property prices

Melbourne and Sydney shed 245,000 in population last year: what does that mean for property prices?

PHOTO: Sydney & Melbourne

Sydney and Melbourne lost 245,000 people last year, which could have long lasting ramifications for the property market in both cities.

Regional Australia grew by 51,000 people in the same time, with the tree and sea change effect going into overdrive since Covid struck.

The pandemic accelerated a trend that has been in place for decades, with work from home and first home buyer subsidies smashing the regional market as people depart from Melbourne and Sydney.

“That pattern has been in place for literally decades,” said Simon Pressley of Propertyology, who compiled the statistics.

“Every single year, even before Covid, more Australians leave our capital cities for different corners of Regional Australia than go the other way.”

“That’s a fact that most people aren’t aware of. Even in the last five years, of which Covid has only been 12 months, 145,000 people net left the capital cities left capitals for regional Australia.”

“Both Sydney and Melbourne, in most years, are the biggest beneficiaries of overseas migration. With international borders closed, they haven’t had that, and in fact, there’s been some people that were originally born overseas but based in Australia who left when Covid arrived.”