Leaders

Global tensions impact Australia’s property market and construction

US tariffs impact Australia’s property market, influencing interest rates, construction costs, and investor sentiment ahead of federal election.

Published

10 months ago

April 17, 2025

Nathan Langridge

US tariffs impact Australia’s property market, influencing interest rates, construction costs, and investor sentiment ahead of federal election.

In Short

US tariffs are affecting Australia’s property market, potentially lowering interest rates but also increasing construction costs. As housing demand rises in cities like Brisbane and Melbourne, policy proposals from major parties aim to boost supply, though their effectiveness is uncertain.

Global tensions, particularly US tariffs, are impacting Australia’s property market, influencing interest rates and investment decisions.

Experts suggest that these tariffs could lead to lower interest rates in Australia due to the prevailing uncertainty.

However, factors such as rising construction costs and currency depreciation are also critical.

The already increasing construction costs, which have surged by approximately 30% over the past two years, are expected to be further affected, potentially making it even more challenging to build new properties.

A weaker Australian dollar could affect the supply of properties as it raises the cost of importing materials.

There is a growing demand for housing in various Australian states, with recent fluctuations in property prices noted in Melbourne and rising demand observed in Brisbane and the Gold Coast.

Investor confidence is shifting, particularly in regions like Brisbane, while early signs of increased interest in Melbourne are emerging as rents rise and property values adjust.

As Australia approaches a federal election, both major parties have introduced policies aimed at increasing housing supply but differ significantly in their approaches.

The Labor Party proposes a 5% deposit scheme for first home buyers, while the Liberal Party suggests tax deductions for mortgage interest payments.

The effectiveness of these policies in increasing supply and managing costs remains to be seen.

For insights regarding the evolving property landscape, Dion Besser from Besser+Co Estate Agents provides resources and analysis on their website.

Leaders

Why confident leadership is the missing link in safe AI adoption

Caroline Brewin highlights confidence’s vital role in leadership amid AI’s rise and its impact on organisational transformation

Published

1 day ago

February 3, 2026

Harvey Vargas

Caroline Brewin highlights confidence’s vital role in leadership amid AI’s rise and its impact on organisational transformation

In Short:
– Caroline Brewin highlights the importance of confidence and emotional intelligence in leadership and AI adoption.
– Over-reliance on AI can diminish human judgment and confidence, risking poor decision-making.

Caroline Brewin from Brain Powered Coaching, discussed the importance of confidence in leadership and its growing impact on AI adoption and organisational change. While job displacement is often the focus of AI debates, Brewin highlighted a less visible risk: the erosion of human judgement. She compared over reliance on AI to blindly following a GPS, where unquestioned directions can lead to poor or harmful outcomes.

Over time, this dependence can weaken individual decision making and self confidence. Brewin stressed that confidence, alongside emotional intelligence, is critical for both personal and professional success. The World Health Organization identifies these as essential future skills. Confident leaders are more likely to set ambitious goals, adapt under pressure and make informed decisions, while emotionally intelligent leadership creates psychologically safe environments where people feel able to speak openly.

Critical thinking

In technology driven organisations, fear-based cultures can intensify the challenges of AI integration. Brewin emphasised the need for open discussions around ethics and accountability, noting that AI ultimately relies on human oversight. Drawing parallels with aviation’s reliance on automation, she warned leaders to ensure teams retain strong critical thinking and judgement.

To reduce over dependence on AI, Brewin advocated configuring systems as tools that support thinking rather than replacing it. Her book, Confident, available on Amazon, examines how confidence can be developed through neuroscience, focusing on strengthening belief in one’s ability to navigate uncertainty and complexity.

For more information, please visit Brain Powered Coaching

Leaders

SMEs struggle in global supply chains: Building national trade resilience

Bronwyn Reid highlights challenges for SMEs in global supply chains and the need for national trade resilience

Published

2 weeks ago

January 21, 2026

Harvey Vargas

Bronwyn Reid highlights challenges for SMEs in global supply chains and the need for national trade resilience

In Short:
– Bronwyn Reid highlights challenges SMEs face in global supply chains, including unclear requirements and limited capacity.
– Trust and ESG compliance are critical for SMEs, requiring large companies to simplify their demands for better relationships.

Bronwyn Reid from Small Company, Big Business highlights the challenges that small and medium-sized enterprises (SMEs) face within global supply chains and emphasizes the importance of building national trade resilience.

Reid identifies a “gap effect” in the relationship between large firms and SMEs, consisting of three key disconnects. Large companies often impose stringent requirements on SMEs, which may lack the resources to meet them, resulting in unclear expectations and frequent changes. Many SMEs struggle to keep up due to limited capacity and staffing constraints.

Significant potential

She stresses that national trade resilience depends on the depth of supply chains, not just cost efficiency. Shallow supply chains are vulnerable, as demonstrated during the disruptions caused by COVID-19. In Australia, the economic relationship between large companies and SMEs is valued at around $500 billion, highlighting significant potential to strengthen these partnerships.

Trust has become a critical factor in supply chain relationships, alongside delivery times and pricing. According to the Edelman Trust Barometer, 78% of people trust their employers, while only 64% trust businesses more broadly. Environmental, Social, and Governance (ESG) compliance has also become essential, but SMEs face challenges navigating complex and shifting requirements. Reid advises SME owners to simplify their approach to ESG, while urging large companies to adjust their expectations to better support smaller partners.

For more information, visit Bronwyn Reid.

Leaders

Co-Living: A modern solution to Australia’s housing crunch

Published

2 weeks ago

January 20, 2026

Harvey Vargas

Yannick Ieko highlights co-living as an evolved, secure housing solution for mature renters in Australia’s tight market

In Short:
– Co-living is an upgraded rooming house offering safe, shared accommodation for mature tenants needing housing.
– Properties accommodate up to nine households and feature hotel-like suites alongside shared living spaces.

Co-living is emerging as a smart, modern alternative to traditional housing, offering safe and high-quality shared living spaces.

Unlike student accommodations focused on socializing or parties, this model is designed for mature individuals navigating Australia’s tight housing market and seeking affordable, comfortable homes.

A typical co-living property accommodates up to nine households while retaining the exterior of a standard home. Interiors are thoughtfully designed to balance privacy and community living, featuring five to nine hotel-quality suites, each with a spacious bedroom, en-suite bathroom, and kitchenette. Common areas include a main kitchen, living room, and outdoor space, creating a welcoming environment for residents to connect.

High demand

According to Yannick Ieko from The Harmony Group, co-living offers cost-effective housing solutions for tenants, with room prices averaging around $200,000 in desirable locations. Investors also benefit, as properties in prime areas tend to appreciate over time. Multiple households renting simultaneously generate strong cash flow, while the model’s low vacancy risk makes it a relatively safe investment. High demand and limited supply further enhance its appeal to property buyers.

Regulatory requirements classify co-living houses as 1B residential dwellings, ensuring safety standards are met while streamlining construction and approval processes. One of the main challenges for expanding co-living is the limited availability of specialized funding from lenders.

For more information, visit theharmonygroup