Industry Analysis & Industry Trends
Real estate agents have reaped the benefits of a booming residential property market over the past five years. Despite turbulent economic conditions, housing prices have grown strongly, supported by government incentives at the beginning of the period and then fuelled by decreasing interest rates. In contrast, the commercial property market has been flat due to volatile business confidence and subdued economic conditions. Overall, industry revenue is forecast to increase at an annualised 3.4% over the five years through 2015-16, to reach $14.0 billion. In 2015-16, industry revenue is projected to grow by 3.6%, due to forecast residential property price growth, which will improve agent earnings per property sold.
Competition within the industry remains fierce... purchase to read more
Industry Report - Industry SWOT Analysis Chapter
Real estate services industry is in the mature stage of its life cycle. Industry value added (IVA), a measure of the industry's contribution to the wider economy, is forecast to grow at an annualised 0.6% over the 10 years through 2020-21. This is an underperformance relative to the wider economy, with GDP projected to grow at an annualised 2.6% over the same period. However, the Real Estate Services industry's IVA remains positive, indicating the industry is contracting as a share of the economy, but continues to grow in revenue terms.
In the long term, industry growth is closely aligned with overall economic, social and demographic trends. The cost and availability of housing credit for both owner-occupiers and investors affects industry growth... purchase to read more