Released at the time of the COP26 Glasgow Climate Conference, this latest CoreLogic Environmental Scan documents the past 18 months where house prices did not succumb to the forecast downturns from the COVID-19 pandemic.

With lockdowns, border closures, and rising unemployment, the construction industry, a key driver of employment and economic activity, was facing a potential ‘valley of death’ with dwelling commencements expected to collapse.

Despite dire forecasts, Australia broke records in housing commencements and rents increased by 10 percent in many regions. However, this activity is a ‘bring forward’ based on low-interest rates, strong household balance sheets for many, and the largest return of Australians from offshore since World War II.

In late October 2021, the Australian Government NHFIC Review estimated that an investment of $290 billion will be required over the next two decades to meet the current and projected shortfall in the social and affordable housing stock. Meeting that shortfall will require active participation by the private sector and high levels of collaboration across all levels of government.