There’s no denying that modern technology and communication options mean we are more informed and connected than ever. It’s no longer a case of waiting until the 6 pm news each night to discover what’s been happening in the world. Now, as soon as there’s upheaval, someone who witnesses it first-hand is onto social media, and within minutes, anyone with a mobile phone and an alert knows exactly what’s happening.
And so, here we are today facing ongoing unrest in the Middle East. These are scary and turbulent times, with minute-by-minute updates that frankly cause a shiver up the spine. War dampens consumer sentiment and investment decisions. That’s understandable human nature.
This deep-seated sense of unease feeds into a range of things, from energy prices and inflation, through to the safety of our families – and that translates into how we choose to deploy our money.
It’s tough to be certain you’re making the right call. especially when buying an investment property in times of global uncertainty. After all, oil prices will skyrocket and then plummet; the ASX will experience a record one-day fall followed by a short recovery; and politicians, business leaders and regulators will all pivot on pronouncements they’ve made just days before.
We see it in the property world too. When things feel shaky, many buyers retreat into their shells. Phones stop ringing, open homes become deserted, auction events dwindle, and everyone has a knee-jerk reaction.
I get why it happens. But here is a home truth those buyers are overlooking – theirs is an emotional reaction, not a rational one that bares up to scrutiny.
If you looked at the history of what happens in property markets every time a global crisis unfolds, there’s one clear pattern: an opportunity opens up for those who take a long-term view on property, because while others are retreating, smart buyers are seeking out great opportunities with excellent fundamentals.
Let’s look at a recent example that supports my position.
Remember COVID? Of course you do!
In early 2020, as we tried to get our heads around what was unfolding, everyone froze. It was reported that Australian national dwelling values dipped around 2.1 per cent between April and September 2020, according to CoreLogic. This is a relatively modest fall given the scale of global disruption but also an entirely uncharacteristic thing for Aussie real estate.
Our on-the-ground experience saw an even greater retreat in certain markets once shutdowns were announced. Auction outcomes that reflected prices coming off 10 to 15 per cent from their pre-pandemic levels. That even occurred in traditionally blue-chip suburbs.
But pretty soon, buyers started getting active again. Housing was seen as a solid, foundational asset that could protect your wealth while providing your family with secure shelter.
That momentum continued in spectacular fashion. According to Cotality (formerly CoreLogic), the national median dwelling value rose from around $550,000 in June 2020 to approximately $900,000 by December 2025. That’s a 64 per cent gain in around half a decade. And remember – those numbers are Australia-wide. Imagine if you’d actually bought a prime asset with excellent fundamentals in one of the country’s best markets. You’d have enjoyed even greater gains.
These numbers tell a compelling story about where the real risk lies, and it isn't in buying. Those who chose to act in the second half of 2020, when fear was still running hot, have reaped extraordinary rewards. Meanwhile, those who stayed on the sidelines waiting for certainty simply watched the gains pass them by.
The COVID story is not an outlier. Every time there is global instability – wars, economic crises, political uncertainty – people wonder whether property markets will collapse.
But as you can see, history tells a very different story. In fact, uncertainty often leads investors to gradually shift toward tangible assets like property, which are seen as safe and stable compared to volatile financial markets.
Property has several powerful advantages over other asset classes when things get messy around the world.
It’s a life essential because everyone needs somewhere to live. There is always demand for housing in Australia, which means your market, whether selling or as a landlord, will always exist.
But one of property’s greatest superpowers is that trading it is relatively illiquid. That may seem like a strange thing to call a superpower, so let me explain. Illiquidity protects property values from the short-term shocks that can devastate other investors. The ASX trades milliseconds after bad news is revealed, which is exactly why it sees such dramatic swings. But with property, the process of listing, selling and settling occurs over weeks or months. This smooths out perceptions of value and has historically resulted in a steady, reliable growth, price cycle after price cycle.
Right now, the fundamentals of Australia’s property market remain firmly weighted toward ongoing price growth. Demand remains incredibly strong, and supply is extraordinarily tight. While we might be “importing inflation” via higher oil prices, thus making interest rate increases more likely, the truth is that this conflict overseas will not impact Australia’s chronic housing undersupply. It will not reduce the hundreds of thousands of people who need somewhere to live. It will not alter the structural forces that continue to push values upward in quality locations.
In fact, the only thing you need to concern yourself with right now is choosing the right property for your needs and within your budget. By making sure you hold real estate with the right fundamentals, you give yourself the best possible long-term upside.
Your chances of finding that ideal asset while others are fearful will be significantly better if you rely on the skills of a specialist buyers’ agent. One with integrity, experience, and the networks to help you locate, negotiate and secure the right property, all while other buyers are sitting on their hands waiting for a better buying time that will never come.
History shows that those who choose to act sooner rather than later, who see through the noise and focus on long-term fundamentals, are the ones who reap the greatest rewards. The global stage may be turbulent. But the case for Australian residential property has never been better.
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