How Will Stalled Net Overseas Migration Impact Housing Demand?

Recent forecasts from Treasury indicate annual population growth across Australia is set to slow from around 1.4% pre-COVID, to 0.6% through the 2020/21 financial year. In raw numbers, that implies Australia’s annual population growth will reduce from around 350,000 in 2019 to 154,000 over the year ending June 2021 – a reduction of 56% relative to 2019 levels.  

If the Treasury forecasts are right, this means the rate of population growth (a proxy for underlying housing demand) will be…