Since 21 February 2022, the Australian borders have been opened to double-vaccinated tourists and visa holders.

Along with being exempt from quarantining, concessions are being granted to skilled visa holders to allow them to stay in Australia for longer.

The data from CoreLogic suggests that as Australia has begun re-opening to the rest of the world and seeing a return of overseas arrivals, the subsequent demand for housing is expected to be slow.

Many of the most impacted markets have already seen a recovery trend since early last year, thanks to relatively affordable rents, a decline in total listings, and more recently, temporary migrants such as university students and visitors.

The following is sourced by CoreLogic.

The latest overseas arrival data from the ABS shows total arrivals to Australia began rising sharply weeks earlier, as international students, permanent residents and Australian citizens were welcomed back. Overseas arrivals totalled 195,760 through December (up from 34,670 arrivals in December 2020) and provisional estimates suggest the number was higher still for January.

 

Short-term arrivals dominate

 

In the five years prior to COVID-19, ABS data suggests Australia would see around 1.8 million overseas arrivals per month. While December 2021 arrivals were only 10.4% of the December 2019 level, the pattern was similar, with around 64% of visitors being short-term (here for less than one year). Of those who arrived in December 2021 around 34% of short-term arrivals to Australia intend to stay less than one month, 52.2% would stay one to six months, while 13.6% would stay between six and 12 months.

While priorities for entry to Australia at the end of 2021 were focused on returning Australian citizens and their relations (which could see people staying with friends or relatives), there will no doubt start to be an increase in demand for short-term accommodation. This will mean a lift in occupancy rates and revenue across the short-term accommodation rental market and commercial accommodations.

 

If you would like to know more information about the Perth property market, please get in touch with our team of property managers in Perth today.