When it comes to property investing, understanding the signals of a booming market can give you a huge edge. In this episode of The Property Nerds podcast, Arjun Paliwal, Founder and Head of Research at InvestorKit, and Jack Fouracre, Partnership Manager at Fouracre Financial, dive deep into the three key traits of a booming property market in Australia.
Whether you’re planning to buy your next investment property or want to strengthen your existing portfolio, this episode is packed with actionable insights backed by data.
🎯 Why Identifying Booming Markets Matters
Investors who recognise the early signs of a market upswing position themselves ahead of the curve. Timing the market is never perfect, but understanding data-backed indicators gives you a strategic advantage.
So what are the three traits that indicate a property market is about to boom?
🔑 Trait #1: Days on Market (DOM) Is Dropping
One of the strongest indicators of a hot property market is the Days on Market (DOM) trend. A falling DOM means that properties are selling faster — often with multiple buyers competing — which creates urgency for buyers and confidence for sellers.
“A declining DOM is like a pulse check on demand. When homes are flying off the shelf, you’re seeing real heat in the market.” – Arjun Paliwal
You can track DOM and other key trends via trusted data providers like CoreLogic’s Market Trends to stay informed.
🔑 Trait #2: Tight Rental Markets (Low Vacancy Rates)
Low rental vacancy rates signal that there’s strong tenant demand, which puts upward pressure on rental yields and makes the area more attractive for investors.
Markets with tight rental conditions often have a high level of migration, limited housing supply, or rapid job growth – all of which are key ingredients for property price growth.
“When rentals are scarce, prices move. Investors should take note of these markets — they’re often ahead of the price curve.” – Jack Fouracre
🔑 Trait #3: Inverse Growth Trends & Rebound Potential
Markets that underperformed in recent years often hold hidden opportunities. Places like Sydney and Perth are highlighted in this episode as markets that may be ready for a rebound, thanks to renewed demand and market recalibration.
This “inverse growth” approach helps identify undervalued areas before the wider market catches on.
📍 Case Study: Townsville
The duo use Townsville as a real-world example where all three traits are visible:
- Reduced DOM
- Low rental vacancy
- Previous underperformance
This makes Townsville a strong candidate for investors looking to enter a market on the cusp of growth.
Want to see how we’ve helped clients succeed in markets just like this?
👉 Check out our real-world property case studies.
🧠 Final Thoughts: The Data-Driven Investor Advantage
Smart investors don’t just follow headlines — they follow the data. By focusing on these three market signals, you can make confident decisions that align with long-term growth potential.
🎧 Listen to the full episode on Spotify, Apple Podcasts, or YouTube to hear Arjun and Jack’s in-depth breakdown and market analysis.