The hit to the economy from coronavirus is bigger than anything seen in the post-war period. While most of the activity hit by lockdowns should bounce back once the virus is brought under control some things will take longer to recover (eg, travel & tourism), some will be permanently changed forever (with eg, a big shift to online shopping, education, health care & watching sports) and businesses will use the uncertainty to accelerate cost savings. All of which will mean a long tail of unemployment. JobKeeper has shielded Australia from what otherwise would have been 15% unemployment in April and 11% unemployment now. But officially measured unemployment is still likely to hit 10% by year-end and will probably have only fallen to around 9% by end 2021. This will likely result in more forced property sales and act as a drag on home prices, as income support measures & the bank payment holiday wind down.
During this time, Rands Financial Services Pty Ltd remains open by appointment. For buyers, it is the perfect opportunity to chat with our mortgage broker, Sally Pietersz (0434 391 331) about finance. Our Mortgage Brokers are accessible for appointments over 7 days at a time convenient to you. We could help you with your financing as well with our insights into the property market to make the right decision.