00:02Sydney and Melbourne, our biggest capital cities, are leading the charge in the largest falls
00:07that they're expected to see across the property market over the next 12 months. Sydney's market
00:13is expected to slip by 7% over the next year and Melbourne is expected to fall by 8%
00:20in the same
00:21period. Brisbane, Adelaide and Perth are expected to remain stable and in growth phases though.
00:28And with 40% of Australia's housing market owned by investors and the federal government cracking down
00:34on that demographic, Domain's analysts also believe that this is creating some uncertainty in the
00:40market. But the real losers in this situation are first home buyers. Domain's Chief Residential
00:46Economist, Dr Nicola Powell, says people who have just owned a home have a low amount of equity,
00:53a huge amount of debt and with falling property prices that creates a huge strain onto them.
01:01The good news is though that looking at this research over the last three decades, every time
01:06we've had a downturn, the last one was from 2017 to 2019, the market has recovered pretty quickly
01:14and has actually gained on the level it was at beforehand. So we shouldn't expect to be
01:21in a downturn for too long. Once it's over, we start to see auction clearance rates move a little
01:27quicker and we see sold signs go back up on for sale signs outside of people's houses. That will be
01:34when we start to recover.
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