The total number of jobs advertised in major Australian newspapers and on the internet fell by a seasonally adjusted 3.0 percent in June to a weekly average of 262,705 per week. This follows a 1.7 percent decrease in May. The total number of ads in June was 6.2 percent higher than 12 months ago. In trend terms the total number of job ads fell by 0.6 percent in June.

The number of job ads in major newspapers decreased by 3.5 percent in June to an average of 16,593 per week. This followed a 13.5 percent decrease in May. Newspaper ads are now 17.9 percent lower than in June 2007. In trend terms, the number of newspaper job ads fell by 2.4 percent to be 15.1 percent lower than a year ago. The fall in newspaper job ads in June was driven by decreases in Victoria, the ACT, Queensland, New South Wales, and the Northern Territory. In contrast, South Australia, Western Australia and Tasmania bucked the trend.

The number of internet job ads fell by 2.9 percent in June to average 246,112 per week. In trend terms, internet job ads continued to fall by a modest 0.5 percent in June, although they remain 11.7 percent higher over the past year.

ANZ Co-Head of Australian Economics Sally Auld, said: “Total job advertisementss have fallen in June, extending the declines we saw in May. In trend terms, we are now seeing a moderation in job advertising in both newspapers and on the internet. This is consistent with the trend easing in employment growth since the start of the year. Employment did fall in absolute terms in May, but given this was the first decline in 18 months, it is unlikely that this foreshadows a sustained downturn in employment. While employment growth should ease modestly over the next six months, we do not expect a significant slowing in labour market activity. Indeed, the risk may be that persistent skill shortages could encourage firms to hoard labour. This should ensure that while labour market conditions soften, the slowdown in employment growth and the rise in the unemployment rate will be reasonably measured.”

“On a state by state basis, Western Australia and South Australia both experienced moderate gains in newspaper job ads in June, consistent with a plateauing of job ads in those states. While Tasmania experienced strong growth in the month, the data are historically volatile due to the relatively small number of ads in the state.”

The Adelaide rental market has stabilised a little going into the winter months with a vacancy rate of 1.68 percent for the month of May, the Real Estate Institute of SA (REISA) said today. REISA President, Robin Turner, said April’s lower-than-expected vacancy had predictably balanced out in May with supply marginally exceeding demand.

“Anecdotal evidence from property managers out in the field states tenants are being more selective in their search for properties as the market eases for winter,” Mr Turner said. “This is forcing some landlords to reassess their asking price at a time when they are least keen to do so, as interest rates sit at decade-long highs.”

Mr Turner said Adelaide’s median rental price for houses was $265 per week so anything around this mark was more highly sought after.

“Suburbs to the north and south of the city have retained their low vacancy this month due to their affordability, and the significant transport infrastructure announcements in these areas in the recent State Budget are good news for the long-term sustainability of these regions.”

The REISA vacancy rate survey is broken down into six main areas. The parameters and statistics for May 2008 were:

• City – All city and North Adelaide only – 2.23%
• West – Suburbs west of West Terrace, between Port Road and Anzac Highway *excluding Glenelg suburbs – 2.04%
• South – Suburbs south of South Terrace, between Glen Osmond Road and Anzac Highway *including Glenelg suburbs – 1.39%
• East – Suburbs east of the city square, between Payneham and Glen Osmond Roads, excluding the Hills area – 2.08%
• North – Suburbs north of North Adelaide, between Port and Payneham Roads, turning into Lower North East Road – 1.41%
• Hills – Suburbs from Crafers to Nairne – 0.00%

The total number of jobs advertised in major Australian newspapers and on the internet fell by 1.7 percent in May to a weekly average of 270,751 per week. This follows a 3.1 percent increase in April. The total number of ads in May was 9.5 percent higher than 12 months ago. In trend terms the total number of job ads was static.

Looking at the different channels for advertising jobs, the number of job ads in major Australian newspapers decreased by 13.5 percent in May to an average of 17,196 per week, the largest monthly decline in almost eight years. This followed a 16.1 percent increase in April. Newspaper ads are now 16.0 percent lower than in May 2007. In trend terms, the number of newspaper job ads fell by 1.9 percent to be 11.5 percent lower than a year ago. The fall in newspaper job ads in May was driven by decreases in every state.

In seasonally adjusted terms, newspaper job ads have been unusually volatile in the last few months. However, in trend terms we have seen modest declines in each of the last eight months.

The number of internet job ads fell by 0.7 percent in May to average 253,554 per week. In trend terms, the rate of growth in internet job ads continued to slow, growing a modest 0.2 percent in May and 16.1 percent over the past year.

ANZ Co-Head of Australian Economics Sally Auld, said: “Total job advertisements have fallen in May, although this followed a rise in April. This is consistent with our view that job advertisements have plateaued in the first half of this year. In trend terms we are seeing a loss of momentum in job advertisement growth. This indicates that we may see a modest slowdown in monthly employment growth in coming months.”
“While the slowing in job advertisements growth is consistent with some of the weaker partial activity data we have seen across the economy in recent months, we think this reflects caution on the part of employers about hiring new staff. Tighter credit conditions and uncertainty about the global economic outlook may also be negatively impacting business hiring intentions.”

Manpower Inc. has released the results of its third annual talent shortage survey, revealing that 31 percent of employers across the globe are finding it more difficult to fill jobs. “This year, the most significant finding is that the percentage of employers in the Americas having trouble filling positions has dropped more than half compared to last year,” said Jeffrey A. Joerres, CEO of Manpower Inc. “This dramatic decrease is a reflection of the recent downturn in the U.S. economy. However, the talent crunch is still a very real concern.”

The top ten workers most in-demand by country are:

United States

1. Engineers
2. Machinists/Machine Operators
3. Skilled Manual Trades (primarily welders or carpenters/joiners)
4. Technicians
5. Sales Representatives
6. Accounting & Finance Staff
7. Mechanics
8. Labourers
9. IT Staff
10. Production Operators

The percentage of employers surveyed in the USA indicating that they are having difficulty filling positions was down from 41% in 2007 to 22% this year.

Canada

1. Skilled Manual Trades (primarily carpenters/jointers, welders or electricians)
2. Sales Representatives
3. Engineers
4. Accounting & Finance Staff
5. Labourers
6. Nurses
7. Teachers
8. Drivers
9. Machinists/Machine Operators
10. Secretaries, PAs, Administrative Assistants & Office Support Staff

The percentage of employers surveyed in Canada indicating that they are having difficulty filling positions was down from 36% in 2007 to 31% this year.

Australia

1. Skilled Manual Trades (primarily electricians, carpenters/joiners, or welders)
2. Engineers
3. Sales Representatives
4. Accounting & Finance Staff
5. Drivers
6. Technicians
7. Labourers
8. Secretaries, PAs, Administrative Assistants & Office Support Staff
9. Mechanics
10. Management/Executives

The percentage of employers surveyed in Australia indicating that they are having difficulty filling positions was down from 61% in 2007 to 52% this year

New Zealand

1. Sales Representatives
2. Skilled Manual Trades (primarily carpenters/joiners or electricians)
3. Engineers
4. Accounting & Finance Staff
5. IT Staff
6. Labourers
7. Technicians
8. Secretaries, PAs, Administrative Assistants & Office Support Staff
9. Management/Executives
10. Production Operators

The percentage of employers surveyed in New Zealand indicating that they are having difficulty filling positions was down from 62% in 2007 to 47% this year

Spain

1. Technicians
2. Skilled Manual Trades (primarily electricians, masons, welders or bricklayers)
3. Management/Executives
4. Accounting & Finance Staff
5. Production Operators
6. Labourers
7. Drivers
8. Secretaries, PAs, Administrative Assistants & Office Support Staff
9. Mechanics
10. Engineers

The percentage of employers surveyed in Spain indicating that they are having difficulty filling positions was down from 33% in 2007 to 27% this year

The majority of recent migrants are finding work in Australia, according to figures released today by the Australian Bureau of Statistics (ABS). Over two-thirds (68%) of recent migrants (those who have arrived in the last ten years) were employed in November 2007, compared to 66% for people born in Australia. Over half (54%) of the migrants who had a job at some time since arriving in Australia already had a job arranged before arrival, or had one within 3 months of arrival.

However, just over one-third (36%) reported some difficulties finding their first job - the most common being ‘lack of Australian work experience or references’, ‘language’, and ‘lack of local contacts and networks’. Migrants from main English-speaking countries were more likely to have a job than those born in other countries (88% compared to 76%).

Of the migrants with permanent residency, most (90%) were between 15 and 44 years old when they arrived in Australia; their main visa types were skilled visa (49%), family visa (37%) and humanitarian visa (12%). For temporary residents, the main visa type was student (57%), followed by business (20%).

Since 1998, a total of 1.1 million people aged 15 years or older have arrived in Australia - or around 7% of Australia’s population aged 15 years and over. Over half (57% or 647,000) of these people have obtained permanent resident status and a quarter (25% or 285,100) were temporary residents who planned to stay in Australia for 12 months or more.

Just under one-third (30%) of recent migrants and temporary residents had obtained Australian citizenship.

Perth’s median house price reached an all time record in December, passing $474,000 at the end of last year according to last minute sales data trickling into the Real Estate Institute of Western Australia. However, official REIWA data for the March quarter shows the Perth median house price has since retracted by around $14,000 to $460,000.

REIWA President Rob Druitt said this correction was just part of the market consolidation phase after the boom of the last few years and that the current market provided real opportunity for buyers.

“There are now almost 18,000 properties on the market and whilst prices have come down the outlook for interest rates and inflation remains uncertain. That said, there are many potential buyers who are waiting and watching for the right time to buy, and now thinking about making their move,” Mr Druitt said.

Mr Druitt said the strong population growth in Western Australia was creating significant pent up demand for housing, with many potential buyers in the market keen to secure a home of their own.

The dip in prices and recent stamp duty cuts announced by the State Treasurer would be a strong impetus for would-be buyers to emerge through the winter.

Rents

“REIWA data are also showing that rents maintained their double digit annual growth during March, to a new median price of $310 per week for units and $335 per week for houses. The upward pressure on rents is also causing many would-be buyers to have another look at purchasing,” Mr Druitt said.

Perth’s tight vacancy rate for rental property continues, but is not as dire as this time last year when it plummeted to 0.8 per cent. The current vacancy rate is 1.4 per cent, although Mr Druitt was confident this would ease over coming months.

“Many investors trying to sell right now will find it difficult with so much competition in the market. So, it seems likely that many owners will decide against selling and instead turn their property over to the rental market for another year or two. This should prove a great boost to the rental system, offering more choice for tenants and helping moderate rent increases,” Mr Druitt said.

Regions

While metropolitan Perth experienced a decline in the March quarter, many regional areas saw good growth and a return of buyer confidence.

“After three quarters of negative growth, the Mandurah-Murray region bounced back with a 6.9 per cent lift, perhaps a reflection of the positive benefits of the new city-link train line.

“Whilst prices have remained stable in Greater Bunbury , Geraldton-Greenough and Kalgoorlie-Boulder’s median house price experienced solid growth of 6 and 11 per cent respectively,” Mr Druitt said.

Summary

Mr Druitt said with the way the June quarter is unfolding he expected further local price corrections as the build up of properties for sale washes through, and that there was likely to be only small gains in overall price through to the end of the year.

“It’s hard to escape the fact that significant pent up demand from buyers is just waiting to be unleashed. A strong economy generating strong population growth means there is increasing numbers of people all needing a place to live. Particularly now that the market is correcting, prices are coming down and affordability is improving despite some uncertainty on interest rates. Coupled with the recently announced stamp duty cuts taking effect in July, we will likely see new buyer activity pick up through late winter and into spring,” Mr Druitt said.

Australia’s economy cannot continue to grow without a lot more skilled migrant workers, Immigration Minister Chris Evans said. In a report from The Age, Senator Evans has warned of an ageing Australian population and a range of industries that may not find enough skilled workers to enable their businesses to grow.

“So there is a huge demand. We will meet it by upskilling our own people, but we have got to make sure we have got strong skilled migration as well if we are going to grow,” the senator said. “We will be investing an awful lot in the education revolution and skilling our own people. But the reality is we have an ageing population. Unless we have migration we are not going to be able to grow our workforce.”

Under a proposed revised immigration program, Australia will substantially increase its intake of migrants, particularly those with necessary skills. That includes 190,300 in the permanent migration stream, 56,500 in the family stream and about 50,000 in the temporary skilled migration program, giving a total of more than 300,000. This would be the biggest yearly increase since the launch of the immigration program in the 1940s.

Senator Evans said for the first time last year the Australian workforce grew more from imported labour than from Australians taking new jobs. “We have got to have skilled migration to grow the economy. At the moment there is a real constraint on our capacity to grow because we just don’t have enough workers,” he said.

Senator Evans said there were significant skilled vacancies in the growth states, and there was a challenge to better connect those coming into Australia with areas where there were jobs. “We don’t want them all flocking into Sydney,” he said. “We actually want them going to Queensland, Western Australian and South Australia where there is huge demand for skills that they can’t find elsewhere.”

Queensland’s population continues to grow by some 1,200 residents per week thanks to overseas and inter-state migration. And while it’s well known that population growth is a major contributor to a healthy economy and solid property market, according to the Real Estate Institute of Queensland (REIQ) so too is the number of people moving intrastate from one part of Queensland to the other.

A Queensland State Government report released earlier this week, based on the Australian Bureau of Statistics 2006 Census, found that Queensland’s overall population has continued to swell at historic rates of more than 60,000 a year due to interstate and overseas migration.

And analysis of the 2006 Census by the REIQ has also found that 1.3 million moved within Queensland between 2001 and 2006 - making up 74 per cent of all Queensland’s migration.

“While interstate and overseas migration adds to the overall population, it is the migration within Queensland which has the greater impact on the overall distribution of the population,” REIQ managing director Dan Molloy said. “This in turn impacts on each region’s local amenities, housing, infrastructure, and labour force. As each of these economic factors improves to meet the needs of a growing population, it can also serve to attract more people to the area.”

Given their larger population bases, it is little surprise the analysis found Brisbane and the Gold and Sunshine coasts taking out the top three places for intrastate migration.

Brisbane
Over the five years to 2006, about 760,000 people - or 44 per cent of total Queensland migration - moved to or around the Greater Brisbane area. The most popular place proved to be the outer north-west suburbs such as Forest Lake, Upper Kedron, Moggill, and Doolandella where about 100,000 people moved to or around from within Queensland over the period. Southeast outer suburbs and north-west inner suburbs were the next most popular for intrastate migration.

Gold Coast
On the Gold Coast, it was the western suburbs that were the most popular with more than 80,000 people migrating to or around the area from within Queensland.

“People often assume that the coastal strip or eastern suburbs would attract the most new residents. However, it is no doubt the relative affordability and greater variety of properties and amenities available in the western suburbs and hinterland which draws the attention of people moving to the Gold Coast,” Mr Molloy said.

Sunshine Coast
The Sunshine Coast’s coastal strip retains its third popular place with about 75,000 people moving to or around the area from intrastate in the five years to 2006.

Wide Bay-Burnett
Fourth on the list for highest intrastate migration was the Wide Bay-Burnett region, which became home to about 45,000 new residents migrating from other parts of Queensland.

“The Wide Bay-Burnett region continues to be a popular migration destination given its relative affordability and the lifestyle it offers,” Mr Molloy said.

Darling Downs
The Darling Downs rounds out the top five list with nearly 80,000 people moving to or around the region over the five years. About 60,000 of these new residents came from other parts of Queensland.

“People continue to see the Darling Downs as an ideal place to call home for both the local amenities and good employment options. With house prices still well below $300,000 in most of the region’s towns, it is unlikely that its popularity will wane any time soon.”

The total number of jobs advertised in major Australian newspapers and on the internet increased by 3.1 percent in April to an average of 275,390 per week. This follows a 0.7 percent fall in March. The total number of Australian job ads in April is 20.8 percent higher than 12 months ago.

Looking at the different channels for advertising jobs, the number of job ads in major Australian newspapers rose by 16.5 percent in April to an average of 19,934 per week. This followed a 10.5 percent drop in March. However in trend terms, the number of newspaper job ads fell by 1.3 percent, to be 7.7 percent lower than a year ago.

The recovery in newspaper job ads in April was reflected in every state. Queensland’s rise was the largest monthly increase since April 2002.

The number of internet job ads increased by 2.2 percent in April to average 255,456 per week. In trend terms, internet job ads increased by 0.4 percent to be 20.0 percent higher than a year ago.

ANZ Deputy Chief Economist, Mr Tony Pearson, said: “The increase in job ads in April follows two months of declines. In broad terms the total number of job ads is now back to the levels of January this year, pointing to a plateauing of job ads in the early months of 2008 after consistent growth through 2007. This slowing in momentum is supported by trend data, which show a slowing in the trend rate of growth over the past five months. We would expect this to foreshadow a slowdown in the monthly trend rate of growth in employment “

Sydney still can’t compete with Melbourne when it comes to shopping, according to a new poll. Melbourne has beaten Sydney again in an Australian national survey to be crowned the premier shopping destination in Australia for the second year running.

The annual Shop Til You Drop magazine survey of 3,000 shopping enthusiasts found that 73% viewed Melbourne as the best shopping area in Australia, compared with 23% who thought Sydney was better. Brisbane was third, followed by Perth, the Gold Coast and Adelaide.

Shop Til You Drop deputy editor Danielle DeGail said Melbourne offered an experience that other cities couldn’t match.

And, it had many more fashion precincts such as Chapel Street, South Yarra, Flinders Lane - in the city - but also new up-and-coming areas such as High Street, Armadale, she said. “Melbourne is still seen as the fashion capital because there’s so many boutiques there and lots of different areas,” Ms DeGail said. “It has really got a bit of an international feel, in the little lanes you could almost be in Rome, but you’re in Melbourne.”

Metropolitan house prices have continued to rise in the March quarter but the future is looking brighter for first-time buyers as the growth shows signs of easing. The median house price for metropolitan Adelaide is now $362,500 according to official March quarter data, which is a quarterly rise of 2.11 percent and a 19.4 percent jump from 12 months ago.

REISA President Robin Turner said the slower rate of quarterly growth was good news for people trying to enter the market. “The affordability issue has been in the spotlight in recent months and while the median house price has risen again, it was at a much slower rate which indicates relief for aspiring homebuyers,” Mr Turner said. “These figures reflect the anecdotal evidence we’ve been hearing from agents out in the field who are saying sale volume and prices have started to ease as a result of the two interest rate rises earlier this year.”

Mr Turner said despite this expected slow-down, investors were still well placed in the Adelaide market due to its affordability. “The positive thing about Adelaide is that for existing homeowners and investors, history shows that there is rarely any backwards movement so their assets are still in good shape,” he said. “Affordable areas are still going well and will sustain the property market over the next few months.

Adelaide Top Performing Suburbs Median House Prices
March Quarter 2008

assumed exchange rate $1.00 = £0.48

March 2008 Quarter Housing Data from homepriceguide.com.au showed a significantly slower than expected start to the Australian 2008 property market in all state capitals:

Sydney
Sydney house values recorded no change for the March quarter despite 5 per cent growth over the
previous 12 months. Apartment values eased significantly, by 2 per cent, over the March quarter.

Canberra
Canberra house values recorded no change for the March quarter despite 10 per cent growth over
the previous 12 months. Thgere was a decline of 3 per cent in apartment prices - the most significant drop in a decade.

Melbourne
Melbourne experienced heavy slow down in price growth, despite an 18 per cent increase in values
in the previous 12 months. No change in values was recorded for either houses or units in the March quarter, suggesting the prospect of a sluggish year ahead.

Brisbane
Brisbane house values increased by 2 per cent in the march quarter, compared to 18 per cent growth over the previous 12 months. There was a decline of 2 per cent in apartment prices.

Adelaide
The heat is rapidly coming out of Adelaide’s property market, despite 20 per cent increase in values
for houses and units in the previous 12 months. House values grew by a subdued 3 per cent and unit values grew a modest 1 per cent for the March quarter.

Perth
Perth property market recorded flat growth for houses and units for the March quarter. A decline of 10 per cent or more is forecast for some Perth suburbs.

Median House Prices
March Quarter 2008

The Real Estate Institute of Victoria March quarter median prices confirm that the four successive interest rate increases over the last 8 months has had an impact on Melbourne house prices.

REIV CEO Enzo Raimondo said that the median price for a detached home in Melbourne in the March quarter is now $432,500, down 8.4 per cent from the December 2007 median of $472,250.

“Increasing interest rates, coupled with the changing economic conditions have affected confidence, transaction numbers and clearance rates all of which have combined to cool the market since the beginning of 2008. The first three months of 2008 has seen the residential property market return to a stable and sustainable level. It appears that the greatest impact has been in the more expensive suburbs of Melbourne during the quarter.”

This is highlighted by the fact that the most of the suburbs with the highest growth rates for the quarter are not in the inner city. For instance Berwick’s median increased by 13.6 per cent, Moonee Ponds by 8.3 per cent, Ringwood by 6.4 per cent and Pascoe Vale whose median increased by 6 per cent.

Regional Victorian centres have defied the trend in Melbourne over the quarter. Ballarat’s median increased by 2.1 per cent to $239,950, Bendigo’s increased by 5.3 per cent to $240,000, Geelong’s fell by 0.8 per cent to $325,000.

“It appears the RBA’s strategy has had the desired effect on residential property and any further increases should not be necessary in the short term,” Mr Raimondo concluded.

The uncertain interest rate environment over recent months in Australia has done little to improve housing affordability, especially for first home buyers. And while many economists are now tipping rates to remain steady, buying a first home still remains a daunting prospect.

According to the Real Estate Institute of Queensland (REIQ), while there are no short-term solutions to the current under supply of affordable housing in Queensland though Government housing affordability initiatives are all steps in the right direction.

“Buying your first home has never been easy; however there is evidence that a number of first home buyers are buckling down and finding a way into the market by buying in more affordable areas, investing in a unit or townhouse or buying with friends or family,” REIQ managing director Dan Molloy said.

REIQ figures show that the highest number of house sales in Queensland last year was in a suburb with a more affordable price tag. During 2007, there were more than 900 house sales - the most in the State - in Forest Lake, which also happens to have a median price of $355,000, about $100,000 less than the Brisbane median.

Other top selling suburbs across the State were Kirwan in the former Thuringowa shire with a median house price of $355,000; Kallangur in the former Pine Rivers shire at $311,950; and Deception Bay in the former Caboolture shire at $292,500.

“REIQ figures also show that 28 per cent of all house sales last year were for under $300,000 so it seems many people are reading the current economic signals and being more cautious about how much they spend on their first home,” Mr Molloy said.

The three most affordable suburbs in 10 out of 13 major regional centres across Queensland all had median house prices under $300,000 for the year ending December 2007, according to the REIQ. Mr Molloy said buyer demand had eased since Christmas in most Queensland residential property markets.

“There are signs that the market is returning to historical levels of enquiry and sales following last year’s very strong demand and price growth,” Mr Molloy said. “This has translated to an increase in stock levels. Consequently as buyers are being more selective, days on market have increased.”

The total number of jobs advertised in newspapers and on the internet declined by 0.7 percent in March to an average of 267,041 per week. This follows a 2.1 percent fall in February. The total number of advertisements in March remains 20.8 percent higher than 12 months ago.
Looking at the different channels for advertising jobs, the number of job ads in newspapers dropped by 10.5 percent in March to an average of 17,115 per week, the lowest number since October 1993. This followed a 0.1 percent drop in February. In trend terms, the number of newspaper job advertisements fell by 3.0 percent, to be 8.7 percent lower than a year ago.
The weakness in newspaper job advertisements in March was reflected in every state. New South Wales (-4.7%), Victoria (-6.2%), Queensland (-6.4%), South Australia (-10%), Western Australia (-7.2%), Tasmania (-13.3%) and the Australian Capital Territory (-10.4%) all experienced falls. The Northern Territory (-31.1%) experienced its largest monthly fall on record. In New South Wales, the number of newspaper job advertisements (4,835) is the lowest since December 1983, while in Victoria (3,750) the level is at its lowest since June 1993.
The number of internet job ads increased marginally by 0.1 percent in March to average 249,926 per week. In trend terms, internet job advertisements increased by 0.6 percent to be 24.1 percent higher than a year ago.
ANZ Head of Australian Economics, Mr Tony Pearson, said: “Total job advertisements have fallen for two months in seasonally adjusted terms. Trend monthly growth, which is a more reliable guide to movements in employment, has now been declining for four months and is at its lowest level since mid 2003. It is beginning to look as if employers’ demand for new recruits now waning after an extended period of very strong demand for labour. This is consistent with other indicators of economic activity which suggest domestic demand is now in the process of moderating under the weight of higher interest rates, lower share prices, and heightened concerns over decelerating global growth and global financial strains.”
“By region, signs of easing are now apparent in all states and territories with the strongest declines evident in Western Australia and Queensland,” Mr Pearson said.

The Adelaide rental vacancy rate has remained stable over the past month while the number of tenants in the market eased, the Real Estate Institute of South Australia (REISA) reports.

REISA President Robin Turner said metropolitan Adelaide recorded a vacancy rate of 1.8 percent in the month of March – down from 1.9 percent in February but up from 0.9 percent this time last year.

“Anecdotal evidence from property managers indicates that tenant demand for rental properties in Adelaide has levelled off in recent months as a result of higher rental prices,” Mr Turner said. “However, there are still a lot of high quality tenants in the market at the moment ready to snap up the right property when it’s listed.”

Mr Turner said the supply and demand in the local rental market had balanced out this year after Adelaide experienced extremely tight conditions in 2007.

“Properties that are in high supply – such as units and apartments in the city and Glenelg areas – have recorded higher vacancy rates in March and tend to be seasonal in demand,” he said. “These conditions offer a balance in the rental market for both investors and renters, but with the right price and location, any property will let.”

The REISA vacancy rate survey is broken down into six main areas. The statistics for March 2008 were:

• City – All city and North Adelaide only –4.03 percent
• West – Suburbs west of West Terrace, between Port Road and Anzac Highway– 1.90 percent
• South – Suburbs south of South Terrace, between Glen Osmond Road and Anzac Highway, including Glenelg suburbs – 2.14 percent
• East – Suburbs east of the city square, between Payneham and Glen Osmond Roads, excluding the Hills area – 1.64 percent
• North – Suburbs north of North Adelaide, between Port and Payneham Roads, turning into Lower North East Road – 1.15 percent
• Hills – Suburbs from Crafers to Nairne – 1.49 percent

Adelaide Top Performing Suburbs For Weekly Rents
March Quarter 2008

assumed exchange rate $1.00 = £0.48

Perth experienced a fall of almost 3 per cent on the median house price for the March quarter, according to figures released by the Real Estate Institute of Western Australia. The data shows a fall of 2.7 per cent on the median price, pulling it down from $470,000 at the end of last year to around $457,000.

REIWA President Rob Druitt said the retraction in price was caused by a combination of factors including interest rate rises, a drop in overall consumer confidence and a record number of listings now on the market. “Some of this price reduction can be attributed to a small increase in the number of properties being sold at the more affordable end of the market at the expense of premium sales which have slowed. This has skewed the results a little,” Mr Druitt said.

“More importantly, given the flatness in much of the local real estate market following the boom, many investors are withdrawing from Perth property and putting their homes up for sale. This has seen the number of listings grow from around 5,000 to more than 17,000 in just 18 months, flooding the market with choice and giving buyers more competition and more leverage in negotiating on price,” Mr Druitt said.

The REIWA data shows listings have reached 17,600 properties up for sale, including more than 2,400 blocks of residential land, many of which are likely being offloaded by speculators. Mr Druitt said the overall number of selling days had also increased, stretching by six days to 71 days, between a home being listed and a contract for sale being secured.

Mr Druitt said that despite the record number of listings, he was confident the pent up demand from would-be buyers would soak up much of the excess throughout 2008.

“As the population continues to swell on the back of a strong economy, many people have been keenly waiting and watching for the right time to buy. Now, with interest rates on hold and possibly coming down shortly, and property prices rationalising to a more afford able level, we are likely to see some renewed buyer activity in the market. However, until we see a return in buyer confidence we are unlikely to see any significant price growth in the Perth market,” Mr Druitt said.

Data showing that population growth in the Richmond-Tweed region has been faster than any other part of New South Wales in the past two years is evidence that Australians are prepared to move in search of a better lifestyle according to the Real Estate Institute of New South Wales (REINSW). It also accords with the latest property prices released by the Institute, which show house prices in the area grew 11 percent in the last quarter - among the highest of any regional location.

Recent ABS figures show population growth in the region outstripped the rest of NSW in 2006-2007 to record a 1.3 percent increase. Sydney - the destination of the booming numbers of migrants coming to Australia - grew 1.1 percent, the highest figure since 2000-2001.

“The jump in the Richmond-Tweed area is due to more than natural growth,” said REINSW President Steve Martin. “The NSW-Queensland coast has always been associated with an enviable lifestyle.

“People are drawn to the area by the beaches, beautiful weather and the increasing employment opportunities offered in the Byron Bay area and across the border on the Gold Coast. Our agents tell us that homes that were selling for $350,000 two years ago are now going for around $100,000 more.”

“Part of the reason for the growth has been the opening of the eight lane highway linking northern NSW with the Gold Coast. As the numbers show, people now see the opportunity to pack up their old lives and move north in the expectation that they will be within reasonable access to jobs.”

“If there are any problems with this region it is that there is a shortage of land available for property development so demand is exceeding supply.”

Living the good life next door to a golf course, and the allure of waterfront property, help explain the top performing suburbs in Queensland last year. The latest Real Estate Institute of Queensland (REIQ) figures show that when it came to house price growth in 2007 you couldn’t go past the Brookwater golf community. Median house prices in the Ipswich suburb increased 62.8 percent to $590,000 (£270,500) in the 12 months to the end December.

“While Brookwater’s median over the year was affected by varying quality of stock sold - including new properties - the result reflects the desire of many people to live in a new suburb close to all facilities, and of course, the Greg Norman-designed golf course doesn’t hurt either,” REIQ chairman Peter McGrath said.

Coming in at number two for houses was Calliope, 20km Southwest of Gladstone, with its median up 56 percent to $352,500 (£161,500). The suburb is benefiting from its seaside location as well its proximity to resource-rich regions.

Number three was Pioneer in Mt Isa - the top performer last quarter - with a median house price increase of 53.7 percent to $315,000 (£144,500) in the 12 months to the end of December. Together with other mining suburbs in the Top 10, Pioneer continues to perform well due to the strength of Queensland’s resources sector.

When it comes to units and townhouses, six of the top 10 performing suburbs for last year were located in Noosa. While this can be partly attributed to the number of waterfront properties sold as well as new developments it just goes to show that you just can’t beat prime locations.

Top of the Noosa, and Queensland, performers was Peregian Beach - located south of the busier, pricier Noosa Heads - with its median unit and townhouse price increasing 98.7 percent over the year to $377,500 (£173,000).

“While the number of new properties and waterfront properties sold helped Peregian Beach come out on top, it is benefiting from its coastal location and a median price substantially lower than the more famous Noosa Heads.”

Number two for units and townhouses in Queensland was Milton, an inner city suburb of Brisbane. The suburb’s median increased by 90.4 per cent to $695,000 (£319,000) over the year due to a number of new properties and properties with water-views sold over the period.

And rounding out the top three for units and townhouses was Eagleby, previously in the Gold Coast, but now part of the Logan Shire. The suburb’s median is up 88.8 percent to $260,500 (£119,500). With housing affordability continuing to decline, Eagleby is continuing to benefit from its extremely affordable price tag.

Real Estate Institute of Victoria CEO Enzo Raimondo said that the rental vacancy rate in Melbourne had dropped below 1 per cent for the first time on record in February. “A rental vacancy rate of below 1 per cent is unprecedented and it increases the urgency for governments to take action to increase public and private investment in rental stock.”

Across Melbourne there are 447,074 rental homes and a 0.9 per cent vacancy rate means around 4020 properties are vacant. Within 4 km of the CBD it is even worse with a mere 0.5 per cent of rental homes vacant.

“We believe that a balance between supply and demand is found with a vacancy rate of around 3 per cent. The fact is that inadequate supply of rental properties is pushing rents up,” Mr Raimondo said.

“This shows that it is time to increase financial incentives to private investors and increase the amount of housing that is available. The Federal Government has taken a good first step with its subsidy for affordable rental properties and we would welcome the State Government playing a strong role to help fix the problem as well. This is a serious concern, especially for people that are looking for suitable accommodation and we would request that government’s take immediate action to alleviate this problem,” Mr Raimondo said.

Australia’s capital cities experienced strong population growth in the 12 months to 30 June 2007, according to population estimates released by the Australian Bureau of Statistics (ABS). The population growth rate for all capital cities combined in 2006-07 was the highest recorded for several years. The total population of all capital cities grew by 1.6 percent in 2006-07, compared to an average growth of just 1.3 percent for the five years to June 2007.

Melbourne experienced the largest population growth of all Australian capital cities, increasing by 61,700 people in 2006-07, followed by Sydney (52,000 people). The fastest growing capital city was Darwin (2.6 percent).

Fast growth in inner cities

The inner city of Perth was the fastest growing of all with a 9.1 percent increase in population during 2006-07. Other inner-city areas to grow significantly were Melbourne and Adelaide.

Growth along the coast

Excluding capital cities, the most prominent population growth in 2006-07 continued to be along the coast of Australia. Costal Queensland continued to experience large growth, particularly the Gold Coast.

Developments associated with the resources sector may have contributed to the four fastest growing coastal areas in Australia, these being Ravensthorpe, Capeland Broome in Western Australia and Weipa in Queensland.

State/Territory highlights

New South Wales
The state’s 2006-07 growth rate of 1.1 percent was its highest since 2000-01. Sydney grew by 52,000 people in 2006-07. Outside of Sydney, the fastest growth rates occurred along the New South Wales coast in Richmond-Tweed and Hunter.

Victoria
Melbourne’s growth of 61,700 people was the largest of all the Australian capital cities 2006-07. The fastest growing areas were Wyndham and Melton in the outer suburbs of the Melbourne and inner city Melbourne. Outside Melbourne the fastest growing areas were Surf Coast, Mitchell and Bass Coast.

Queensland
The population of Brisbane surpassed the population milestone of one million during 2006-07, to reach 1,010,000. Of all suburbs in Australia with a population greater than 2,000 as at 30 June 2006, the three fastest-growing were in Brisbane, namely Wakerley (22.0 percent), City-Inner (21.2 percent) and Griffin-Mango Hill (20.2 percent). Gold Coast recorded the largest population increase of all local areas in Australia, up 17,200 people. The mining town of Weipa continued to be Queensland’s fastest-growing non-city area.

South Australia
South Australia’s growth of 16,300 people in 2006-07 was its largest since 1974-75. The inner-city of Adelaide had the fastest population growth 2006-07. Whyalla recorded its largest annual population increase (280 people) for more than 30 years.

Western Australia
Western Australia had the fastest population growth of the states and territories of Australia in 2006-07. The inner-city of Perth had the fastest population growth in the Perth. Rapid growth in the Kimberley, Pilbara and South Eastern districts can be partly attributed to development associated with the expansion of the resources sector in these districts.

Tasmania
Tasmania’s resident population grew by 0.7 percent in 2006-07 as it had in the previous two years.
The Greater Hobart-Southern region increased its share of the state’s population, while the share in Mersey-Lyell SD continued to decline. Brighton, Sorrell and Latrobe were the fastest-growing areas in Tasmania for the second year running.

Northern Territory
Darwin was the fastest-growing capital city in Australia in 2006-07. Palmerston recorded the largest growth of all Northern Territory areas.

Australian Capital Territory
The population of the Australian Capital Territory increased by 5,600 people in 2006-07, which was its largest annual increase since 1990-91. Population growth was largest in the northern suburban fringes of Canberra, particularly in Harrison and Gungahlin.

The total number of Australian jobs advertised in newspapers and on the internet declined by 2 percent in February to an average of 268,869 per week. This follows a revised 0.8 percent rise in January (initially reported as a 1.8 percent increase). The total number of advertisements in February remains 24.4% higher than 12 months ago.

Looking at the different channels for advertising jobs, the number of job ads in major metropolitan newspapers increased marginally by 0.3 percent in February to an average of 19,192 per week. This followed a 9 percent drop in January. In trend terms, the number of newspaper job advertisements fell by 1.3 percent, to be 2.2 percent lower than a year ago.

The weakness in newspaper job ads in February was driven by Queensland and South Australia. The other states recorded modest rebounds after sizeable falls last month. The Australian Capital Territory and the Northern Territory continued a run of positive results.

The number of internet job ads declined by 2.2 percent in February to average 249,677 per week. In trend terms, internet job advertisements increased by 1.2 percent to be 29.1 percent higher than a year ago.

ANZ Head of Australian Economics, Mr Tony Pearson, said: “Total job advertisements fell in February for the first time since November 2006, and the annual rate of increase cooled to the lowest in a year. Trend advertisements have now been easing for three months. We don’t want to make too much of one month’s data, as the series can be volatile. Nevertheless, it may be that the cumulative impact of interest rate rises and continued volatility on financial markets is leading to some caution on the part of employers. Having said that, the total number of job advertisements is only a little below record highs, suggesting overall demand for workers remains robust.”

“There remain marked differences in the demand for labour between the regions. Job advertisements are trending up strongly in both the Australian Capital Territory and the Northern Territory. In contrast, job advertisements are declining in Queensland, Western Australia, South Australia and Tasmania. In New South Wales and Victoria, advertisements are broadly flat in trend terms,” Mr Pearson said.

Residential vacancy rates in Adelaide have started to ease slightly, according to the Real Estate Institute of SA’s (REISA) exclusive monthly survey. Despite February traditionally being one of the busiest months of the year for the rental market, the Adelaide vacancy rose to 1.93 percent for the month.

“Some property owners are inclined to increase their rents beyond market forces, which in turn has caused vacancy rates to rise slightly,” REISA President Robin Turner said.

“Properties with higher prices are staying vacant longer but those advertising a reasonable price, especially within the $200-300 per week range, are letting readily. Any vacancy rate below 2% is still quite low so investors do not have any cause to worry.”

Mr Turner said the city and northern suburbs recorded higher vacancies in February due to new properties coming onto the market. “There have been a number of new apartments in Mawson Lakes, for example, that have created extra supply in that area,” he said.

The REISA vacancy rate survey is broken down into six main areas. The parameters and statistics for February 2008 were:

City – All city and North Adelaide only – 3.94 percent

West – Suburbs west of West Terrace and South Road, and up to Port Road – 1.72 percent

South – Suburbs south of and bounded by South Terrace, Glen Osmond Road, ANZAC Highway, and South Road – 1.03 percent

East – Suburbs east of the city square, between Payneham and Glen Osmond Roads, excluding the Hills area – 1.90 percent

North – Suburbs north of North Adelaide, between Port and Payneham Roads, turning into Lower North East Road – 2.13 percent

Hills – Suburbs from Crafers to Nairne – 3.33 percent

Australians would prefer to work in Brisbane, on the Gold Coast or in Melbourne rather than in Sydney if they had the choice, a new survey shows. Sydney, despite the glamour of the harbour, its bridge and the Opera House, has a reputation for being too fast-paced, impersonal, cut-throat and expensive, a survey by recruitment firm Talent2 shows.

The survey of 1,327 respondents, and based on the quality of life attainable in Australian cities, found 29 percent would prefer to work in Brisbane or on the Gold Coast, 26.2 percent liked the look of Melbourne, while only 18.2 percent backed Sydney.

The survey also found 64 percent of people would happily take the opportunity to work in another Australian city, if they were given the chance, with 63.5 percent of those from New South Wales happy to leave their home town.

“Thanks to technology and the resource boom, the capital cities outside of New South Wales no longer are considered isolated or remote,” Talent2 general manager Craig Sneesby said.

Other problems plaguing the image of Sydney include widespread reports of poor public transport, pollution and also red tape, he said.

“Because so many Australians can now do the same job no matter where they are located, employers need to consider not just the day-to-day culture to help entice and retain quality staff, but also take into account the greater issue of quality of life when choosing where to set up shop,” Mr Sneesby said.

Hobart (3.6 percent) and Darwin (2.0 percent) were the least favoured places people would want to move to work. Canberra didn’t get a mention.

An Australian is hoping to make a fresh start after a failed marriage by putting his entire life up for sale on the auction website eBay according to a report from the Telegraph. Ian Usher, 44, has decided to put everything he owns - including his home, car, and job - up for sale to escape from painful memories.

Bids will start at just one Australian dollar, but Mr Usher is hoping to pocket £230,000 from the sale. Mr Usher emigrated from Scarborough six years ago and became an Australian citizen in 2006. He split from his wife Laura last year after five years of marriage. The split has left Mr Usher desperate for a new life elsewhere, without the prolonged pain of having to sell off their belongings bit by bit.

He said: “My life here is absolutely fantastic, but I just want to make a clean break and start again literally, so I am selling everything lock, stock and barrel, from the contents of my wardrobe to my kettle, and from my cutlery to my car. My aim is to walk away at the end of the eBay auction with my wallet in one pocket and my passport in the other, go to the airport and just jump on the first available plane to anywhere.”

Mr Usher, whose three bedroom, airy open-plan house is a 30-minute train ride from Perth city centre in the leafy suburb of Wellard, is also selling off his 140mph Kawasaki motorcycle, jet ski, surf boards, sky-diving kit, spa and 6ft television screen.

Aside from material goods the successful bidder will also be given access to Mr Usher’s friends and job. His current employer who runs a rug store in Perth, has agreed to take whoever buys the “life” on a two-week trial, with a view to a permanent job.

The bidding for Mr Usher’s “life” opens on June 22 and lasts for a week.