The Money Puzzle How to pick a suburb ripe for booming house prices
14 snips
Sep 30, 2025 Ben Kingsley, managing director of Empower Wealth and chair of the Property Investors Council of Australia, shares essential insights on investing in real estate. He discusses the significance of auction clearance rates and demand signals in finding the right suburb. Kingsley warns about the risks of entering overheated markets and stresses the importance of economic fundamentals versus speculative bubbles. He also highlights potential markets to watch and the perils of overextending financially, offering a roadmap for savvy property investors.
AI Snips
Chapters
Transcript
Episode notes
Short-Term Versus Long-Term Drivers
- Short-term suburb performance is driven by supply and demand signals like clearance rates and days on market.
- Long-term returns follow economic activity and population growth into the city.
Why Entry-Level Is Outperforming
- The bottom 25% (entry-level) is currently outperforming due to concentrated demand from investors and first-home buyers.
- Rising build costs and limited new supply have added pressure to existing entry stock.
Use Suburb-Level Demand Signals
- Check auction clearance rates, days on market and stock on market to spot rising local demand.
- Use a weighted demand-supply score at suburb level and validate by attending opens and tracking contracts.