Quarterly Review - CoreLogic...Quarterly Review | December 2016 Housing Market 5 Total returns have...

Quarterly Review The Australian Residential Property Market and Economy

Released December 2016

Contents

Introduction 3

Housing Market 4

Mortgage Lending 11

Housing Supply 17

Demographic Overview 20

Household Finances 22

National Accounts 25

Inflation 26

Consumer Sentiment 27

Conclusion 28

About CoreLogic 30

Disclaimers 31

The national housing market has continued to show growth over the past quarter with capital city home values increasing by a further 2.7% according to the CoreLogic Home Value Index. The increase in values has taken the total value of residential property nationally to $6.7 trillion at the end of October 2016. The annual rate of value growth has been recorded at 7.5% to October 2016 and although that is a lower rate of growth than the 10.1% a year earlier, it has trended higher from a recent low of 6.1% in July 2016 as housing market conditions have accelerated over the second half of the year in Sydney, Melbourne and Canberra.

Across the individual capital cities, the market performance has been quite diverse. Values have risen by as much as 10.6% over the past year in Sydney and fallen by as much as -3.8% in Darwin. Sydney and Melbourne have consistently recorded superior value growth over recent years to that of the other capital cities.

The current growth phase for capital city home values commenced in June 2012, almost four and a half years ago, and since that time capital city home values have increased by 42.0%. To put the geographic differences in growth into perspective, over the current growth phase Sydney home values are 65.9% higher and Melbourne values are up 48.6%, the capital city with the third highest rate of growth was Brisbane where values have increased by a much more modest 19.0% over the period.

The housing market is broadly continuing to see values rise due to a combination of factors but chief amongst these are low interest rates, increasing demand and strong investment returns (largely fuelled by capital growth rather than rental returns). With interest rates forecast to remain low and demand not showing signs of waning it seems likely that values will continue to climb, the pace of this growth remains the big question mark.

Introduction

$6.7 trillion Value of residential property

$2.1 trillion Value of Australian superannuation

$1.7 trillion Value of listed equities

$0.90 trillion Value of commercial real estate

3

The lift in home values and low cost of borrowing has been accompanied by a substantial uplift in dwelling construction. Although detached house construction has increased, the major feature has been a substantial uplift in construction of units to historic high levels. Although official data is patchy and only available once a year, anecdotal evidence suggests that many of these units under construction have been purchased by offshore investors. The situation now stands that the pipeline of units under construction and approved but not yet commenced are at close to record highs with many set for completion over the next few years. We are already seeing the value of units increase at a lower rate than houses and the record supply could create some issues for this market over the coming years, particularly for undifferentiated unit stock that is located in areas with a significant supply pipeline and targeted primarily towards the investment market. One area where the impact of increased housing supply is already being felt is the rental market. The combined capital cities are currently experiencing the weakest rental market conditions on record. Keep in mind that the last Census showed that units were more than two times as likely as houses to be rented. A proportion of all these units under construction will go into short-term accommodation, some will be owner occupied and some will be left vacant however, if history is a guide many of these properties will enter the rental market. Subsequently we would expect ongoing weakness in the rental market as unit supply increases.

After almost four and a half years of growth, affordability is becoming stretched in both Sydney and Melbourne. Although, both of these cities are the centrepieces of the two strongest economic states which are also experiencing strong levels of migration and population growth which are likely to continue to support housing demand. The relative weakness of the remaining states and territories continues to limit the strength of the capital city housing markets. More recently the Australian Capital Territory’s economy has been improving and this has accompanied an uptick in value growth. Meanwhile, interstate migration into Queensland and Tasmania has accelerated which is likely to create increasing demand for homes. The following report highlights the housing market conditions and key economic factors driving housing market conditions across Australia.

Home values are increasing at a rapid pace but annual growth is slower than a year ago Combined capital city home values have increased by 2.7% over the three months to October 2016, to be 7.5%

higher over the past year. Although home values are continuing to record quite strong levels of annual growth, it is slower than 12 months

ago when values had increased by 10.1% over the year. The annual rate of value growth in October 2016 was the fastest rate of growth since June 2016. House values have increased at a faster annual pace over the past year than units with rises of 7.7% and 6.3%

respectively. Over the past five years, combined capital city home values have increased at an annual rate of 6.6% and over

the past decade they have increased by 5.6% pa. Capital city home values have been broadly rising since June 2012 and since that time they are 42.0% higher

highlighting the current growth phase has been elongated relative to previous cycles.

Housing Market

4

-10%

-5%

0%

5%

10%

15%

20%

25%

Oct-98 Oct-00 Oct-02 Oct-04 Oct-06 Oct-08 Oct-10 Oct-12 Oct-14 Oct-16

Quarterly and Annual Change in Capital City Home Values

Quarterly change

Annual change

10.6% 9.1%

4.1% 2.5%

-3.7%

5.0%

-3.8%

7.9% 7.5%

-6%-3%0%3%6%9%

12%

Sydney Melbourne Brisbane Adelaide Perth Hobart Darwin Canberra Combinedcapitals

Change in Capital City Home Values, 12 months to October 2016

Sydney and Melbourne continue to record the strongest annual growth

Throughout the current growth phase Sydney and Melbourne have recorded the strongest rates of growth and that has continued over the past year.

In most capital cities, home values have continued to rise over the past year, the exceptions have been Perth and Darwin where values have fallen.

Sydney home values are 10.6% higher over the past year which is a slower rate of growth than the 15.6% 12 months earlier and much lower than the recent 18.4% peak in July 2015.

In Melbourne home value growth reached its recent peak of 14.2% in September 2015, over the past year values are 9.1% higher which is a slower rate of growth than the 12.8% a year ago.

12 months ago, Brisbane home values had increased by 3.8% compared to 4.1% over the past year.

Quarterly Review | December 2016

Housing Market

5

Total returns have reduced but remain superior to many other asset classes Over the 12 months to October 2016, total property

returns which factor in both capital growth and rental returns have been recorded at 11.2%.

The strongest total returns have been recorded in the cities with the strongest value growth; Sydney (14.2%), Melbourne (12.5%), Canberra (12.4%) and Hobart (10.6%).

Across the remaining capital cities total returns have been lower, recorded at 8.7% in Brisbane, 6.7% in Adelaide, 0.1% in Perth and 1.3% in Darwin.

Home values in Adelaide have increased by 2.5% over the past 12 months compared to annual growth of 2.3% at the same time in 2015.

Perth home values have fallen by -3.7% over the past 12 months which is similar to the annual decline ( -3.6%) 12 months earlier, values are now -9.7% lower than their end of month peak in December 2014.

Over the past 12 months, Hobart home values have increased by 5.0% which is a greater annual growth rate than the 3.8% 12 months earlier.

Home values in Darwin were –9.2% lower than their most recent end of month peak in May 2014 with values having declined by -3.8% over the 12 months to October 2016.

In Canberra, home values have increased by 7.5% over the past 12 months compared to an increase of 4.5% over the same 12 month period a year earlier.

14.2% 12.5%

8.7% 6.7%

0.1%

10.6%

1.3%

12.4% 11.2%

0%

3%

6%

9%

12%

15%


Capital City Total Returns, 12 months to October 2016

Image of Bundeena NSW as viewed in

RP Data Professional


Housing Market

6

Sydney and Melbourne have experienced much greater value growth over the current growth phase than all other capital cities Since combined capital city home values reached their most recent low point in May 2012, combined capital city

home values have increased by 42.0%. It is important to note that not all cities recorded the commencement of their growth phase at this time and the

following statistics look at each cities growth across the current phase from when they commenced in each city. Sydney and Melbourne have recorded much stronger growth in the current phase than all other capitals with

values increasing by 65.9% and 48.6% respectively. Elsewhere, the total change in values over the current cycle has been recorded at: 19.0% in Brisbane, 12.9% in

Adelaide, 6.3% in Perth, 14.4% in Hobart, 9.7% in Darwin and 18.8% in Canberra.

65.9%

48.6%

19.0% 12.9%

6.3% 14.4%

9.7% 18.8%

42.0%

0%

15%

30%

45%

60%

75%


Change In Capital City Home Values over the Current Growth Phase To October 2016

95.7% 81.8%

15.2% 15.0% 6.3% 4.5%

17.9% 33.2%

60.2%

-5%10%25%40%55%70%85%

100%


Change in capital city home values December 2008 to October 2016

Growth in home values in Sydney and Melbourne have far out-stripped other capital cities since the financial crisis Combined capital city home values fell by -6.1% between March and December of 2008 as the financial crisis

shocked global financial markets and depressed housing demand. The combination of a commodity price boom, aggressive interest rate cuts and stimulus for first home buyers

saw home values start to rise from the end of 2008. Sydney home values have increased by 95.7% since the end of 2008 and Melbourne values are 81.8% higher

over the same period. To put the growth in Sydney and Melbourne into perspective, the city with the third highest rate of value growth

since December 2008 has been Canberra where values have increased by 33.2%. Across each remaining capital city, values are higher since 2008 however, the increases have been moderate,

recorded at: 15.2% in Brisbane, 15.0% in Adelaide, 6.3% in Perth, 4.5% in Hobart and 17.9% in Darwin.


Housing Market Overview

7

Transaction activity has reduced but has stabilised over recent months CoreLogic estimates that over the 12 months to October 2016 there were 451,461 settled property sales

nationwide. The number of properties sold nationally over the past year was -11.7% fewer than over the previous 12

months. Across the combined capital cities, there were 286,848 settled sales over the 12 months to October 2016 which

was -15.0% lower than the previous 12 months.

Sydney has a sizeable gap between selling prices of houses and units

In October 2016, the median house price across the combined capital cities was recorded at $615,000 and the median unit price was $520,000.

In dollar value terms, Sydney has the greatest gap between house and unit prices at $230,000 followed by Canberra ($227,500), Melbourne ($170,000) and Brisbane ($119,000).

In the remaining cities, the dollar value gap between house and unit prices are much lower at $86,000 in Adelaide, $85,000 in Perth and $75,000 in Hobart while the median house price in Darwin is $28,000 lower than the median unit price.

In percentage terms, the largest gap between house and unit prices is in Canberra (54.4%) followed by: Melbourne (34.3%), Sydney (33.3%), Brisbane (30.9%), Hobart (26.3%), Adelaide (24.6%), Perth (20.7%) and Darwin (-5.8%).

$920,000

$665,000

$504,000

$436,000

$495,000

$360,000

$452,000

$646,000

$615,000

$690,000

$495,000

$385,000

$350,000

$410,000

$285,000

$480,000

$418,500

$520,000

$0 $200,000 $400,000 $600,000 $800,000 $1,000,000

Sydney

Melbourne

Brisbane

Adelaide

Perth

Hobart

Darwin

Canberra

Combined capitals

Capital City Median House and Unit Prices - October 2016

Units

Houses

0

10,000

20,000

30,000

40,000

50,000

60,000

70,000

Oct-91 Oct-96 Oct-01 Oct-06 Oct-11 Oct-16

Monthly Number of Settled Dwelling Sales

Although sales remain much lower than they were a year ago, over recent months there has been an uptick in settled sales.

Throughout the individual capital cities, the year on year change in annual sales were recorded at: -18.2% in Sydney, -21.4% in Melbourne, -12.9% in Brisbane, +0.2% in Adelaide,

-5.3% in Perth, -4.9% in Hobart, -12.5% in Darwin and -6.2% in Canberra.

Importantly, these figures only count settled sales; off-the-plan sales are unsettled and will not settle until they are completed, at that time these sales will be counted at their contract date.

Given this, it is expected that recent years of sales activity will be revised higher over the coming years once these settlements occur.



8

Homes are taking slightly longer to sell than they were a year ago The days on market figure measures the average time from the first listing date to the contract date for

properties sold by private treaty. Combined capital city homes are currently taking an average of 39 days to sell compared to 36 days at the

same time a year ago. At an individual capital city level, the average days on market is recorded at 32 days in Sydney, 31 days in

Melbourne, 57 days in Brisbane, 55 days in Adelaide, 79 days in Perth, 52 days in Hobart, 71 days in Darwin and 35 days in Canberra.

The average days on market has reduced over the past year in Melbourne (-1 day), Hobart (-7 days), Darwin (-18 days) and Canberra (-9 days).

Across the remaining capitals, days on market has increased with the magnitude of increase recorded at +5 days in Sydney, +14 days in Brisbane, +5 days in Adelaide and +12 days in Perth.

Discounting levels have reduced over the year

Vendor discounting measures the difference between the initial list price and the ultimate selling price of properties which sell by private treaty for less than their original list price.

The level of discounting by vendors is currently recorded at 5.7%, down from 6.0% a year ago. Over the past three months, discounting has reduced quite significantly from 6.4% to 5.7%.

-9.0%-8.0%-7.0%-6.0%-5.0%-4.0%-3.0%-2.0%-1.0%0.0%

Sep-06 Sep-08 Sep-10 Sep-12 Sep-14 Sep-16

Combined Capital Cities Vendor Discounting Levels

0102030405060708090


Combined Capital Cities Days on Market

The current level of discounting across the individual capital cities is recorded at: 4.9% in Sydney, 5.0% in Melbourne, 5.1% in Brisbane, 6.0% in Adelaide, 8.0% in Perth, 6.6% in Hobart, 8.2% in Darwin and 4.5% in Canberra.

Discounting levels are lower over the past year in Sydney (-0.4%), Melbourne (-1.1%), Brisbane (-0.3%), Darwin (-0.2%) and Canberra (-0.4%).

Across the remaining capital cities, discounting levels have increased in Adelaide (+0.3%), Perth (+0.9%) and Hobart (+0.5%).



9

With values rising faster than rents, yields are at record low levels Gross rental yields across the combined capital cities shifted to a new historic low of 3.2% in October 2016, with

house yields recorded at 3.1% and unit yields at 4.1%. At the same time a year earlier, rental yields were recorded at 3.5% with houses at 3.4% and units 4.3%. Gross rental yields are currently at historic lows of 3.0% in Sydney, 2.9% in Melbourne and 4.0% in Canberra. Elsewhere, gross rental yields are recorded at: 4.2% in Brisbane, 4.0% in Adelaide, 3.7% in Perth, 5.3% in

Hobart and 4.9% in Darwin. Gross rental yields are lower than they were a year ago in all capital cities except for Hobart where they are

unchanged.

The rental market has weakened as housing supply has increased

Combined capital city rental rates have fallen by -0.6% over the 12 months to October 2016 with house rents falling -0.8% and unit rents increasing 0.7%.

The annual fall in rental rates is the largest on record and has slowed significantly compared to a year ago when rents had increased by 0.6% over the year.

Across the individual capital cities, rents have increased in Melbourne (+2.5%), Hobart (+6.4%) and Canberra (+4.1%) and are unchanged over the year in Sydney.

Rental rates have fallen over the past 12 months in Brisbane (-1.1%), Adelaide (-0.1%), Perth (-9.8%) and Darwin (-12.1%).

Melbourne is the only capital city in which rents are at their historic highs, across the remaining cities the change in rents from their peak are recorded at: -1.4% in Sydney, -2.4% in Brisbane, -2.0% in Adelaide, -19.0% in Perth, -0.1% in Hobart, -24.0% in Darwin and -5.1% in Canberra.

-0.02-0.01

00.010.020.030.040.050.060.070.080.09

Oct-98 Oct-00 Oct-02 Oct-04 Oct-06 Oct-08 Oct-10 Oct-12 Oct-14 Oct-16

Annual Change in Combined Capital City Dwelling Rents

0.0%1.0%2.0%3.0%4.0%5.0%6.0%7.0%8.0%9.0%

Oct-96 Oct-98 Oct-00 Oct-02 Oct-04 Oct-06 Oct-08 Oct-10 Oct-12 Oct-14 Oct-16

Combined Capital City Gross Rental Yields

The value of housing finance commitments rose in September 2016 In September 2016, there was $32.3 billion in housing finance commitments which was the highest monthly

value since June 2016. The value of housing finance commitments was 2.3% higher over the month and -0.2% lower year-on-year. The $32.3 billion consisted of $19.9 billion in lending to owner occupiers and $12.4 billion in lending to

investors. The $19.9 billion in lending to owner occupiers was 0.9% higher over the month but -5.4% lower year-on-year. The $12.4 billion in lending to investors was the highest monthly value since August 2015 and was 4.6% higher

over the month and 9.6% higher year-on-year.

Mortgage Lending

11

Lending to owner occupiers has slowed over recent months and is lower year-on-year The $19.9 billion in mortgage lending to owner occupiers in September 2016 consisted of: $1.8 billion for

construction of dwellings, $1.0 billion for purchase of new dwellings, $6.9 billion for refinancing of established dwellings and $10.2 billion for purchase of established dwellings.

Over the month, commitments rose by 0.1% for purchase of new dwellings and by 4.0% for refinances while they fell -1.7% for construction of dwellings and were -0.7% lower for purchase of established dwellings.

Year-on-year, finance commitments were lower for construction of dwellings (-0.1%), purchase of new dwellings (-3.2%) and purchase of established dwellings (-11.4%) while they were slightly higher (+3.0%) for refinances.

$0.0

$5.0

$10.0

$15.0

$20.0

$25.0

Sep-86 Sep-91 Sep-96 Sep-01 Sep-06 Sep-11 Sep-16

$ bi

llion

Monthly Value of Housing Finance Commitments, National

Owner occupier

Investor

Source: CoreLogic, ABS

$0.0

$2.0

$4.0

$6.0

$8.0

$10.0

$12.0

$14.0


$ bi

llion

Monthly Value of Owner Occupier Housing Finance Commitments by Type

Construction of dwellingsPurchase of new dwellingsRefinance of established dwellingsPurchase of established dwellings


$0.0

$2.0

$4.0

$6.0

$8.0

$10.0

$12.0

$14.0

$16.0


Monthly Value of Investor Housing Finance Commitments by Type

Construction of dwellings

Purchase of established dwellings


Lending to investors has reignited over recent months In September 2016, $0.9 billion was borrowed by investors for construction of dwellings while $11.5 billion was

borrowed for established housing. Housing finance commitments for established investment housing have increased substantially from $9.8 billion

in April 2016 to $11.5 billion in September 2016. Over the month of September, commitments for construction of dwellings increased by 11.1% to be 38.8%

higher than they were in September 2015. The value of finance commitment for established investment properties rose by 4.1% in September 2016 to be

7.9% higher year-on-year.

Mortgage Market

12

Owner occupier first home buyer volumes have increased a little but activity remains low Data on owner occupier housing finance commitments to first home buyers shows that there were 7,334

commitments to first time buyers in September 2016, accounting for 13.1% of all owner occupier commitments.

0

5,000

10,000

15,000

20,000


Monthly Number of Owner Occupier First Home Buyer Finance

Commitments


The number of owner occupier first home buyer commitments is -0.5% lower over the month and -7.5% lower over the past 12 months.

First home buyer participation in the market remains at near historic low levels.

An increasing number of first home buyers are reportedly purchasing their first property as an investment, unfortunately this data is not published separately and would only be included in the investor data.

Average loan sizes to owner occupiers have fallen over the past year In September 2016, the average new loan size to

owner occupiers was recorded at $367,600. The average owner occupier loan size increased by

1.3% over the month but is -2.2% lower than it was a year ago.

The average owner occupier loan size peaked at $382,300 in November of last year and has since fallen by -3.8%.

Unfortunately the Australian Bureau of Statistics doesn’t publish a similar dataset for investors.

Mortgage Market

13

The majority of owner occupiers take out a variable rate mortgage Housing finance data reveals that in September 2016,

only 11.2% of mortgage commitments were for a fixed rate loan meaning 88.8% of mortgages were on a variable rate.

At its absolute peak, approximately one quarter of mortgages were on a fixed rate.

Variable rate mortgages are clearly preferred by Australian owner occupiers, again this data is not published for investors.

The majority of mortgages being on a variable rate means that when the RBA or lenders change interest rates it has an almost immediate impact on household finances.

Subsequently, changes to monetary policy flow through to the household and are, theoretically at least, more immediate and effective at stimulating or slowing consumer expenditure.

$0$50,000

$100,000$150,000$200,000$250,000$300,000$350,000$400,000$450,000


Average Owner Occupier Loan Size, Monthly


0.0%

5.0%

10.0%

15.0%

20.0%

25.0%

30.0%


Monthly Proportion of New Mortgages on a Fixed Rate Home Loan


New interest-only lending increased over the June 2016 quarter but is lower than recent levels According to data from the Australian Prudential Regulation Authority (APRA), $35.575 billion in mortgage

lending was for interest-only loans over the June 2016 quarter. The value of interest-only lending increased over the quarter from $28.437 billion but is much lower than its peak

of $43.982 billion over the June 2015 quarter. Interest-only mortgages accounted for 36.2% of the value of all new mortgage lending over the June quarter of

2016, up from 34.9% the previous quarter but much lower than its peak of 45.6% of all new mortgages over the June 2015 quarter.

88.8%

Fixed v Variable Rate

11.2% Variable Fixed

Average outstanding mortgage balances continue to climb

At the end of the June 2016 quarter, the average outstanding mortgage balance was recorded at $252,100 having increased by 4.5% over the year.

Mortgages with an offset facility had an average outstanding balance of $308,000 which increased by 4.4% over the year to June 2016.

Interest-only mortgages had an average outstanding balance of $335,200 having increased by 4.6% over the past year.

The average outstanding balance on a reverse mortgage has increased by 2.7% over the past year to $97,400.

Low-documentation mortgages had an average

Mortgage Market

14

Fewer new mortgages are being written with a high loan-to-value ratio (LVR) Over the June 2016 quarter, $21.668 billion worth of new mortgage lending was at an LVR above 80%

representing 22.0% of all mortgage lending and an historic low. $24.641 billion of mortgages over the quarter had an LVR of 60% or less, accounting for 25.0% of all new

mortgage lending with the value increasing by 19.2% compared to June 2015. More than half (52.9%) of all new mortgages had an LVR of between 60% and 80% with a total value of

$52.082 billion having fallen by -1.1% compared to the June quarter 2015. $13.467 billion in new mortgages were written over the June 2016 quarter with an LVR of between 80% and

90% which was 6.1% higher than a year earlier and accounted for 13.7% of all new mortgage commitments. A record low 8.3% of all new mortgages had an LVR above 90% over the June 2016 quarter with $8.201 billion

worth of commitments over the quarter. The fall in high LVR lending, which is primarily the result of changed lending regulations from the banking

regulator, APRA, which has seen lenders tighten serviceability requirements and take a more conservative lending approach.

Mortgages with LVRs above 80% also typically incur lenders mortgage insurance (LMI) and a reduction in higher LVR lending means a reduced demand for this product.

$0

$50,000

$100,000

$150,000

$200,000

$250,000

$300,000

Jun 08 Jun 10 Jun 12 Jun 14 Jun 16

Average Outstanding Mortgage Balance

Source: CoreLogic, APRA

outstanding balance of $191,000 which fell by -1.2% over the past year. Other non-standard mortgages have seen their average outstanding balances fall by -2.2% to

$191,900 over the past year.

0.0%

10.0%

20.0%

30.0%

40.0%

50.0%

60.0%

Jun 08 Jun 10 Jun 12 Jun 14 Jun 16

Proportion of Total New Mortgage Lending by Loan to Valuation Ratio Band

Less than 60%60% to 80%80% to 90%Greater than 90%

Source: CoreLogic, APRA

0.0%

5.0%

10.0%

15.0%

20.0%

25.0%

30.0%

35.0%


Annual Change in Total Housing Credit, National

Owner occupierInvestor

Source: CoreLogic, RBA

Housing credit approaches $1.6 trillion The RBA reported that in September 2016, total housing credit was recorded at $1.594 trillion. Total housing credit increased by 0.5% in September 2016 with owner occupier credit rising 0.5% and investor

credit increasing by 0.6% On an annual basis, housing credit has increased by 6.4% with owner occupier credit advancing by 7.3% and

investor credit rising by 4.8%. The 6.4% annual increase in housing credit is the slowest rate of growth since June 2014. Although growth in investor credit is substantially lower over the past year, monthly data shows that it has

accelerated over each of the past five months.

Mortgage Market

15

Residential Real Estate Underpins Australia’s Wealth

Number of dwellings

9.7 million

Outstanding mortgage debt $1.60 trillion

Household wealth held in housing

51.5%

Total sales p.a. 461,416

Gross value of sales p.a.

$269.8 billion Source: CoreLogic, ABS, RBA, ASX

0

5,000

10,000

15,000

20,000

25,000

30,000

35,000

40,000


Quarterly Dwelling Commencements, National

HousesUnits


0

2,000

4,000

6,000

8,000

10,000

12,000

14,000


Monthly Dwelling Approvals, National

HousesUnits


Dwelling approvals remain at historically high levels In September 2016, there were 18,945 dwellings approved for construction. Although dwelling approvals remain at an elevated level, they fell by -8.7% in September 2016 and were -6.4%

lower year-on-year. Over the month there were 9,711 houses approved for construction which was 1.7% higher month-on-month

and -1.9% lower year-on-year There were 9,234 units approved for construction in September 2016 which was -17.5% lower over the month

and -10.7% lower year-on-year Keep in mind that unit approvals tend to be much more volatile than approvals for houses. To put the current construction boom in context, over the five years to September 2011 there were 530,837

houses and 269,145 units approved for construction compared to 540,368 and 459,029 respectively over the past five years.

Housing Supply

17

Dwelling commencements fall over the second quarter of 2016 Over the second quarter of 2016 there were 30,199 houses and 23,887 units that commenced construction. House commencements rose by 6.9% over the quarter to reach their highest level since the March 2010

quarter. Unit commencements fell by -25.2% over the quarter, which was their largest fall since the December 2008

quarter and commencements of units were at their lowest level since the December 2014 quarter. Overall, commencements fell over the quarter however, on an historic basis they remain at very high levels.

0

20,000

40,000

60,000

80,000

100,000

120,000

140,000

160,000

180,000


Quarterly Number of Dwellings Under Construction, National

Houses

Units


Housing Supply

18

Dwelling completions hit a record-high with many more to follow There were 31,324 new houses and 25,311 new units which completed construction throughout the second

quarter of 2016. When you also factor in non-new construction there were a total of 57,025 completions over the quarter. The number of new houses completed during the quarter increased by 15.9% to reach its highest level since

June 2000. Unit completions reached their highest level on record over the quarter and rose by 37.4% from the March 2016

quarter. With a near record pipeline of dwellings currently under construction we would expect that completions will

remain at high levels over the next 18 to 24 months if not longer.

A huge pipeline of housing is currently under construction At the end of June 2016 there were 215,058 dwellings under construction split between: 61,350 new houses,

150,686 new units and 3,022 non-new dwellings. The number of new houses under construction was -3.6% lower over the quarter and at their lowest level since

March 2014. Over the quarter, the number of new units under construction fell by -2.1% however, it was still the second

highest quarterly number of units under construction on record. The number of dwellings under construction which aren’t new (likely to be renovations) increased by 24.6% over

the quarter and were at their highest level since September 2004. Although the pipeline of new construction has fallen a little over the quarter, it remains at historic high levels and

should result in an ongoing high level of completions over the coming quarters.

0

5,000

10,000

15,000

20,000

25,000

30,000

35,000


Quarterly Dwelling Completions, National

HousesUnits


Housing Supply

19

The volume of dwellings approved but not yet commenced construction has also reached a record-high There were 9,185 new houses and 29,713 new units which have been approved but have not yet commenced

construction. The number of new houses not yet commenced increased by 3.8% over the June 2016 quarter. The number of new units not yet commenced rose by 20.0% in June and was at an historic high level having

increased by 20.5% over the past year. With the current construction phase now mature and lenders tightening lending policies, we’d expect that the

heightened level of dwellings approved but not yet commenced will remain high and potentially increase over the coming quarters as pre-sales fail to meet their targets, projects are mothballed or finance becomes harder to secure.

0

5,000

10,000

15,000

20,000

25,000

30,000

35,000

Jun-04 Jun-07 Jun-10 Jun-13 Jun-16

Quarterly Number of Dwellings Approved for Construction but not Commenced, National

Houses

Units


0

50,000

100,000

150,000

200,000

250,000

300,000

350,000

Mar-84 Mar-88 Mar-92 Mar-96 Mar-00 Mar-04 Mar-08 Mar-12 Mar-16

Components of Annual Population Change, National

Natural increase

Net overseas migration


Demographic Overview

20

The national population increased by 1.4% over the year to March 2016 At the end of March 2016, the national

population was estimated to be 24,051,404 persons.

Over the 12 months to March 2016, the population increased by 1.4% or 327,610 persons.

Victoria is experiencing both the greatest increase and the fastest rate of population growth The population of New South Wales increased by 103,241 persons over the past year, a growth rate of 1.4%. Victoria recorded both the fastest rate of population growth over the past year (1.9%) and the greatest overall

increase (114,865) which was also its greatest annual increase since June 2009. In Queensland, the population increased by 61,769 persons over the year which was its greatest annual

increase since December 2014 and a 1.3% annual rate of growth. South Australia’s population increased by 0.6% over the past year with the total population increasing by 9,741

persons its lowest annual increase since December 2004. The population of Western Australia increased by 29,819 persons, its smallest annual increase since December

2004 while the rate of population growth was 1.2%.

0.0%

0.5%

1.0%

1.5%

2.0%

2.5%

Mar-84 Mar-92 Mar-00 Mar-08 Mar-16

Annual Change in National Population


At a national level there are two components of population growth; net overseas migration and natural increase (births minus deaths).

Over the 12 months to March 2016, net overseas migration was recorded at 180,847 persons, an increase of 2.0% over the year

Natural increase was -4.9% lower over the year and recorded at 146,763 persons. In comparison to other countries, Australia’s population is increasing at a rapid pace however, it has slowed

substantially since net overseas migration peaked at 315,687 persons over the 12 months to December 2008.

The recent slowdown in population growth has largely been driven by slowing net overseas migration


21

There was a 2,202 person increase in Tasmania’s population over the past year with the population increasing by 0.4% over the past year.

Northern Territory’s population increased by 0.4% or 960 persons over the 12 months to March 2016.

In the Australian Capital Territory, the rate of population growth was recorded at 1.3% over the past year resulting in an increase in population of 4,989 persons.

The 70,780 net overseas migrants into New South Wales over the past year was the greatest number since September 2009.

Victoria’s net overseas migration of 62,785 persons is the greatest number of migrants for the state since December 2009.

Net overseas migration into Queensland was recorded at 19,407 persons over the past year, well down on the peak of 62,840 in December 2008.

South Australia attracted 9,441 net overseas migrants over the year, its lowest level since September 2011. There were 14,817 net overseas migrants to Western Australia over the year to March 2016 which is

substantially lower than the peak of 56,753 net migrants over the year to September 2012. Tasmania recorded 1,117 net overseas migrants over the year which was the lowest number of overseas

migrants to the state since March 2012. With 626 net overseas migrants over the year to March 2016, Northern Territory had its lowest level of net

overseas migration since December 2003. The Australian Capital Territory had net overseas migration of 1,869 persons over the past year, its lowest level

since June 2014.

0 50,000 100,000 150,000

NSW

VIC

QLD

SA

WA

TAS

NT

ACT

Change in population over the 12 months to March 2016


Overseas migrants are overwhelmingly choosing to settle in NSW or Vic Net overseas migration was greatest over the past

year into New South Wales (70,780 persons) and Victoria (62,785).

In fact, these two states accounted for almost three quarters of all net overseas migration over the year at 39.1% and 34.7% respectively.

-20000

0

20000

40000

60000

80000

100000

120000


Annual Number of Net Overseas Migrants by States and Territory

NSW Vic Qld SAWA Tas NT ACT


-60000

-40000

-20000

0

20000

40000

60000


Annual Number of Net Interstate Migrants by State and Territory

NSW Vic Qld SAWA Tas NT ACT



22

Net interstate migration into Victoria is the highest on record New South Wales recorded a net loss of 10,321 residents over the past year due to interstate migration which

was its greatest net loss since December 2013. Net interstate migration added an additional 14,529 residents to Victoria over the past year, its greatest increase

on record. Queensland gained 10,118 residents over the past year due to net interstate migration which was its largest

annual gain since December 2012. In South Australia there was a net loss of 5,887 residents due to net interstate migration which was the state’s

largest loss since June 1996. Western Australia recorded a net outflow of 5,624 residents over the past year due to net interstate migration

which was its largest loss on record. Over the past year, 21 more residents moved to Tasmania than left and this was the greatest annual increase

from net interstate migration since March 2011. The Northern Territory recorded a net loss of 2,451 residents due to net interstate migration over the past year

which was the smallest outflow of residents since December 2013. Net interstate migration resulted in a net outflow of 385 residents of the Australian Capital Territory over the past

year, the smallest outflow since December 2013.

0%

50%

100%

150%

200%

Jun-90 Sep-93 Dec-96 Mar-00 Jun-03 Sep-06 Dec-09 Mar-13 Jun-16

Ratio of Household and Housing Debt to Disposable Income, National

Household Housing


0.0%2.0%4.0%6.0%8.0%

10.0%12.0%14.0%16.0%18.0%

Nov-90 Feb-94 May-97 Aug-00 Nov-03 Feb-07 May-10 Aug-13 Nov-16

Mortgage Rates for Owner Occupiers

Standard variable Discounted variable 3 year fixed


Household Finances

23

Interest rates remain at historically low levels Official interest rates set by the RBA are currently recorded at 1.5%. For an owner occupier, mortgage rates are currently recorded at: 5.25% for a standard variable mortgage, 4.5%

for a discounted variable mortgage and 4.0% for a three year fixed rate. For investors, current mortgage rates are: 5.5% for a standard variable mortgage, 4.75% for a discounted

variable mortgage and 4.15% for a three year fixed mortgage. Mortgage premiums for investors have only been in place for just over a year. The cost of interest for a mortgage remains at historically low levels.

Household debt is at an historic high, largely due to residential housing The national ratio of household debt to disposable income was recorded at 186.0% in June 2016, up from

180.8% a year earlier. Of this 180.8% ratio, a record-high 131.5% or 70.7% of the total is debt related to housing. The 131.5% ratio is

also at a record high up from 127.8% a year earlier. Breaking out the 131.5% ratio of housing debt to disposable income, the RBA reports that 85.2% of the ratio is

owner occupier debt leaving 46.3% to investors. The ratio of owner occupier debt has fallen from 92.5% a year earlier while the ratio for investors was at a record high up from 35.3% a year earlier.

The chart shows that housing and household debt are both at record highs and trending higher. Lower interest rates appear to have encouraged Australian households to take on more debt, particularly housing debt.

0.0%

1.0%

2.0%

3.0%

4.0%

5.0%

6.0%

Sep-2000 Sep-2004 Sep-2008 Sep-2012 Sep-2016

Annual Change in Wage Price Index, Public and Private Sector, National

Private sector

Public sector


Household Finances

24

While household and housing debt is at record highs the value of these assets relative to household income is at or close to record highs The RBA also publishes ratios of assets to disposable income which shows a ratio of 873.7% for households

and 476.7% for housing. The ratio for households is at an historic high having increased from 857.5% in June 2015 and the ratio for

housing has risen from 469.0% in June 2015 to 476.7% in June 2016. Although households are heavily indebted and hold significant housing debt at a macro level the value of these

assets is substantially higher than the debt. It is important to note that this data is a national snapshot and includes those households that hold no housing

debt. The snapshot being national also masks regional trends which may be substantially different to the national

figures.

Wages are increasing at an historic low rate Over the 12 months to September 2016, the ABS wage price index shows that wages increased by 1.9%. Separating the data into private and public sector wages shows that private sector wages increased by 1.9%

over the year and private sector wages were 2.3%. The ABS has been producing this dataset since late 1997 and the growth in wages for both the private and

public sector is at historically low levels. Lower wages growth impacts on a household’s ability and willingness to spend more, particularly on items such

as rent but it does not appear to be impacting on the growth in housing values.

0%100%200%300%400%500%600%700%800%900%

1000%

Jun-90 Sep-93 Dec-96 Mar-00 Jun-03 Sep-06 Dec-09 Mar-13 Jun-16

Ratio of Household and Housing Assets to Disposable Income

HouseholdHousing


-4.0%

-2.0%

0.0%

2.0%

4.0%

6.0%

8.0%

10.0%

Jun-81 Jun-86 Jun-91 Jun-96 Jun-01 Jun-06 Jun-11 Jun-16

Quarterly and Annual Change in GDP

Quarterly

Annual


National Accounts

25

Australia’s economy continues its expansion The economy grew by 0.5% over the June 2016 quarter to be 3.3% higher over the year. While headline GDP growth was strong, on a per capital basis it was much softer, increasing by 0.2% over the

quarter and 2.0% over the year. While per capita GDP growth was more sluggish, nominal GDP increased by 1.3% over the June 2016 quarter

and was 3.4% higher over the 12 months to June 2016. The total output of the national economy over the 12 months to June 2016 was $1.669 trillion.

Government expenditure and capital formation drives the growth in GDP over the June 2016 quarter Over the June 2016 quarter, the percentage point

contributions to GDP growth were: +0.3% from government expenditure. +0.2% from household expenditure, -0.7% from private capital formation, +0.7% from public capital formation, +0.3% from inventories, +0.3% from exports and -0.5% from imports.

Looking at the annual change in the value of these components: government expenditure rose 4.4%, household expenditure increased 2.9%, private capital formation fell -8.3%, public capital formation rose 13.9%, exports increased by 9.6% while imports declined by -0.5%.

-1.0% -0.5% 0.0% 0.5% 1.0%

Public consumption

Private consumption

Private capital formation

Public capital formation

Investories

Exports

Imports

Contributions to Quarterly Change in GDP, June 2016 Quarter


Household savings were steady over the quarter The National Accounts highlighted that over the

June 2016 quarter, the household savings ratio was recorded at 8.0%.

Household savings were steady over the quarter but lower than the 8.9% over the previous quarter.

The household savings ratio has now been below 10% for 10 consecutive quarters.

Although the household savings ratio remains higher than it was before the financial crisis it has eased from above 10% over the years following the GFC. -2%

0%2%4%6%8%

10%12%14%16%

Jun-81 Jun-86 Jun-91 Jun-96 Jun-01 Jun-06 Jun-11 Jun-16

Household Savings Ratio, National


-7.5% -3.4%

0.6% 1.2% 1.3% 1.5% 1.8% 1.9%

2.9% 3.3%

3.9% 5.7%

-10.0%-8.0% -6.0% -4.0% -2.0% 0.0% 2.0% 4.0% 6.0% 8.0%

CommunicationTransport

Recreation and CultureClothing and Footwear

All GroupsFood and Non-alcoholic Beverages

HousingFurnishings, Household Equipment and…

Insurance and Financial ServicesEducation

HealthAlcohol and Tobacco

Annual Change in the Components of CPI, September 2016


Inflation

26

Headline and core inflation remain weak below the RBAs target range Headline inflation remains stubbornly low despite historically low interest rate settings. Over the September 2016 quarter, inflation rose by 0.7% to be 1.3% higher over the past year. Headline inflation has now been below the RBAs target range of 2% to 3% per annum for eight consecutive

quarters. The RBAs preferred measures of core or underlying inflation; the trimmed mean and weighted median rose by

0.4% and 0.3% over the quarter to be 1.7% and 1.3% higher over the past year. Both core inflation measures have been below the RBAs target range for three consecutive quarters.

Communication and transport costs are falling with alcohol and tobacco and health costs recording the greatest increases Inflation is being dragged lower by substantial annual declines in the cost of communication (-7.5%) and

transport (-3.4%). Recreation and culture (+0.6%) and clothing and footwear (+1.2%) have recorded smaller annual increases

than headline inflation. At the other end of the spectrum, alcohol and tobacco (+5.7%) and health (+3.9%) have recorded large annual

increases. Housing which is the CPI sub-group with the largest weighting has increased by +1.8%. Across the remaining sub-groups the annual increases have been recorded at: 3.3% for education, 2.9% for

insurance and financial services, 1.9% for furnishings, household equipment and services and 1.5% for food and non-alcoholic beverages.

-2.0%

0.0%

2.0%

4.0%

6.0%

8.0%

10.0%


Annual Inflation, National

All groups

Avg of trimmed mean andweighted median

RBA's target range


Inflation

27

Water and sewerage costs falling while other housing costs continue to rise The housing component of CPI has the greatest weighting, reflecting the fact that housing costs tend to

comprise the greatest proportion of household budgets. The only housing expenditure class to record a fall over the past year was water and sewerage, down -1.8%. Costs associated with: rents (+0.7%) and new dwelling purchase by owner occupiers (+1.6%) also rose at a

slower pace than the broader housing sub-group. Electricity (+4.7%) and property rates and charges costs (+4.0%) recorded the greatest increases over the past

year. Across the remaining expenditure classes, the annual increases were recorded at: 2.8% for other housing, 2.6%

for utilities, 2.0% for gas and other household fuels and 1.9% for maintenance and repair of the dwelling.

The Westpac-Melbourne Institute Consumer Sentiment Index was recorded at 101.3 points in November 2016. When consumer sentiment is above 100 points it indicates that consumers are more optimistic than pessimistic. Although sentiment has been at a fairly neutral setting lately, optimism has outweighed pessimism for four

consecutive months, a trend which last occurred in February 2014. Although sentiment has improved, the components of the Index indicate respondents are still more pessimistic

about their family finances over the past year, economic conditions over the next year and over the next five years.

The optimistic components of the Index are around family finances over the next year and whether it is a good time to buy a major household item.

020406080

100120140

Sep-81 Sep-86 Sep-91 Sep-96 Sep-01 Sep-06 Sep-11 Sep-16

Monthly Consumer Sentiment, National

Source: CoreLogic, Westpac-Melbourne Institute

-1.8% 0.7%

1.6% 1.8% 1.9% 2.0%

2.6% 2.8%

4.0% 4.7%

-3.0% -2.0% -1.0% 0.0% 1.0% 2.0% 3.0% 4.0% 5.0% 6.0%

Water and SewerageRents

New Dwelling Purchase by Owner OccupiersHousing

Maintenance and Repair of the DwellingGas and Other Household Fuels

UtilitiesOther Housing

Property Rates and ChargesElectricity

Annual Change in Components of Housing CPI, September 2016


Consumer Sentiment


Conclusion

Although the capital city housing market has seen the rate of value growth slow over the past 12 months, values are still rising at a rate well in excess of household income growth. The elongated nature of the current growth phase has seen affordability deteriorate, particularly for potential first home buyers in Sydney and Melbourne, while on the other hand, lower mortgage rates have significantly improved mortgage serviceability. Although values have been rising for some time, it seems unlikely that declines in values across the combined capital cities, and more importantly Sydney and Melbourne, are imminent. A relative lack of housing stock for sale, low interest rates, strong economic conditions, rapid population growth and a hurried rate of sale is likely to continue to support growth in home values in Sydney and Melbourne over the coming year. While values are anticipated to continue to rise, the rate of value growth is expected to slow from their end of year levels throughout 2017 Across the remaining capital cities, the housing market performances are expected to be linked closely to economic performance and factors such as migration and job creation. Canberra and Hobart have already seen a pick-up in value growth on the back of improving economic conditions in Canberra and an improving tourism sector and migration in Hobart. While values are expected to continue to rise, we don’t necessarily expect much in the way of acceleration from the current levels. Brisbane and Adelaide have continued to see fairly moderate and steady growth in home values over the past year. The local economies have not been particularly strong and subsequent job creation has also been soft. Queensland has started to see early signs of an increase in interstate migration and if this continues then the Brisbane housing market’s value growth performance may accelerate a little. This is possibly being driven by housing affordability relative to Sydney and Melbourne however, without an improvement in the employment market is difficult to see sustained traction leading to more rapid value growth. Values in Brisbane and Adelaide are expected to continue to increase at a fairly moderate pace over the coming year. Housing market conditions in Perth and Darwin have been weak since 2014. Over that time, values in each of these cities have fallen by around 10% from their peak with values continuing to fall over the past year. These cities are seeing their housing markets hindered by weak economic conditions, little job creation and slowing population growth, with residents migrating to other states and territories. It seems unlikely either of these cities will see much of a sign of a turnaround over the coming year however, there are signs that the rate of decline in each of these markets are starting to slow with sales activity rising a little recently. Although our general forecast is that values will continue to rise over the coming year albeit at probably a slower rate, it doesn’t mean that there aren’t potential headwinds for the market.

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Conclusion

The near-record high level of new housing stock under construction, most of which are units, are going to come up for settlement over the coming years (with many settlements next year). Many of these units have been reportedly purchased by offshore investors and over recent months many lenders have tightened their policies to offshore buyers. These changes have meant lower loan to valuation ratios and more scrutiny around these loans. If lenders are unwilling to lend to some of these borrowers we many see an increasing number of settlements fall through. The other factor affecting off-the-plan settlements is the valuation risk. Many buyers purchase a unit and expect a level of value growth throughout construction resulting in the unit upon settlement being worth more than the purchase price. In a number of cities we are seeing unit values increase at a rate which is well below growth in house values. There is also evidence to suggest that in certain cities a relatively high proportion of unit valuations are coming in below the original contract price. If the decline is less than or similar to the deposit amount it is unlikely buyers would walk away, if the difference between contract price and completion valuation grows we may see an increasing number of buyers unable or unwilling to settle their contract. Settlement risk is potentially higher for overseas buyers with domestic lenders now less willing to provide finance due to challenges in verifying income earned overseas. The other risk for the housing market emanates from the rental market. Rental rates are falling across the combined capital cities in the midst of the weakest rental market on record. A lack of income growth coupled with a record level of new housing supply is conspiring to supress rents. At the same time, investor activity in the housing market has been at record high levels lately which ultimately leads to more stock available for rent. As a result of these conditions, there is more stock to rent however, renters have less ability to pay more for rental accommodation. The combination of these factors is likely to supress rents further over the coming year. The specific risk to the broader housing market is a rise in rental vacancy rates and some investors not being able to find tenants for their properties. Their potential options will be to reduce rent in order to find tenants or leave the property vacant. Either of these options will reduce their income and increase the holding costs of these properties. In some instances it may encourage investors to try and sell these properties into a market where record new housing supply is coming online. Overall we expect dwelling values to continue to rise over the coming year, albeit that pace of growth is likely to slow. Although there is an expectation of further value rises, there are clearly some potential risks in the market, most of this risk is coming within the unit market. We are expecting the unit market to underperform relative to detached houses and over the coming year the underperformance of units may potentially increase further.

29


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CoreLogic Indices: The suite of CoreLogic Indices range from simple market measurements such as median prices through to repeat sales indices and our flagship hedonic home value indices. The CoreLogic Hedonic index has been specifically designed to track the value of a portfolio of properties over time and is relied upon by Australian regulators and industry as the most up to date and accurate measurement of housing market performance.

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About CoreLogic

CoreLogic Australia is a wholly owned subsidiary of CoreLogic (NYSE: CLGX), which is the largest property data and analytics company in the world. CoreLogic provides property information, analytics and services across Australia, New Zealand and Asia, and recently expanded its service offering through the purchase of project activity and building cost information provider Cordell. With Australia’s most comprehensive property databases, the company’s combined data offering is derived from public, contributory and proprietary sources and includes over 500 million decision points spanning over three decades of collection, providing detailed coverage of property and other encumbrances such as tenancy, location, hazard risk and related performance information. With over 20,000 customers and 150,000 end users, CoreLogic is the leading provider of property data, analytics and related services to consumers, investors, real estate, mortgage, finance, banking, building services, insurance, developers, wealth management and government. CoreLogic delivers value to clients through unique data, analytics, workflow technology, advisory and geo spatial services. Clients rely on CoreLogic to help identify and manage growth opportunities, improve performance and mitigate risk. CoreLogic employs over 650 people across Australia and in New Zealand. For more information call 1300 734 318 or visit www.corelogic.com.au

30

Granular Data and Analytics Driving Growth in your Business CoreLogic produces an advanced suite of housing market analytics that provides key insights for understanding housing market conditions at a granular geographic level. Granular data is often used for portfolio analysis and benchmarking, risk assessments and understanding development feasibility and market sizing. It gives industry professionals valuable modules which provide essential analytics and insights for decision making and strategy formation within the residential property asset class. We can tailor reports to suit your business requirements. Call us on 1300 734 318 or email us at [email protected] or visit us at www.corelogic.com.au

http://www.corelogic.com.au/








Disclaimers

In compiling this publication, RP Data Pty Ltd trading as CoreLogic has relied upon information supplied by a number of external sources. CoreLogic does not warrant its accuracy or completeness and to the full extent allowed by law excludes liability in contract, tort or otherwise, for any loss or damage sustained by subscribers, or by any other person or body corporate arising from or in connection with the supply or use of the whole or any part of the information in this publication through any cause whatsoever and limits any liability it may have to the amount paid to CoreLogic for the supply of such information. Queensland Data Based on or contains data provided by the State of Queensland (Department of Natural Resources and Mines) 2015. In consideration of the State permitting use of this data you acknowledge and agree that the State gives no warranty in relation to the data (including accuracy, reliability, completeness, currency or suitability) and accepts no liability (including without limitation, liability in negligence) for any loss, damage or costs (including consequential damage) relating to any use of the data. Data must not be used for direct marketing or be used in breach of the privacy laws South Australian Data This information is based on data supplied by the South Australian Government and is published by permission. The South Australian Government does not accept any responsibility for the accuracy or completeness of the published information or suitability for any purpose of the published information or the underlying data. New South Wales Data Contains property sales information provided under licence from the Land and Property Information (“LPI”). CoreLogic is authorised as a Property Sales Information provider by the LPI. Victorian Data The State of Victoria owns the copyright in the Property Sales Data which constitutes the basis of this report and reproduction of that data in any way without the consent of the State of Victoria will constitute a breach of the Copyright Act 1968 (Cth). The State of Victoria does not warrant the accuracy or completeness of the information contained in this report and any person using or relying upon such information does so on the basis that the State of Victoria accepts no responsibility or liability whatsoever for any errors, faults, defects or omissions in the information supplied. Western Australian Data Based on information provided by and with the permission of the Western Australian Land Information Authority (2015) trading as Landgate. Australian Capital Territory Data The Territory Data is the property of the Australian Capital Territory. No part of it may in any form or by any means (electronic, mechanical, microcopying, photocopying, recording or otherwise) be reproduced, stored in a retrieval system or transmitted without prior written permission. Enquiries should be directed to: Director, Customer Services ACT Planning and Land Authority GPO Box 1908 Canberra ACT 2601. Tasmanian Data This product incorporates data that is copyright owned by the Crown in Right of Tasmania. The data has been used in the product with the permission of the Crown in Right of Tasmania. The Crown in Right of Tasmania and its employees and agents: a) give no warranty regarding the data's accuracy, completeness, currency or suitability for any particular purpose; and b) do not accept liability howsoever arising, including but not limited to negligence for any loss resulting from the use of or reliance upon the data. Base data from the LIST © State of Tasmania http://www.thelist.tas.gov.au\

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