Performance Property

17/07/2026

Property investors have spent decades treating new builds as the asset you buy when you don't know better. The proposed negative gearing reforms may be about to make that snobbery expensive.

The headline debate has focused on house prices. The more consequential shift is happening inside investor borrowing capacity.

Our research division's analysis suggests borrowing capacity on established property could fall by as much as 20 per cent once lenders stop crediting negative gearing benefits in serviceability assessments — the difference, in practical terms, between a $700,000 acquisition and a $560,000 one.

Let me be clear about what our data actually says: established property outperforms new builds — by roughly 2–3% per annum in the same market. That's not in dispute. New estates inject supply, and supply moderates growth.
But growth rate was never the only line on the ledger.

New builds attract substantially higher depreciation deductions, valued at today's construction costs. Combined with the retained negative gearing treatment under the proposed changes, a well-selected new build sits close to cash flow neutral at long-term average rates. For investors already holding two or three established assets, that's the difference between continuing to accumulate and being forced to stop.

Cash flow is the constraint that stalls many investors — not the desire to build wealth.

The caveat is selection. New build corridors live and die on underlying demand. Our data shows development suburbs in QLD, SA and NSW matching or exceeding their nearest capital city across recent growth cycles — but only where vacancy rates, population inflow and affordability support the broader market. Buy into a corridor without those fundamentals and no depreciation schedule will save you.

Established versus new was always the wrong fight. Most portfolios will end up holding both: established for the long-term compounding, new builds to stay in the market when cash flow would otherwise force a halt. The order matters more than the ideology.

Full analysis on the blog : https://ap1.hubs.ly/H0167w70

*𝑮𝒆𝒏𝒆𝒓𝒂𝒍 𝒊𝒏𝒇𝒐𝒓𝒎𝒂𝒕𝒊𝒐𝒏 𝒐𝒏𝒍𝒚, 𝒏𝒐𝒕 𝒇𝒊𝒏𝒂𝒏𝒄𝒊𝒂𝒍 𝒂𝒅𝒗𝒊𝒄𝒆 — 𝒚𝒐𝒖𝒓 𝒄𝒊𝒓𝒄𝒖𝒎𝒔𝒕𝒂𝒏𝒄𝒆𝒔 𝒅𝒆𝒕𝒆𝒓𝒎𝒊𝒏𝒆 𝒚𝒐𝒖𝒓 𝒔𝒕𝒓𝒂𝒕𝒆𝒈𝒚*

Could investors lose up to 20% borrowing power? Learn how the proposed new-build tax carve-out may reshape long-term property investment.

03/07/2026

𝗛𝗲𝗿𝗲 𝗶𝘀 𝗮 𝘀𝗻𝗶𝗽𝗽𝗲𝘁 𝗼𝗳 𝘁𝗵𝗶𝘀 𝘄𝗲𝗲𝗸'𝘀 𝗣𝗲𝗿𝗳𝗼𝗿𝗺𝗮𝗻𝗰𝗲 𝗣𝗿𝗼𝗽𝗲𝗿𝘁𝘆 𝗿𝗲𝘀𝗲𝗮𝗿𝗰𝗵 𝗻𝗲𝘄𝘀𝗹𝗲𝘁𝘁𝗲𝗿. 𝗥𝗲𝗮𝗱 𝗯𝗲𝗹𝗼𝘄 𝗳𝗼𝗿 𝗮 𝘀𝘂𝗺𝗺𝗮𝗿𝘆 𝗮𝗻𝗱 𝗵𝗼𝘄 𝘁𝗼 𝘀𝘂𝗯𝘀𝗰𝗿𝗶𝗯𝗲.

This month we’re focusing on the trending median gross yield.

The median gross yield shows the ratio of the median rent into the median price. Tracking the relationship between these two metrics is important, because rental growth can foreshadow price growth.

An increasing median gross yield rate therefore means that rental growth is outpacing price growth. This is a positive sign, because it means that holding costs will be lower in the short-term, and price growth may be expected in the medium-term. The converse is also true - a decreasing median gross yield signals that the house price is outpacing rental growth. This can be positive for short-term price growth, however the market may have already undergone significant price growth, and may therefore have less forecasted growth.

The gross rental yield is just one of many metrics we use to assess short and long term price movement.

𝗠𝗲𝗹𝗯𝗼𝘂𝗿𝗻𝗲: 3.35%, down from 3.42% last month
𝗕𝗲𝗻𝗱𝗶𝗴𝗼: 4.37%, up from 4.31% last month
𝗧𝗼𝗼𝘄𝗼𝗼𝗺𝗯𝗮: 3.77%, down from 3.80% last month
𝗜𝗽𝘀𝘄𝗶𝗰𝗵: 3.56%, down from 3.62% last month
𝗦𝘂𝗻𝘀𝗵𝗶𝗻𝗲 𝗖𝗼𝗮𝘀𝘁: 3.32%, up from 3.30% last month
𝗕𝘂𝗻𝗯𝘂𝗿𝘆: 4.62%, up from 4.61% last month
𝗟𝗮𝘂𝗻𝗰𝗲𝘀𝘁𝗼𝗻: 4.47%, down from 4.56% last month
𝗧𝗮𝗺𝘄𝗼𝗿𝘁𝗵: 4.37%, up from 4.29% last month
𝗪𝗮𝗴𝗴𝗮 𝗪𝗮𝗴𝗴𝗮: 4.19%, down from 4.21% last month

Want the full deep-dive — including pricing trends, affordability, vacancy vs rents, and population drivers?

𝗥𝗲𝗴𝗶𝘀𝘁𝗲𝗿 𝗳𝗼𝗿 𝗮𝗰𝗰𝗲𝘀𝘀 𝘁𝗼 𝗼𝘂𝗿 𝗥𝗲𝘀𝗲𝗮𝗿𝗰𝗵 𝗣𝗼𝗿𝘁𝗮𝗹 𝗮𝘁 https://ap1.hubs.ly/H013RSQ0

30/06/2026

One of the least discussed aspects of the proposed reforms is how market behaviour itself may eventually offset part of the initial cash flow pressure.

As investor participation declines, rental supply can tighten further. In supply-constrained markets, that often places upward pressure on rents and accelerates the transition of negatively geared assets toward neutral or positive cash flow positions.

At that point, the value of the deduction mechanism itself naturally becomes less significant.

For investors already holding well-selected residential assets in constrained markets, the long-term portfolio impact may look materially different from the short-term public narrative.

Historically, the investors most affected during policy cycles are often those who:
• Exit during uncertainty
• Delay action waiting for perfect clarity
• Focus solely on headlines rather than underlying market fundamentals

By contrast, long-term investors tend to focus on structural supply, demand, and portfolio positioning across the cycle.

The policy conversation matters. So do the underlying property fundamentals
driving long-term performance.

What do you think ultimately drives stronger long-term outcomes — policy settings or supply-demand fundamentals?

Click the link or scan the QR code to speak with our team.
https://ap1.hubs.ly/H011Vrf0

23/06/2026

𝗪𝗵𝗮𝘁 𝘁𝗵𝗲 𝟭𝟵𝟴𝟱 𝗱𝗮𝘁𝗮 𝗮𝗰𝘁𝘂𝗮𝗹𝗹𝘆 𝘀𝗵𝗼𝘄𝗲𝗱.

We previously discussed what occurred when Australia last removed negative gearing.

Today, the focus is on the numbers.

Between 1985 and 1990, capital cities experienced significant increases across both rents and residential property prices.

Five-year rent growth included:
• Sydney +70.68%
• Melbourne +50.42%
• Brisbane +40.29%
• Adelaide +42.37%
• Perth +61.40%
• Hobart +33.10%
• Canberra +44.37%

Five-year median house price growth included:
• Sydney +90.30%
• Melbourne +72.37%
• Brisbane +90.65%
• Perth +119.2%
• Hobart +118.96%

Combined capital city averages over the same period:
• Rents +45.85%
• Houses +75.59%
• Units +56.77%

One important difference between 1985 and today is the starting point of vacancy rates.

During the 1985 reform period, several cities entered the cycle with vacancy rates above 4%, allowing more capacity within the rental system before pressure intensified.

In 2026, many Australian capital cities are already operating below 1.5% vacancy before the reforms have even commenced.

The implication is that rental market pressure may emerge materially faster this cycle than it did historically.

Our research division currently expects 10–15% annual rent growth across supply-constrained markets over the next several years.

𝗛𝗼𝘄 𝗱𝗼 𝘆𝗼𝘂 𝘁𝗵𝗶𝗻𝗸 𝗰𝗼𝗻𝘀𝘁𝗿𝗮𝗶𝗻𝗲𝗱 𝘀𝘂𝗽𝗽𝗹𝘆 𝗰𝗼𝗻𝗱𝗶𝘁𝗶𝗼𝗻𝘀 𝗰𝗼𝘂𝗹𝗱 𝗶𝗻𝗳𝗹𝘂𝗲𝗻𝗰𝗲 𝘁𝗵𝗲 𝗻𝗲𝘅𝘁 𝗽𝗿𝗼𝗽𝗲𝗿𝘁𝘆 𝗰𝘆𝗰𝗹𝗲?

Click the link or scan the QR code to speak with our team.
https://ap1.hubs.ly/y0-Hly0

17/06/2026

𝗛𝗲𝗿𝗲 𝗶𝘀 𝗮 𝘀𝗻𝗶𝗽𝗽𝗲𝘁 𝗼𝗳 𝘁𝗵𝗶𝘀 𝘄𝗲𝗲𝗸'𝘀 𝗣𝗲𝗿𝗳𝗼𝗿𝗺𝗮𝗻𝗰𝗲 𝗣𝗿𝗼𝗽𝗲𝗿𝘁𝘆 𝗿𝗲𝘀𝗲𝗮𝗿𝗰𝗵 𝗻𝗲𝘄𝘀𝗹𝗲𝘁𝘁𝗲𝗿. 𝗥𝗲𝗮𝗱 𝗯𝗲𝗹𝗼𝘄 𝗳𝗼𝗿 𝗮 𝘀𝘂𝗺𝗺𝗮𝗿𝘆 𝗮𝗻𝗱 𝗵𝗼𝘄 𝘁𝗼 𝘀𝘂𝗯𝘀𝗰𝗿𝗶𝗯𝗲.

This month we’re focusing on the trending median gross yield.

The median gross yield shows the ratio of the median rent into the median price. Tracking the relationship between these two metrics is important, because rental growth can foreshadow price growth.

An increasing median gross yield rate therefore means that rental growth is outpacing price growth. This is a positive sign, because it means that holding costs will be lower in the short-term, and price growth may be expected in the medium-term. The converse is also true - a decreasing median gross yield signals that the house price is outpacing rental growth. This can be positive for short-term price growth, however the market may have already undergone significant price growth, and may therefore have less forecasted growth.

The gross rental yield is just one of many metrics we use to assess short and long term price movement.

𝐁𝐫𝐢𝐬𝐛𝐚𝐧𝐞: 3.11%, down from 3.26% last month
𝐁𝐚𝐥𝐥𝐚𝐫𝐚𝐭: 3.86%, up from 3.84% last month
𝐑𝐨𝐜𝐤𝐢𝐧𝐠𝐡𝐚𝐦: 3.86%, down from 3.96% last month
𝐍𝐞𝐰𝐜𝐚𝐬𝐭𝐥𝐞: 3.32%, down from 3.36% last month
𝐇𝐨𝐛𝐚𝐫𝐭: 4.08%, down from 4.16% last month
𝐂𝐚𝐢𝐫𝐧𝐬: 4.63%, down from 4.66% last month
𝐓𝐨𝐰𝐧𝐬𝐯𝐢𝐥𝐥𝐞: 4.31%, down from 4.39% last month
𝐌𝐢𝐥𝐝𝐮𝐫𝐚: 4.88%, up from 4.78% last month

Want the full deep-dive — including pricing trends, affordability, vacancy vs rents, and population drivers?

𝗥𝗲𝗴𝗶𝘀𝘁𝗲𝗿 𝗳𝗼𝗿 𝗮𝗰𝗰𝗲𝘀𝘀 𝘁𝗼 𝗼𝘂𝗿 𝗥𝗲𝘀𝗲𝗮𝗿𝗰𝗵 𝗣𝗼𝗿𝘁𝗮𝗹 𝗮𝘁 https://ap1.hubs.ly/y0ZZ9R0

12/06/2026

𝗛𝗲𝗿𝗲 𝗶𝘀 𝗮 𝘀𝗻𝗶𝗽𝗽𝗲𝘁 𝗼𝗳 𝘁𝗵𝗶𝘀 𝘄𝗲𝗲𝗸'𝘀 𝗣𝗲𝗿𝗳𝗼𝗿𝗺𝗮𝗻𝗰𝗲 𝗣𝗿𝗼𝗽𝗲𝗿𝘁𝘆 𝗿𝗲𝘀𝗲𝗮𝗿𝗰𝗵 𝗻𝗲𝘄𝘀𝗹𝗲𝘁𝘁𝗲𝗿. 𝗥𝗲𝗮𝗱 𝗯𝗲𝗹𝗼𝘄 𝗳𝗼𝗿 𝗮 𝘀𝘂𝗺𝗺𝗮𝗿𝘆 𝗮𝗻𝗱 𝗵𝗼𝘄 𝘁𝗼 𝘀𝘂𝗯𝘀𝗰𝗿𝗶𝗯𝗲.

This month we’re focusing on the trending Days on Market (DOM).

DoM is a simple metric to monitor the balance of supply and demand in a market which can be a leading indicator over time for positive or negative price growth.

Increasing DoM demonstrates increasing supply and/or decreasing demand. If DoM is above a market's long term average, this can be a leading indicator over time for slow or negative price growth.

Decreasing DoM demonstrates decreasing supply and/or increasing demand.
If DoM is below a market's long term average, this can be a leading indicator over time for positive price growth.

DoM is just one of many metrics we use to assess short and long term price movement.

𝐏𝐞𝐫𝐭𝐡: 10 days, down from 11 last month
𝗔𝗱𝗲𝗹𝗮𝗶𝗱𝗲: 32 days, down from 33 last month
𝐑𝐨𝐜𝐤𝐡𝐚𝐦𝐩𝐭𝐨𝐧: 14 days, unchanged from 14 last month
𝐆𝐨𝐥𝐝 𝐂𝐨𝐚𝐬𝐭: 22 days, unchanged from 22 last month
𝐎𝐫𝐚𝐧𝐠𝐞: 44 days, down from 47 last month
𝐀𝐥𝐛𝐮𝐫𝐲: 29 days, unchanged from 29 last month
𝗖𝗼𝗳𝗳𝘀 𝗛𝗮𝗿𝗯𝗼𝘂𝗿: 48 days, down from 49 last month
𝗪𝗼𝗱𝗼𝗻𝗴𝗮: 29 days, up from 28 last month
𝗚𝗹𝗮𝗱𝘀𝘁𝗼𝗻𝗲: 16 days, down from 17 last month

Want the full deep-dive — including pricing trends, affordability, vacancy vs rents, and population drivers?

𝗥𝗲𝗴𝗶𝘀𝘁𝗲𝗿 𝗳𝗼𝗿 𝗮𝗰𝗰𝗲𝘀𝘀 𝘁𝗼 𝗼𝘂𝗿 𝗥𝗲𝘀𝗲𝗮𝗿𝗰𝗵 𝗣𝗼𝗿𝘁𝗮𝗹 𝗮𝘁 https://ap1.hubs.ly/y0ZcXk0

09/06/2026

𝗪𝗵𝗮𝘁 𝗮𝗰𝘁𝘂𝗮𝗹𝗹𝘆 𝗰𝗵𝗮𝗻𝗴𝗲𝗱 𝗼𝗻 𝗕𝘂𝗱𝗴𝗲𝘁 𝗻𝗶𝗴𝗵𝘁.

12 May. 7:30pm. Negative gearing reform was announced and investor conversations have been running ever since.

Before reacting to headlines or waiting for “clarity,” here’s what actually changed in practical terms:
- Existing property owners remain grandfathered. Full negative gearing continues until disposal.
- Established property purchased before 1 July 2027 retains access to negative gearing during the transition period.
- Established property purchased after 1 July 2027 will no longer allow negative gearing against salary income. Losses instead carry forward against future residential income or CGT on disposal.
- Newly constructed residential property retains negative gearing regardless of purchase timing.
- SMSFs remain untouched.
- Commercial property remains untouched.
That’s the reform.

This coming week we’ll continue unpacking what the changes actually mean for long-term investment strategy, including one of the most overlooked points: the losses don’t disappear, they relocate.

𝗪𝗵𝗮𝘁 𝗮𝘀𝗽𝗲𝗰𝘁 𝗼𝗳 𝘁𝗵𝗲 𝗿𝗲𝗳𝗼𝗿𝗺𝘀 𝗱𝗼 𝘆𝗼𝘂 𝘁𝗵𝗶𝗻𝗸 𝗶𝗻𝘃𝗲𝘀𝘁𝗼𝗿𝘀 𝗮𝗿𝗲 𝗺𝗶𝘀𝘂𝗻𝗱𝗲𝗿𝘀𝘁𝗮𝗻𝗱𝗶𝗻𝗴 𝗺𝗼𝘀𝘁 𝗿𝗶𝗴𝗵𝘁 𝗻𝗼𝘄?

Click the link or scan the QR code to speak with our team.
https://ap1.hubs.ly/y0YH8j0

04/06/2026

Welcome 𝗖𝗵𝗮𝗺𝗼𝘂𝗻 𝗠𝗮𝗹𝗸𝗶 to Performance Property

We're pleased to welcome Chamoun Malki as our new Head of Commercial.

With more than 25 years of experience across valuation, tenant representation, development, asset management and investment portfolio management, Chamoun brings exceptional expertise to our growing commercial property division.

Throughout his career, he has led complex lease negotiations, managed multi-billion-dollar property portfolios, and delivered strategic outcomes across office, industrial and retail assets.

As Head of Commercial, Chamoun will lead the delivery of our commercial property services, support the continued growth of our commercial offering, and ensure clients receive a seamless and high-quality experience.

Please join us in welcoming Chamoun to the team.

Learn more about Chamoun here: https://performanceproperty.com.au/team-members/chamoun-malki-head-of-commercial/