of $316,000 for home purchaseClosing the credit card: Existing $150,000 loan (for land) = borrowing capacity of $345,000 for home purchaseProceeding with the construction and closes the credit card: Existing loan increased to $478,000 (land and construction) = borrowing capacity of $240,000 for home purchaseSelling the land and closes credit card: borrowing capacity of $492,000 for home purchaseLauren has a HECS balance of $50,000 with approx. monthly repayments of $472 that is also dampening the borrowing capacity. Dave goes into some great detail on lending policy constraints and enablers with regards to the impact of HECS. The scenario modelled suggests a further borrowing capacity lift to $558,000 could be possible, and he also shares the impact of further rate cuts too. How do the potential solutions pan out? Tune in to find out...From forward planning to assessing milestones, and from understanding bank servicing calculations to weighing the risks of construction in a shifting market, the Trio leave no stone unturned.  And our gold nuggets!.....  Cate Bakos's gold nugget: It's important to ask yourself the question, "what's the end goal?"David Johnston's gold nugget: Getting good strategic mortgage broking advice can make the difference between sitting in limbo, and making an educated decision with the options on hand. Mike Mortlock's gold nugget: Mike talks about the importance of having experts who are able to help guide clients through journeys such as this. "There is so much to it. It's not really a zero/one binary situation."Shownotes: https://www.propertytrio.com.au/2025/08/25/unpacking-investor-challenges/

Got a question for the trio? https://forms.zohopublic.com/propertyplanningaustralia/form/GotaquestionforthePropertyTrio/formperma/zYCQAxzE_24CVlDafP1ozyzwtmB-8m1iCNtCTgDvHXMIn this latest market update episode, the Trio unpack the findings in the July data, and they reflect on the recent cash rate cut and what this could mean for the market.🏡 Capital City HighlightsDarwin leads the chase by a very large margin and Mike touches on the chances of double-digit growth for 2025. Cate notes that every capital is sitting in positive growth territory for the past month, and while Darwin is galloping, Perth's 0.9% increase in one month is impressive too. Could Darwin's median value eclipse that of Hobart's? The Trio ponder the growth and pay credit to William, a lovely listener who tempted the Trio to create an episode on Darwin at the beginning of the year.📈 What is happening with rents?Is affordability biting, and behaviours changing in response to this? Mike suggests some possible reasons why the pace of rental growth is slowing down. Factoring in share housing, increasing household formation rates, re-partnering of couples following COVID, and a slowdown in skilled migration have all contributed to a slow down in rental growth. 💰 Rental Yields & Investor Trends Gross rental yields tell an interesting story for some of our cities. Brisbane's rental yield has shown a subtle shift downwards. Recently on par with Melbourne and Adelaide for some time, the slight reduction signals the fact that the rental growth hasn't kept up with the capital growth. Hobart's tight stock supply has the Trio talking. A city of over a quarter of a million people only has 335 available dwellings; surely a challenging imbalance, and one that explains the tight vacancy rate.📉 Listings Drop, Pressure BuildsTotal listing numbers are down when contrasted against the same time last year, but not all cities are exhibiting tighter stock numbers. Cate reflects on the Old Listings data and draws on the annual change for Darwin in particular. What does this indicate about investor behaviour, and does it signal a risk for investors who aren't selecting carefully?📊 The RBA Rate DecisionThe Trio chat about Governor Michelle Bullock's speech about the recent rate cut. Cate was surprised at our Reserve Board Governor's openness about further rate cuts. When contrasted against her previous board meeting speeches, her willingness to boldly discuss more cash rate cuts was stark. Productivity continues to remain a key concern, and in the face of reasonably strong employment figures and lower inflation levels, it seems the RBA have more challenges to keep an eye on. Lastly, Dave wraps up with a great overview of productivity and what it means for our nation.  Shownotes: https://www.propertytrio.com.au/2025/08/18/ep-323-july-2025-market-update/

Got a question for the trio? https://forms.zohopublic.com/propertyplanningaustralia/form/GotaquestionforthePropertyTrio/formperma/zYCQAxzE_24CVlDafP1ozyzwtmB-8m1iCNtCTgDvHXM🎙In this episode, Dave is joined by Cate and Mike to tackle two common traps for investors: over-reliance on suburb-level data and the temptation of “bargains” in the bottom quartile of property prices.💸 Cate kicks things off by sharing her concerns about investors—especially first-timers—being seduced by cheap properties promoted in suburb data reports. Many of these are in low socio-economic areas or regions with limited long-term growth potential. While high rental yields might appear attractive, these properties often lack the owner-occupier appeal that drives sustained capital growth. Cate warns that when investors flock to a small area, values can spike briefly before stagnating, sometimes leaving the last buyers in trouble.  📊 Mike reinforces this by breaking down the pitfalls of suburb medians. While they’re easily accessible, they can be dangerously misleading without context. Instead, Mike suggests filtering data by dwelling type, looking at sales dispersion, DOM (days on market), vendor discounting, and percentage of stock on market for a clearer sense of supply and demand.  🗺 Cate stresses that suburbs are not homogenous—each street, pocket, and dwelling can vary widely. She’s seen investors buy sight-unseen in so-called “hot suburbs” only to end up with properties in undesirable streets or with hidden zoning issues. True due diligence goes beyond numbers to include lifestyle appeal, orientation, and neighbourhood quality. Dave reinforces a key point: just because a property sits within a “good” suburb doesn’t mean it’s a good purchase.🏖 The conversation shifts to Kent’s “Four Pillars” research—a balanced lifestyle scorecard that equally weights proximity to beach, nature, urban amenities, and family infrastructure. Mike explains how areas scoring well across all four pillars, such as parts of Warringah, Townsville, and Perth, show strong long-term fundamentals. Cate notes that lifestyle appeal often underpins resilience and growth over decades, not just during a boom cycle.  🚩 As the trio wraps up, Cate’s biggest red flag is ultra-tight days on market compared with neighbouring suburbs—a sign that investor FOMO, (fear of missing out) may be inflating prices. Mike’s warning is to focus on supply constraints, like zoning or heritage overlays, which can underpin long-term capital growth.  Dave wraps up the episode and encourages investors not to be fooled by cheap price tags or simplified stats. They should treat data as a conversation starter, not a final verdict, and prioritise properties that appeal to a broad base of owner-occupiers. Long-term fundamentals, lifestyle drivers, and thorough due diligence win every time.And our gold nuggets!.....  Cate Bakos's gold nugget: Delve further if you are engaging a Buyers Agent who is reliant on this suburb data. Cate shares some good questions for consumers to ask.David Johnston's gold nugget: Dave delves into the psychology of property. What is it that makes people gravitate to particular suburbs and specific properties? "Whatever points someone might be making to you with a sea of data, the underlying principle is this: How many people in Australia would like to live in that property, in that street, in that location? That's going to drive up your rent and your value over the next ten, twenty, thirty years." Mike Mortlock's gold nugget: Mike talks about the necessity of understanding the growth drivers, (and specifically the owner-occupier appeal) of the investment purchase. Shownotes:  https://www.propertytrio.com.au/2025/08/11/expert-tips-for-interpreting-data/

Got a question for the trio? https://forms.zohopublic.com/propertyplanningaustralia/form/GotaquestionforthePropertyTrio/formperma/zYCQAxzE_24CVlDafP1ozyzwtmB-8m1iCNtCTgDvHXM🎙️ In this data-rich episode of The Property Trio, Cate and Mike dive deep into the just-released 2022–23 ATO Tax Stats. From personal income and superannuation to rental property outcomes and tax quirks, this episode sheds light on who’s winning — and who’s hurting — in Australia’s current economic environment. Cate and Mike have broken down this episode into five parts. We hope you enjoy!💰 Part 1: The Income Illusion The average taxable income is now $74,240 — but the median is only $55,868. That $18K gap shows how averages mask the reality for most Aussies. Cate explains how this affects outcomes and affordability, while Mike highlights the gender gap: Men earn $24k more than women on average.📉 Superannuation stats also expose a gender wealth divide:Median male super: $68,568Median female super: $54,349.  It's not just about pay — it's about lost compounding interest benefits, care duties, and time out of the workforce.🏘️ Part 2: Who’s Actually Investing? 2.26 million Australians own rental property — but 72% of property investors own just one property.Only 0.85% of all property investors own six or more investment properties.🧮 And many are feeling the pinch:Nearly half of all investors (49.4%) recorded a net rental loss in 2022–23 — up from 41.9%. The pain is concentrated among small-scale investors. Over 120,000 individuals slipped from profit to loss in just one year.🧾 Part 3: Systemic Gaps and Hidden Structures The tax system favours those with higher incomes and good advice:A $10k loss is far more valuable to someone earning $180k than $70k0.2% of individuals claimed 46% of capital gainsMany low-income investors don’t even claim depreciation🚺 Women miss out disproportionately due to lower incomes, fewer property holdings, and reduced access to professional financial advice.🧠 Part 4: Industry Takeaways Cate encourages buyers to educate themselves beyond property features. The property metrics are vital to success. From tax offsets, to depreciation, and ownership structures, there is more to property investing than just physical attributes. 📈 Mike reminds investors that they don’t need ten properties — just a well-structured one. Understanding your tax position and planning your post-tax cash flow is key.🔍 Part 5: What the Data RevealsMedian income is up slightly, but tax paid is up 16.6%Small investors are under stressGender inequality remains starkTax rules reward those already ahead📊 This is essential listening for investors, advisors, and anyone who wants to understand the real financial picture behind the headlines.Shownotes:  https://www.propertytrio.com.au/2025/08/04/latest-ato-stats-revealed/

Got a question for the trio? https://forms. .com/propertyplanningaustralia/form/GotaquestionforthePropertyTrio/formperma/zYCQAxzE_24CVlDafP1ozyzwtmB-8m1iCNtCTgDvHXM🎙️ In this episode of the Property Trio, we tackle a fantastic listener question from James — and it sparks a really rich conversation about life stages, investment timing, and how to juggle both effectively.James and his fiancée are in their late 20s to early 30s. They’ve done well already: they bought their long-term home in Keysborough about 18 months ago for $950,000, using a 10% deposit. They’ve got around $820,000 owing on the loan, and they’re earning a strong combined income of between $230,000 and $250,000 a year. So far, so good. But here’s the question: with a wedding on the way, a honeymoon planned, and hopes to have two children in the next five years — should they consider investing before all of that, or wait until life settles a little and they're back to two incomes? It’s a great question, and the kind that gets to the heart of balancing personal milestones with long-term wealth-building.Cate introduces the idea of “runway” — if you’ve got a couple of decades or more ahead of you in the workforce, the earlier you start investing, the more time your asset has to grow. But that only works if you’re not financially, (or emotionally) stretched too thin in the short term. Developing your plan and considering the numners is key.Mike highlights that James and his partner clearly have good financial habits — they’ve already shown discipline in saving, and they’re asking all the right questions. That’s a huge asset. He also points out that whether they go ahead now or wait a few years, they’re well ahead of the curve compared to most people their age.The conversation also dives into how best to fund a future investment — should they use savings in their offset account, or aim to release equity? Dave breaks down why borrowing against your home, if possible, is often more tax-efficient than dipping into savings — but also flags the reality that they may not yet have enough equity to make that work without incurring LMI again.There’s no one-size-fits-all answer here, and that’s part of what makes this episode so valuable. The trio all agree: if the numbers stack up and the couple feels comfortable with the risk, then investing sooner is ideal. But if they need a few years to tick off life events and build equity or buffers, that’s an important path too. From cheap registry office weddings to fancy winery blowouts, the Trio are candid with their ideas and forthcoming with some great options for our listeners to consider.And our gold nuggets!..... Cate Bakos's gold nugget: While they are young, with one property in the portfolio, now is a great time to consider investing in a property plan.Dave Johnston's gold nugget: James and his fiancee are really good with their money! Dave encourages them to keep up that habit. Good money management habits will set them up for success.Mike Mortlock's gold nugget: Knowing the numbers is the key to making the decision. Without the visibility, the decision is much harder to make.Shownotes: https://www.propertytrio.com.au/2025/07/28/balancing-family-dreams-and-property-investment/

Got a question for the trio? https://forms.zohopublic.com/propertyplanningaustralia/form/GotaquestionforthePropertyTrio/formperma/zYCQAxzE_24CVlDafP1ozyzwtmB-8m1iCNtCTgDvHXMIn this latest market update episode, Mike and Cate go duo as Dave hits the road with his family. Despite Dave's absence, the June market update is packed with insights and trends, although we do miss the lending data from Dave in this ep.🏡 Capital City HighlightsThe national market edged up in June, with every capital city posting gains except Hobart (down 0.2%). Darwin led the charge with a 1.5% monthly gain across dwellings, and houses jumped 1.8%, pointing to renewed investor interest. However, only 31% of Darwin’s suburbs are at their peak – suggesting targeted activity in a few suburbs rather than widespread growth.📈 Unit Surge or Blip?Cate and Mike unpack a surprise in the data – units outperformed houses in Brisbane, the Gold Coast, and Adelaide. Is this a turning point for apartments, or just a one-month spike? Cate shares boots-on-the-ground experience from Melbourne, where yields over 5% are tempting investors back into the unit market. Affordability, lifestyle trade-offs, and post-COVID sentiment shifts are driving demand. Another key find is the stratification of sales prices in the various capital cities. This month, Canberra defies the 'norm' and exhibits stronger growth in the highest price quartile. What is going on in our nation's capital? Tune in to find out.  💰 Rental Yields & Investor TrendsRental growth has steadied nationally, with gross yields at 3.7%. Darwin is the standout with 6.5% yields and regional NT pushing a massive 7.7%. Cate suggests investors may be pushing up rents post-renovation or after long-standing leases end. Meanwhile, Melbourne’s rental growth remains sluggish at just 1.2% annually – possibly a story more about the past exodus of investors than current conditions.📉 Listings Drop, Pressure BuildsNew listings are down 11.7% compared to last year, with Hobart and Darwin seeing declines over 30%. Cate explains why tight listings don’t always mean easy buying – buyer fear of missing out leads to irrational behaviour, and competition ramps up even when the market feels slow. She also highlights the buyer activity driving Melbourne’s numbers, even if it’s not yet obvious in CoreLogic’s top-line data.📊 Segmented Market ActionThe trio (duo) dive into price segmentation and why it matters. Melbourne’s heat is coming from the $600k–$800k range, particularly in suburbs like Frankston, Werribee, and Sunbury. It’s a case of high activity in lower-price markets dragging down median figures – which might explain why data lags what buyer advocates see on the ground.Another key find in the stratification of sales prices in the various capital cities relates to Canberra. This month, Canberra defies the 'norm' and exhibits stronger growth in the highest price quartile. What is going on in our nation's capital? Tune in to find out.🌏 Big Picture ForcesThey wrap up with macro themes: inflation, global uncertainty, interest rates, and shifting sentiment. The RBA’s rate pause caught many off guard, impacting buyer confidence. But with bond markets still pricing in cuts and global instability nudging investors toward bricks and mortar, the property market remains in motion.Lastly, Cate and Mike marvel at Darwin's growth, however they chat about the surprising percentage of suburbs within the star-capital that are yet to reach their peak for capital growth. They try to uncover what this surprising set of statistics could actually be telling us. Shownotes: https://www.propertytrio.com.au/?p=1735

Got a question for the trio? https://forms.zohopublic.com/propertyplanningaustralia/form/GotaquestionforthePropertyTrio/formperma/zYCQAxzE_24CVlDafP1ozyzwtmB-8m1iCNtCTgDvHXM🎙️ In today’s deep dive, Cate, Dave, and Mike tackle one of the most hotly debated and widely misunderstood concepts in Australian property investing: negative gearing.💡 What is Negative Gearing?Cate kicks things off by asking Dave to explain negative gearing in plain English. Dave defines it as a situation where the rental income from a property is less than the expenses to hold it—meaning you’re running at a loss. This loss, however, can be claimed as a deduction against your taxable income, reducing your annual tax bill. Dave breaks it down with an example that shows how an investor on a $150,000 salary could claim a $10,000 property loss and receive a $3,700 tax refund.🧾 What Expenses Are Deductible?Cate turns to Mike for a breakdown of what costs are deductible. From loan interest and council rates to insurance, advertising, and repairs, Mike lays out the most common deductions. He also covers longer-term deductions like capital works and depreciation, explaining how investors can claim on both building structure and assets like appliances. Borrowing costs are also covered, which can be claimed over five years.📉 Is This Just a Property Loophole?Cate challenges the idea that property investors are uniquely advantaged. Dave clarifies that negative gearing applies across asset classes, including shares and businesses. Far from being a loophole for the mega-rich, data from the ATO shows that most property investors are regular Australians—with 71% owning just one property. Cate and Dave stress that negative gearing supports the private rental market, filling a gap that government housing can’t meet.📈 Why Lose Money?Why would anyone invest in something that loses money? Mike explains that negative gearing is often a long-term strategy, with investors betting on future capital and rental growth. Over time, rents rise and loans reduce, leading to positive cash flow. Dave notes that this typically takes 5–10 years and depends on factors like yield, interest rates, and location.🚫 Common Mistakes & MisconceptionsDave warns against chasing tax deductions without regard for asset quality. Properties promoted as "cheap to hold" often underperform in the long term. Mike cautions against buying from spruikers and highlights the risk of investing in areas with high yields but poor growth prospects. ⚖️ Positive vs. Negative GearingWhile positive gearing sounds appealing, Dave and Mike explain that it’s not always feasible—especially in today’s market with rising interest rates and low rental yields. Cate highlights that high-yielding properties are often found in low-growth areas, which may not be the best choice for building wealth.ity — offering practical insights to reduce friction and risk in the finance process.....and our gold nuggets!Mike Mortlock's gold nugget: Mike considers the benefit of cashflow versus capital growth, and highlights that the best investors are the ones who are focused on long term capital growth. David Johnston's gold nugget: Investing requires long term thinking and investors are encouraged not to chase shortcuts. Understanding how the numbers change over time and utilising negative gearing as a tool is critical. But tax deductions are a benefit, not a reason to invest. Cate Bakos's gold nugget: A high land to asset ratio can go hand in hand with great capital growth. High tax depreciation opposes land to asset ratio though. There is a correlation! Show notes: https://www.propertytrio.com.au/2025/07/14/negative-gearing-is-it-worth-it/

Got a question for the trio? https://forms.zohopublic.com/propertyplanningaustralia/form/GotaquestionforthePropertyTrio/formperma/zYCQAxzE_24CVlDafP1ozyzwtmB-8m1iCNtCTgDvHXM🎙️ In this episode, Dave is host, exploring two hot regional markets following listener questions from Daniel and Liam. Daniel asked for a deep dive into Geelong after enjoying the recent Ballarat episode, while Liam wanted insights into the Bellarine Peninsula’s property prospects.🏙️ Geelong: Victoria’s Thriving Regional Hub  Cate kicks off with a snapshot of Geelong, Victoria’s second-largest city, just 75 km from Melbourne. With a population nearing 300,000, Geelong has evolved from its industrial roots into a vibrant city known for its waterfront, heritage buildings, and arts scene. Geelong’s economy has endured some tough moments, such as the Pyramid Building Society collapse and Ford’s plant closure. However, as Cate explains, the city quickly rebounded. The closure of Ford in 2016 barely dented property values, with strong growth following, particularly during COVID.📈 Growth, Migration & Infrastructure  Geelong has become a top destination for internal migration, surpassing Queensland’s Sunshine Coast according to the Regional Movers Index. The city’s population has surged, fuelled by affordability, lifestyle appeal, and job opportunities in healthcare, education, tourism, and manufacturing. Cate and Mike highlight that improved infrastructure—including freeway upgrades and better rail services—has made commuting to Melbourne far more viable. Cate also draws comparisons with Sydney’s satellite cities, noting that Geelong offers a shorter and more manageable commute than many of Sydney’s outer regions.💡 Economic Strength & Future Vision  Geelong’s future looks bright, with a major CBD revitalisation plan aiming to create 60,000 new jobs and boost walkability and urban living. Tourism investment through the Geelong City Deal ensures continued visitor appeal and economic diversity.🌊 Bellarine Peninsula: Coastal Living with Considerations  Turning to the Bellarine Peninsula, Cate shares insights on its stunning beaches, wineries, and growing popularity among holidaymakers and sea-changers. Key towns like Barwon Heads, Ocean Grove, and Point Lonsdale are among the most affluent. However, the team also highlights the risks tied to holiday hotspots: market volatility, land tax, and the challenges of owning a holiday home. They caution investors to carefully weigh lifestyle appeal against economic risks and longer-term practicality. This episode delivers valuable insights for anyone considering Geelong or the Bellarine Peninsula for investment or lifestyle moves!... and our gold nuggets!Cate Bakos's gold nugget: It pays to consider the population sizes of our cities, and to not overlook the regions. We have a lot of large regions in our nation and we need to run the ruler over all of our big cities. Household income growth, job growth and capital growth go hand in hand. And Cate promises to take Mike to Geelong!Mike Mortlock's gold nugget: Mike touches on "second wind" cities and some of the interesting reports out there featuring Geelong. He also touches on the importance of understanding the city's population count. "If you can get Ethiopian take-away, the city is big enough!" David Johnston's gold nugget: The strategic relocation of the major government agencies has been a crucial part of Geelong's thriving professional eco-system. Show notes: https://www.propertytrio.com.au/2025/07/07/geelong-and-the-bellarine/

Got a question for the trio? https://forms.zohopublic.com/propertyplanningaustralia/form/GotaquestionforthePropertyTrio/formperma/zYCQAxzE_24CVlDafP1ozyzwtmB-8m1iCNtCTgDvHXM🎙️ In today’s episode, Mike explores a meaty question that’s been making waves across dinner tables and developer boardrooms alike: Is the Australian property cycle still a thing, or are we living in a new paradigm? The episode is broken up into three segments this week, and the Trio delve into each.🌀 Segment 1: The Property Cycle – Useful or Outdated? Dave kicks things off by exploring the traditional four-phase cycle: boom, downturn, stabilisation, and recovery. It’s a model many investors have leaned on for decades. Cate shares how this cycle once helped explain the natural ebb and flow of the market — but points out that localised dynamics are now often out of sync with national movements. Mike weighs in with the data. He notes a marked shift in consistency across the capital cities. We’ve moved from a relatively harmonious pattern of growth and contraction to fragmented, often contradictory, trends playing out at hyper-local levels. The “every 7 years your property doubles” mantra? According to Mike, that’s no longer the norm — and the numbers tell a different story.📉 Segment 2: What's Changed and Why It Matters The Trio then dig into the RBA’s aggressive rate hike cycle — 425 basis points in just 18 months — and the way the market shrugged off textbook expectations. Mike explains that, despite falling borrowing capacity and rising stress, prices bounced back in early 2023 and continued climbing even while rates were still rising. Cate highlights the on-the-ground reality: while buyers paused briefly, vendors didn’t flood the market. Even as fixed-rate cliffs approached, homeowners largely tightened their belts rather than selling. That’s kept supply tight and propped up prices, even in a high-rate environment. As Mike points out, the doubling periods across the capitals are stretching well past 13–17 years, with Hobart being the only exception.📆 Segment 3: Is the 18.6-Year Cycle the New Crystal Ball? Dave then broaches a long-debated theory — the 18.6-year property cycle. Mike breaks down the five key phases and explains how some analysts believe we’re now in the late-stage “Winner’s Curse” phase, if we take the GFC as the last correction point. Cate agrees there are recognisable patterns but cautions against relying too heavily on any singular model. With policy shifts, immigration swings, pandemics, and planning rules all in the mix, the market rarely sticks to a script.And our gold nuggets!....Cate Bakos's gold nugget: Cate references the rule of 72, but she also reminds listeners that 'property doubling every ten years' is not a good rule of thumb.Mike Mortlock's gold nugget: After a discussion with Pete Koulizos was memorable for Mike. "Time in the market, as opposed to timing the market" is important for investors to consider.David Johnston's gold nugget: Dave smiles as he references "The Hitchhiker's Guide to the Galaxy" and the magic number, 42. It's a parallel for those who look for guidance with a basic, generalised growth rate. "If life was that simple, everyone would be doing it." Shownotes: https://www.propertytrio.com.au/2025/06/30/the-property-cycle/

Got a question for the trio? https://forms.zohopublic.com/propertyplanningaustralia/form/GotaquestionforthePropertyTrio/formperma/zYCQAxzE_24CVlDafP1ozyzwtmB-8m1iCNtCTgDvHXM🎙️ In today’s episode, the Trio dive in to a relatable listener question from Josephine, who’s navigating the next big step in her property journey with her partner. With a growing family and high school on the horizon for their son, Josephine is asking the question — should they stretch and buy a small two-bedroom unit in a coveted school zone now, or wait and hope to afford something bigger later? 🏠🎓 Josephine and her partner already own a freestanding 3-bedroom, 2-bathroom house, but it’s not in the ideal school catchments they’re now targeting. Their borrowing capacity maxes out at around $650,000 — a budget that’s making it hard to secure the kind of property they want in either of the Secondary school zones they have earmarked in Melbourne. 🤯 👩‍💼 Cate kicks off the discussion with an honest assessment: $650,000 is a tight stretch for a two-bedroom unit in these high-demand areas. Explaining the the pressure buyers face when chasing school zones and the compromises required, Cate covers a common dilemma.🧠 Dave then lays out four clear options for Josephine and her family:Compromise and buy an apartment in the school zone now.Sell their current home and upgrade to a family home in the school catchment.Wait it out, grow their incomes, and buy bigger in a few years.Ignore school zones for now, and invest where the budget stretches further.🎯 Dave shares which of these options he believes offers the strongest long-term strategic value — balancing lifestyle goals with financial fundamentals. 🔍 Cate takes a deeper look at that fourth option, where lifestyle is deferred but capital growth and investment strategy take the lead. Highlighting this common dilemma when it comes to school zones, Cate unpacks the challenges associated with capital growth and cashflow.🏫 The Trio then open up a broader conversation around school zones — the power they wield over price, the risks of overextending, and how buying in the “right” zone doesn’t always guarantee the ideal outcome for families.🏘️ If Josephine and her partner do manage to secure a modest property within zone, Cate explores the real challenges they’ll face in terms of space, liveability, and the very real risk of outgrowing the property too soon.💸 Dave breaks down the pros and cons of selling the existing home to upgrade. While it may open doors in the school zone, there are emotional and financial costs — including stamp duty, agent fees, and timing the market well.🛠️ In this ep, the Trio share a tactical guide to navigating the tricky process of buying and selling at the same time, offering clear tips for developing a sharp purchase strategy and preparing emotionally and practically.💼 And Dave wraps with mortgage considerations — from bridging finance to loan portability — offering practical insights to reduce friction and risk in the finance process.And our gold nuggets!.....Cate Bakos's gold nugget: got so much right with their structuring and decision making when they bought their first property, but one thing Cate wishes they considered was schooling and desired zones. Schooling is a big part of a property plan.David Johnston's gold nugget: "We landed at the same point, Cate." Everyone who hasn't set a property plan yet should be asking themselves these questions ahead of time. Mike Mortlock's gold nugget: "Anything that doesn't result in two sales is a win!" Show notes: https://www.propertytrio.com.au/2025/06/23/the-school-zone-family-home-puzzle/

Got a question for the trio? https://forms.zohopublic.com/propertyplanningaustralia/form/GotaquestionforthePropertyTrio/formperma/zYCQAxzE_24CVlDafP1ozyzwtmB-8m1iCNtCTgDvHXMThis week, Dave, Mike and Cate tackle the May data. Darwin continues to perform strongly, but Cate eludes to the contrasting data across various data houses. Data integrity and varying methodologies of collecting and collating data may be the source of the issue. The Trio delve into the reliability and variability of data. Could off-market transactions explain the differential? Or is it something more?Hedonic indices and algorithms are another consideration... perhaps a great future episode for the Trio to unpack.The revised past month's data provided in the new Cotality reports are interesting too. The Trio reflect on the transparency provided as one data house formalises trends a month on.Mike notes that every single capital city delivered growth in the month of May, and the change in dwelling values since last peak is intriguing for those cities which haven't caught up with their last peak.Dave steps through the monthly pace of rent for the capital cities. From seasonality to increased supply, the Trio consider the drivers of this recent change in the majority of capital cities. But what's happening in Darwin and Hobart? And why is the rental data so misaligned for houses versus units? Tune in to find out.And the Trio tackle some of the counter-intuitive reasons why rental prices are rising in cities like Darwin.Mike sets a challenge... can we pick the bottom of the market by referencing the listings data? Combining new listings, all listings, 'old listings' and distressed listings tell us a lot, but without a heavier weight of data points, it is difficult to rely on listing figures in smaller markets like Hobart and Darwin.  Cate described the Westpac Consumer Sentiment Index as anaemic this month. Considering the current global unrest, talk of interest rate cuts and sharemarket uncertainty, the chat isn't what was anticipated. "This chart didn't dance around like I expected it to." Major household items recorded the largest change for the month, and Australian household's saving rate goes hand in hand with this figure. The increase of the household savings ratio (5.2%) suggests that additional earnings, (and/or lower interest rates and reduced inflation) is flowing through to households. Lending data suggests investor activity has increased in the last year, (citing the March quarter 2024 to 2025).In the Northern Territory in particular, investors are spending more. Are they pushing prices higher with greater competition, or are they targeting better quality houses than previous investors have been? Bond yields have tracked back, and Dave suggests that global uncertainty, tariffs and the inconsistency in the US administration.  Unemployment figures have surprised more than a few people too, considering some of the narrative and predictions we've had previously about the likely direction of our employment figures. Lastly, Cate marvels at the change in some of our GDP figures since the woes of post-COVID supply chain issues. Show notes: https://www.propertytrio.com.au/2025/06/16/ep-314-may-2025-market-update/

Got a question for the trio? https://forms.zohopublic.com/propertyplanningaustralia/form/GotaquestionforthePropertyTrio/formperma/zYCQAxzE_24CVlDafP1ozyzwtmB-8m1iCNtCTgDvHXM🎙️ Welcome to another dynamic episode of The Property Trio!Cate, Dave, and Mike reunite to unpack a hot question on many investors’ minds: Are we on the cusp of Australia’s next housing boom? Cate kicks things off by outlining seven key economic signals that are all pointing in the same direction — from falling interest rates to rising rents and tight supply. Whether you're already in the market or still on the sidelines, this episode is one you can’t afford to miss!📉 Falling rates = rising prices?Dave dives into a powerful piece of research by Peter Munckton from Bank of Queensland. He shares compelling data showing that historically, when interest rates fall, property prices tend to rise — and often by more than 10% in the following two years. Mike adds that while we may not see pandemic-style booms, the signs are certainly leaning bullish.🏘️ What’s different this time?Unlike previous booms fueled by deregulation or pandemic stimulus, this cycle is driven by low supply and strong demand. Dave highlights sobering ABS figures — with only 180,000 dwellings approved in the past year, we’re well below the build rates needed to meet population growth or the government's ambitious targets.👶 First home buyers charging inThe team explores the expanded First Home Guarantee scheme. With caps removed and eligibility widened, it’s already creating ripples — especially in the lower quartile of the market. But will it cause a price surge? Economists are split, with some warning that the policy could backfire by fuelling early price growth.🏡 Houses vs Units: Can the gap close?Dave notes that since 2020, house prices have doubled unit growth. But with affordability stretched and units offering better yields, could we see a swing back? The team debates whether apartments are due for a renaissance — particularly for price-conscious buyers.🌆 Capital cities ready to rebound?Regional Australia boomed post-pandemic, but now the spotlight could return to the capitals... or could it? Historical data suggests a cyclical pattern, and many capitals like Melbourne, Hobart and Darwin appear undervalued. Dave sees Melbourne as the sleeper, with 2026 poised to be its breakout year. Hobart and Canberra also show strong rebound potential.📈 Mid-year prediction updatesCate, Dave and Mike revisit their 2025 forecasts. Dave supports 4.5% growth nationally by year’s end — and flags 2026 as the potential double-digit boom year. Cate and Mike still expect a solid 2025, but with more moderate growth compared to previous boom cycles. .... and our gold nuggets!  David Johnston's gold nugget: 2025 is shaping up as a better window of opportunity. Borrowing power has improved... but Dave believes 2026 could be an even stronger year for property price growth.Mike Mortlock's gold nugget: Are we heading towards a boom? Mike steps through the other capitals and he tends to agree with Dave. Cate Bakos's gold nugget: Cate focuses on the history of booms and busts and talks about the historical magnitude of each. Standing back and looking longer term, long-term active investors will have a different level of sensitivity about market movement. Show notes: https://www.propertytrio.com.au/2025/06/09/housing-boom/

Got a question for the trio? https://forms.zohopublic.com/propertyplanningaustralia/form/GotaquestionforthePropertyTrio/formperma/zYCQAxzE_24CVlDafP1ozyzwtmB-8m1iCNtCTgDvHXM🏘️ What is Social Housing?This week, The Trio unpack social housing — subsidised accommodation aimed at vulnerable Australians. Social housing includes both public housing (state-managed) and community housing (run by not-for-profits). Unlike private rentals, it’s allocated based on need, not market competition, and supports those on low incomes, often dealing with complex challenges like homelessness or family violence.🚨 Crisis Accommodation vs. Social HousingCate draws a clear line between crisis accommodation — short-term emergency shelters — and longer-term social housing. Crisis services, often provided by groups like The Salvation Army and Mission Australia, offer additional safety nets with added support services such as counselling and case management.💸 How Rents Are SetRent in public housing is typically capped at 25–30% of assessable household income. Rebates are applied to keep rent affordable, based on wage income and benefits. Mike adds that in community housing, Commonwealth Rent Assistance is also factored in, and providers usually charge under 75% of market rent to remain GST-exempt.🏠 Affordable vs. Social HousingDave and Cate address the often-blurred lines between affordable housing and social housing. While affordable housing lacks a universal definition in Australia, it usually refers to pricing that’s lower than the market or tied to a percentage of income, and can include both rentals and home ownership. 📉 A Shrinking Share of HousingCate points out that social housing now makes up just 4% of all housing in Australia — a figure unchanged since the 1990s despite population growth. Over 170,000 households are currently on waiting lists, some facing years-long delays. Meanwhile, ageing and abandoned stock is going unused. Cate cites two specific examples in Knoxfield and Ballarat. 📊 Demand Far Outpaces SupplyMike estimates over 565,000 households either live in or are waiting for social housing. Projections suggest that by 2037, Australia may need over 1.1 million social dwellings — far exceeding current policy commitments.🌍 International ComparisonsThe Trio compares Australia’s performance globally. At just 4.4%, we lag behind the OECD average (6.9%) and trail countries like the UK (17%) and the Netherlands (34%). The message is clear: more investment and smarter policy are urgently needed.... and our gold nuggets!Mike Mortlock's gold nugget: Considering the COVID response and how the Federal government worked with the states... we need to have a national cabinet again to address this issue.Cate Bakos's gold nugget: "We need a bi-partisan approach!"David Johnston's gold nugget: Setting up a bi-partisan model, (an independent body that is not actually political) is a first start. Dave's three point plan highlighted some of the challenges that need to be addressed with this enormous, and important task.Shownotes: https://www.propertytrio.com.au/2025/06/02/social-housing/

Got a question for the trio? https://forms.zohopublic.com/propertyplanningaustralia/form/GotaquestionforthePropertyTrio/formperma/zYCQAxzE_24CVlDafP1ozyzwtmB-8m1iCNtCTgDvHXM🎙️In this timely and hard-hitting episode of The Property Trio, Dave, Cate, and Mike unpack a serious supply crisis facing Australian housing. Mike Mortlock shares some valuable research, hot off the press from the team at MCG. The data reveals that hundreds of suburbs across the country have recorded less than 1% growth in housing approvals over a two-year period. These “frozen” suburbs aren’t adding enough new stock to meet even a fraction of demand, despite record migration and ongoing population growth.The Trio highlights how this lack of new supply is fuelling Australia’s affordability crisis. Renters are squeezed, first-home buyers are sidelined, and down-sizers often can’t find suitable housing within their communities. Even more alarming is that these figures only reflect building approvals, (not actual completions). This means the true supply increase is likely even smaller.The conversation deep dives into the structural barriers that prevent housing from being delivered where it’s needed most. From development taxes and levies making up to 40% of a new home’s cost, to NIMBY, (not in my backyard) opposition and clogged planning systems, the obstacles are significant and widespread. Suburbs like Victoria's Glen Waverley-East, Camberwell North, and Mount Eliza are among those effectively shut off to meaningful development.With housing commencements falling 30% short of national targets, and population growth adding 650,000 people in a single year, Australia is failing to keep pace. The Trio explores a range of solutions, from tax and planning reform to public-private partnerships and cultural change around urban density.This episode is essential listening for anyone interested in understanding the root causes — and potential solutions — to Australia’s deepening housing crisis.📊  Some interesting statistics include:Suburbs with under 1% dwelling approval growth over two years are failing to contribute to national supply goals.Annual dwelling commencements in 2024 sat at 168,000 — a 30% shortfall against the federal target of 240,000.Australia’s population grew by 650,000 in 2023, driven largely by migration — but housing supply hasn’t kept pace..... and our gold nuggets! Cate Bakos's gold nugget: For those who are feeling a pinch of "NIMYism", source some information to glean more about planning, the approval process, and the detail of the project itself.Mike Mortlock's gold nugget: Community consultation is a multi-faceted issue. There are a number of levers we can apply, but as Mike says, we need to have some real conversations about these levers with some bright minds.David Johnston's gold nugget: Government of all persuasions need to consider the taxes they are making from new property, and focus on proper incentives. We need to also consider the areas where we can reduce the red tape, whilst maintaining safety standards in the building industry.Shownotes: https://www.propertytrio.com.au/2025/05/26/limited-housing-supply-suburbs/

Got a question for the trio? https://forms.zohopublic.com/propertyplanningaustralia/form/GotaquestionforthePropertyTrio/formperma/zYCQAxzE_24CVlDafP1ozyzwtmB-8m1iCNtCTgDvHXMThis week, Dave, Mike and Cate tackle the data! Nationally, the gains could be described as "soft", but for Darwin and Hobart, things are anything but soft. With a second consecutive strong month, Darwin is once again the star of the show.Dave considers that Darwin is in the early stages of a bull run based on a few metrics. Time on market, sales volumes, vacancy rates, rental movement, and new listings and are all combining to suggest that Darwin's demand level has more in store. Cate points out that the combined regions are still doing a lot of heavy lifting though. Investor price points and lighter negative cashflow is a likely reason for regional performance, combined with intra-state migration. Retirees and the accepted phenomenon of work-from-home are also contributors to this trend, as are decentralised businesses.Quartile performance across the cities also tells us an interesting story. Typically, cities in recovery show an uptick in higher quartile performance, yet as Cate points out, credit can play havoc with this trend.Melbourne's lower quartile is still lower, but investor activity could explain this. Investors tend to circle lower price points and Melbourne represents value when contrasted against other states. The higher rental yield has also been compelling for a few investors.Are buyers sitting on their hands in Canberra? The Trio chat about the impact of elections on buyer behaviours, particularly in cities with high numbers of public servants. And what does this segmented data suggest for our hot cities of 2024, (Brisbane, Perth, Adelaide)? Tune in to find out. Rents have almost normalised thanks to higher household formation rates and a slow-down on overseas migration. Most of our capital city house rental movement now sits within the target inflation band; a stark contrast from the heady past three years.Rents... good news for renters? Many of our capital city markets have experienced a softening in asking rents for houses. Adelaide, Perth, Darwin and Hobart remain the strongest, but we are far from the peak conditions over thee past four years. Household formation rates have impacted rental growth, as have first home buyer initiatives, migration levels and confidence around employment.As Dave points out though, national rental growth is still above target inflation, so it's not all good news for renters.for renters. Sales data for Darwin at 35.5% increase over the past twelve months overshadows every other city. Combined with new listings, (which have contracted in our northernmost capital), the supply/demand balance supports Darwin's sheer strength at present. Total listings data is slightly under the past five year average, but we do need to take into account the impact of Easter, ANZAC Day and the federal election.Old listings, current listings and new listings tell a great story, particularly for Canberra. The fear of public service cuts would have no doubt dampened the sentiment for Canberran purchasers.May 2025's Westpac consumer sentiment indices are surprisingly stable, however some of the metrics suggest a degree of pessimism. Buyers are optimistic about the chances of an interest rate cut, yet sentiment is still relatively anaemic.Dave shares his updated predictions for some of our capital cities as he talks our listeners through some of the combined leading indicators he's combined for a clearer picture. Cate sheds light on settlement periods and the impact a long settlement can have on data reporting. Many upgraders are currently looking to buy on long settlements in order to give themselves ample time to sell.Lastly, Mike decides to introduce a guessing game for the Trio. "Which capital cities will star next month?"  Let's see who's predictions land closest to the pin next month! Show notes: https://www.propertytrio.com.au/2025/05/19/ep-310-april-2025-market-update/

Got a question for the trio? https://forms.zohopublic.com/propertyplanningaustralia/form/GotaquestionforthePropertyTrio/formperma/zYCQAxzE_24CVlDafP1ozyzwtmB-8m1iCNtCTgDvHXMWelcome to Episode 3 of our special Property Trio trilogy, where we wrap up our deep dive into one of the most critical aspects of property investing in today’s environment: borrowing capacity. For our listeners who have tuned in to the first two episodes — where we covered lending fundamentals and the importance of the right loan structures — this third instalment will deliver intel which is all about maximizing borrowing power with practical strategies. We explore the details of how lenders assess borrowing power and what levers borrowers can pull to optimise borrowing outcomes. The Trio brings both the insider knowledge from the lending world and the hands-on experience of working with hundreds of property investors and buyers. The Trio tackle the following segments:✅ Income OptimisationNot all income is treated equally by lenders. Whether a borrower is a PAYG employee, self-employed, or juggling multiple income streams, they break down how to present earnings in the best possible light to maximize borrowing ability. This includes guidance for self-employed income earners, those with casual employment, and investors with rental income.  ✅ Trimming the Fat: Expense AuditingDiscretionary spending can significantly undermine your serviceability. The Trio discusses how to identify and cut back non-essential outgoings. From subscriptions, after-payments, to even gym memberships.... these all add up in the eyes of lenders.✅ Tidy Up Your Credit FileUnused credit cards and Buy Now Pay Later services can inhibit borrowing capacity. The Trio explains the importance of credit file hygiene and the steps to clean up liabilities for a stronger application and optimised borrowing capacity.✅ Debt Consolidation – Yes or No?When does it make sense to consolidate personal debts before applying for a home loan? The Trio examine the pros, cons, and myths around bundling debts for better serviceability.✅ Lender Policy MatchingNot all banks view = finances the same way. A key theme in this episode is choosing the right lender based on each borrower's unique profile. Cate, Mike, and Dave explain why a savvy mortgage broker or planner can be the difference between a finance rejection and an approval.✅ Long-Term ReadinessThe Trio also discusses the importance of staying ‘loan-ready’ — with tips on financial preparation that stretch beyond a single transaction. When it comes to property, being ready to strike at the right time is critical.🧠 Should Borrowers Stretch Their Borrowing to the Max?Finally, we tackle the controversial question: Is it ever wise to borrow up to full capacity? The Trio shares their thoughts on risk appetite, growth planning, and the fine line between ambition and overreach. This episode is packed with real-world strategies that buyers can start applying today. Whether buying a first home, upgrading, or growing a portfolio, these tips are tailored to give borrowers the upper hand..... and our gold nuggets!  Mike Mortlock's gold nugget: Going to your bank manager is a thing of the past. These days, it's quite complicated. Mike chats about some of the serious challenges that debt-consolidation borrowers face.David Johnston's gold nugget: "Without the full picture, you can unintentionally weaken your financial position and go down a path that is not best for you. It really pays to make sure you discuss any changes with your strategic mortgage broker and ensure you understand hte full picture before you make any big decisions." Cate Bakos's gold nugget: Debt consolidation can either be liberating, or it can be a curse. Mortgage strategy is discipline is essential for success. Shownotes: https://www.propertytrio.com.au/2025/05/12/increasing-borrowing-capacity-3/