Analysis of Australian Property Market for Lifetime Mortgage Entry
Oxford Economics Australia conducted a comprehensive analysis of the Australian property market and later stage property ownership, providing key insights to support the client's strategic decisions regarding their entry into the lifetime mortgage market.
Project background
The client, a global financial institution, faced challenges in assessing the potential of the Australian lifetime mortgage market. With a small and declining reverse mortgage market, low product awareness, and stringent regulations, the client sought Oxford Economics Australia’s (OEA) expertise to analyse the property market and later-stage property ownership. The primary problem to resolve was to provide a comprehensive understanding of the current and future property market conditions, characteristics of older homeowners, and potential market risks. This was crucial for the client’s strategic decision-making regarding their entry into the lifetime mortgage market.
Approach and solution
We undertook a comprehensive analysis of the Australian property market and later-stage property ownership for the client. The study focused on providing insights that would inform the client’s assessment of the lifetime mortgage market in Australia. The team conducted a thorough review of the macroeconomic environment, including economic activity, labour market conditions, financial market conditions, and population drivers and composition. The current and future conditions of Australia’s property market were also examined, with a focus on price growth, dwelling approvals, and dwelling completions.
A detailed snapshot of the later-stage property ownership cohort was provided, including the size of the cohort, their location, employment status, income streams, and potential growth. This information was crucial, as this segment was identified as the target population for lifetime mortgages. Finally, the team analysed the key risks to the Australian property market and the later stage property ownership market across economic, regulatory, environmental and social factors.
Conclusion
The findings from our analysis provided the client with a comprehensive understanding of the market conditions, enabling them to make informed strategic decisions about their entry into the lifetime mortgage market.
Get in touch
Emily Dabbs
Head of Macroeconomics Consulting, Oxford Economics
+61 2 8458 4202
Emily Dabbs
Head of Macroeconomics Consulting, Oxford Economics
Sydney, Australia
Emily leads Oxford Economics Australia’s Macro Consulting team. She has over 10 years of economic analysis and consulting experience, focusing on macroeconomic forecast and analysis. Emily regularly provides strategy support and briefings, and presentations to clients and key stakeholders to support a broader understand of the economic environment and the impact on their business.
Geoffrey Snell
Principal Property Economist, Residential Property
+61 3 8679 7302
Geoffrey Snell
Principal Property Economist, Residential Property
Melbourne, Australia
Geof is a member of Oxford Economics Australia’s residential property team, analysing housing markets and demographic trends and forecasting capital city house prices and state dwelling commencements. He has a background in property analysis across sectors, including land studies, market commentaries, supply & demand, stakeholder consultation and exploring industrial market issues. Geof has a Bachelor degree in Business, with a specialisation in Property, from the Royal Melbourne Institute of Technology (RMIT). He was formerly on the Property Council of Australia (Victoria) Industrial Committee and has over fifteen years’ experience in the property industry.
Geof has gained experience working on a diverse range of property-related projects across Australia for a variety of public and private sector clients. He has worked on market assessments for major residential, industrial, commercial, tourism and retail developments and has also provided background property analysis for economic profiles and activity centre planning. Geof has particular expertise in undertaking economic impact studies, examining the effect of a development project on the economy in a specified area.