April 2023 Newsletter
Hi Neighbour!
This past month, I have really loved Melbourne. It has so much to offer. Barack Obama was here last week for a sold-out speaking tour, the Formula 1 has left Melbourne, the Moomba festival has just wound up, the footy and winter sports are back, and we have the International Comedy Festival on. It really is an amazing city and it is as amazing to see it humming along again. This weekend marks a very long one in celebration of Easter. Tomorrow, I will be cheering on the mighty blues as always! I hope everyone has a great break after what has no doubt been a busy first 3 months of the year!
Looking ahead, ANZAC Day will be upon us in no time. This means April will be a strange month with Easter, school holidays and the ANZAC Day public holiday with lots of companies suggesting their staff take a long weekend.
This month, the RBA decided not to increase interest rates which is a welcome relief for thousands of homeowners across the country. However, rental prices are still growing, exceeding all expectations. Vacancies are low and we're experiencing 20+ attendees at most of our opens who are genuinely competing. The AFR's podcast The Fin featured an episode about the current rental crisis and the challenges that all renters are facing (see below in Market Insights section). We are finding a lot of migrants and students are returning in huge numbers.
An update on our Education Chances scholarship - we are nearing the first of our scholarship donations, which is exciting. Next month we will have one scholarship completely paid for. Hopefully the first of many!
Thank you and enjoy your day, week, and month!
Speak Soon.
Carmela
MARKET INSIGHTS
We strive to stay up to date on the latest market trends. Here are a few articles we think are worth reading.
- Builders going bust and tradies are paying for it.
This read explores the chain effects of the pandemic and the Ukraine war on Melbourne builders and homeowners that were in the process of building. It states that in the last two years, there was a 29% increase in pricing for resources and labour. Vlad Simunkovic (a Melbourne bricklayer) says "no one's a winner here, that's the problem".
- Some Victorian suburbs are seeing increases in housing prices defying the current downturn.
Since the last rate hike, CoreLogic showed a 0.2% increase in the last month in Melbourne dwelling values. Although there is always a risk of future drops, this shows hope for an improvement to come.
- CoreLogic has released a report on the market since the pandemic began.
In summary, the National housing values have increased by 14.8% since March 2020, the demand for houses over units is lessening and rental values have a cumulative growth of 23.1% with lasting effects on the rental market.
- The contrarian story in property right now.
Whilst this article focuses on commercial property, it's an interesting view amongst an echo chamber of doom and gloom in the commercial sector. - The Fin Podcast (available wherever you get your podcasts); The uncomfortable truth about Australia's rental crisis.
This is well worth a listen for all our owners and renters.
COMMUNITY BULLETIN BOARD
What's new in your neighbourhood? These are a few recent updates that are happening in some of our local communities.
- Kids Naturally want to Explore
Give your kids the chance to play freely and explore the world around them. Visit Werribee Open Range Zoo these school holidays, for some nature play. Enjoy storytelling, meditation, clap sticks and getting creative. Kids under 16 are free.
- Join the Circus, Just for a Day
National Institute of Circus Arts Australia have one day holiday programs. Kids and teens can try their hand at different circus skills throughout the day. Sessions are filling fast so book now to ensure you don't miss out.
- Snap some Holiday Fun at ArtVo
Looking for something different to entertain the kids these school holidays? Take them to ArtVo, Melbourne's first trick art gallery. Spend the day being silly, getting creative and taking photos as a family. Your photos become your souvenir and your kids enjoy a family day.
- ANZAC Day is a day to Remember.
Dawn service will begin at 6am during that quiet moment before the sun rises at the Shrine of Remembrance. Take time to honour those who fought and reflect on what war means to you. Remember to wear your ANZAC day badge from the ANZAC Appeal.
- Boroondara's Best-Kept Secret
The Education CHANCES Foundation is hosting a breakfast with Suzi Young (Director of Think Impact) on Tuesday the 9th of May, 6.45am-8.45am. Our team will be in attendance and would like to see you there too.
CAUGHT OUR ATTENTION
Here are a few things that members of our team have stumbled across over the month. Whether thought-provoking, interesting or entertaining, we want to share them with you.
- India is set to take over China as the most populated country in the world (if it hasn't already recently). This will have a huge impact on the global economy, particularly Australian given our proximity to both countries.
- ChatGPT, and AI in general, is getting a lot of attention at the moment. Italy has recently completely banned ChatGPT 4.0 over privacy concerns. There's going to be a lot of interesting discussion around this space.
- Our marketing manager, Casey, is excited for season 2 of Ted Lasso (on Apple TV). She says, "It is such a fun, heartwarming and cheeky show. Anyone who appreciates a good dad joke, will appreciate its humour."
- At the local shops near our office (670 Chapel Street, South Yarra), there is an Up Cycle Station where you can drop off your old bedding, books, clothes and footware to give them new life. You may have no use for them but they may still be useful. By placing unwanted items in these bins, you have chosen a more sustainable option by keeping them from adding to landfill.
