The Biggest Winners and Losers From the Work-From-Home Revolution
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    HOUSE MEDIAN ASKING PRICES AND WEEKLY CHANGE     Sydney $1,730,998 (-1.35%)       Melbourne $1,052,750 (-0.63%)       Brisbane $1,213,162 (-0.55%)       Adelaide $1,088,669 (-1.01%)       Perth $1,109,065 (-0.03%)       Hobart $857,011 (-0.15%)       Darwin $850,231 (-5.88%)       Canberra $1,057,418 (+2.13%)       National Capitals $1,179,457 (-0.85%)                UNIT MEDIAN ASKING PRICES AND WEEKLY CHANGE     Sydney $812,882 (-0.02%)       Melbourne $547,522 (-0.39%)       Brisbane $775,633 (-1.81%)       Adelaide $583,866 (+1.25%)       Perth $661,533 (-0.91%)       Hobart $583,528 (+2.34%)       Darwin $488,291 (-0.29%)       Canberra $502,282 (+1.20%)       National Capitals $640,074 (-0.20%)                HOUSES FOR SALE AND WEEKLY CHANGE     Sydney 14,388 (-149)       Melbourne 16,400 (-697)       Brisbane 9,524 (+147)       Adelaide 2,995 (+70)       Perth 7,340 (+170)       Hobart 758 (-2)       Darwin 142 (+4)       Canberra 1,228 (-5)       National Capitals 52,775 (-462)                UNITS FOR SALE AND WEEKLY CHANGE     Sydney 9,737 (+19)       Melbourne 6,931 (-54)       Brisbane 1,794 (+10)       Adelaide 449 (+21)       Perth 1,390 (+12)       Hobart 145 (-6)       Darwin 212 (+3)       Canberra 1,245 (+31)       National Capitals 21,903 (+36)                HOUSE MEDIAN ASKING RENTS AND WEEKLY CHANGE     Sydney $870 ($0)       Melbourne $610 (+$10)       Brisbane $700 ($0)       Adelaide $650 ($0)       Perth $750 ($0)       Hobart $625 ($0)       Darwin $875 (+$25)       Canberra $730 (-$20)       National Capitals $739 (+$3)                UNIT MEDIAN ASKING RENTS AND WEEKLY CHANGE     Sydney $815 (-$5)       Melbourne $630 ($0)       Brisbane $680 ($0)       Adelaide $555 (-$5)       Perth $700 ($0)       Hobart $545 (+$45)       Darwin $655 (+$5)       Canberra $600 ($0)       National Capitals $658 (+$3)                HOUSES FOR RENT AND WEEKLY CHANGE     Sydney 6,162 (+59)       Melbourne 7,192 (+17)       Brisbane 3,645 (-54)       Adelaide 1,428 (+38)       Perth 2,339 (-34)       Hobart 280 (+15)       Darwin 38 (-7)       Canberra 456 (+28)       National Capitals 21,540 (+62)                UNITS FOR RENT AND WEEKLY CHANGE     Sydney 9,135 (+92)       Melbourne 5,909 (+25)       Brisbane 1,996 (+38)       Adelaide 446 (-20)       Perth 714 (-5)       Hobart 70 (+3)       Darwin 78 (+8)       Canberra 695 (-26)       National Capitals 19,043 (+115)                HOUSE ANNUAL GROSS YIELDS AND TREND       Sydney 2.61% (↑)      Melbourne 3.01% (↑)      Brisbane 3.00% (↑)      Adelaide 3.10% (↑)      Perth 3.52% (↑)      Hobart 3.79% (↑)      Darwin 5.35% (↑)        Canberra 3.59% (↓)     National Capitals 3.26% (↑)             UNIT ANNUAL GROSS YIELDS AND TREND         Sydney 5.21% (↓)     Melbourne 5.98% (↑)      Brisbane 4.56% (↑)        Adelaide 4.94% (↓)     Perth 5.50% (↑)      Hobart 4.86% (↑)      Darwin 6.98% (↑)        Canberra 6.21% (↓)     National Capitals 5.34% (↑)             HOUSE RENTAL VACANCY RATES AND TREND       Sydney 1.4% (↑)      Melbourne 1.5% (↑)      Brisbane 1.2% (↑)      Adelaide 1.2% (↑)      Perth 1.0% (↑)        Hobart 0.5% (↓)       Darwin 0.7% (↓)     Canberra 1.6% (↑)      National Capitals $1.1% (↑)             UNIT RENTAL VACANCY RATES AND TREND       Sydney 1.4% (↑)      Melbourne 2.4% (↑)      Brisbane 1.5% (↑)      Adelaide 0.8% (↑)      Perth 0.9% (↑)      Hobart 1.2% (↑)        Darwin 1.4% (↓)     Canberra 2.7% (↑)      National Capitals $1.5% (↑)             AVERAGE DAYS TO SELL HOUSES AND TREND       Sydney 32.7 (↑)      Melbourne 32.4 (↑)        Brisbane 33.3 (↓)     Adelaide 27.4 (↑)        Perth 37.9 (↓)       Hobart 27.4 (↓)     Darwin 27.7 (↑)      Canberra 29.7 (↑)      National Capitals 31.1 (↑)             AVERAGE DAYS TO SELL UNITS AND TREND         Sydney 30.5 (↓)     Melbourne 29.9 (↑)      Brisbane 33.2 (↑)        Adelaide 21.3 (↓)       Perth 38.5 (↓)     Hobart 31.1 (↑)        Darwin 38.7 (↓)       Canberra 38.0 (↓)       National Capitals 32.6 (↓)           
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The Biggest Winners and Losers From the Work-From-Home Revolution

Remote or hybrid work has become the new normal for millions of people. We are only just starting to see the impact.

By NICHOLAS BLOOM
Fri, Dec 15, 2023 9:06amGrey Clock 4 min

The fivefold increase in working from home ushered in by the pandemic is perhaps the largest change to hit U.S. labor markets since World War II. It has touched just about every manager in America, reshaped industries including real estate and business travel, and led to an exodus from city centres to the suburbs.

And working from home is here to stay—at least in a hybrid model where a commute to the office is limited to just a few days each week. Tracking detailed survey data, we see working-from-home levels were rapidly dropping from 2020 to 2022. But by early 2023 they stabilised and have remained flat ever since. Hybrid working has become the new normal for millions of professionals and managers across America.

So, it’s time to tally up the impact. Looking ahead to 2024 and beyond, who are the biggest winners and losers from the work-from-home revolution?

Start with the losers

The biggest losers are likely city-centre office and retail property owners. The massive shift to home working has created a doughnut effect in major cities around the world. Millions of employees are no longer commuting every day, leaving many offices half-filled and retail stores struggling for customers. The owners of this real estate—often pension funds, family firms and endowments—have collectively lost hundreds of billions of dollars of investments.

In the long run, the sector will slowly recover as supply contracts. New construction has slowed, some empty buildings are slowly being converted to residential accommodation, and some lower-quality offices will be torn down. But recovery will take years to complete. Winter has come for the office sector. One forecast that a major leasing company shared with me was it would take until 2033 for occupancy to recover to pre pandemic levels in San Francisco—perhaps the hardest hit city.

Another loser has been mass-transit rail systems. Ridership has dropped by 30% nationally as commuters shift from a five-day commuting schedule to two or three days a week. These commuter rail systems have high fixed costs due to inflexible track and train costs, alongside rigid union-controlled labor expenses.

Large drops in ridership revenue translate into larger budget deficits. To date these deficits have been bailed out by pandemic-era federal and state subsidies. But the fear is unless public transit costs can be right-sized, once these subsidies run out they will see devastating service cuts or outright closure.

Growing up in Britain, I heard about the infamous Beeching cuts of the 1960s, which cut station numbers by 55% and devastated rail travel. I fear something similar happening to U.S. transit for 2024 and beyond unless operators and unions can align cost with revenues.

The third big loser has been big cities. American cities occupy surprisingly small spaces. For example, San Francisco is less than 50 square miles, comprising just the tip of a peninsula. So, when city-centre residents fled for the suburbs, they took their tax dollars with them.

As we know from the experience of New York in the 1970s, cities can adjust by cutting expenditures. But this will be painful and risks a hollowing out of city centers if key services like police and education are cut. Indeed, bond markets have already cut the prices of many city municipal bonds, providing an ominous signal of the budgetary struggles ahead.

But there are winners

It isn’t all gloomy, particularly for the biggest work-from-home winners: the workers. In national surveys, employees report they value the ability to work from home two or three days a week as much as an 8% pay increase. Multiplied across the roughly 70 million Americans who are currently working from home, this is a perk valued at roughly $500 billion a year. This vast dividend has benefited employees through less commuting and lower stress, alongside more personal, leisure and family time.

One recent study highlighted how the typical U.S. home-working employee spends 40 minutes more a week on child care from the time saved from avoiding the daily commute. This will have longer-run effects ranging from higher labor-force participation rates—possibly pushing up growth rates—to potentially even a fertility dividend as parenting becomes somewhat easier.

Another winner is the environment, thanks to reduced travel and energy needs. A recent study found working from home two days a week reduces pollution by about 15%. This comes from lower commuting emissions alongside additional savings from lower office energy bills. A double dividend is the reduced congestion on emptier roads, with traffic speed data from Inryx suggesting the morning commute is 10% faster.

And perhaps the biggest work-from-home winner are companies. Research finds that hybrid working three days a week in the office has a net neutral on employee productivity, while allowing firms to save on recruitment and retention costs. Firms can save money by trimming office expenses while using remote working to lower labour costs by hiring employees outside major cities.

U.S. firms made about $1 trillion higher profits in 2022 than in 2019, an increase of almost 50%. While many factors likely contributed to this, including the strong economic growth, it is notable this happened alongside the fivefold surge in working from home. Indeed, the mass adoption of hybrid working by millions of firms across the U.S. and Europe is perhaps the strongest evidence of its positive impact on profitability.

Looking further out, the biggest change will almost surely come from the new technologies we use to work remotely. When I first started working in the 1990s, working remotely meant conference calls and emailing files. Now we telecommute and share files on cloud networks.

The future likely heralds similarly large changes. In discussions with startups and tech firms, I hear about systems for holographic meetings, wall-size screens and global connectivity. This technology means working from home hasn’t just stabilised but is now moving into its longer-run phase of expansion. Ten years from now we will look back at 2023 as the beginning of the long bull market in hybrid working.

Nicholas Bloom is a professor of economics at Stanford University.



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The Federal Budget may have softened some of its proposed tax reforms, but it has exposed a bigger issue: too many families are relying on wealth structures that no longer reflect the realities of modern life.

By Opinion, Anthony Hunt
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For many Australians, the 2026 Federal Budget initially felt like a direct challenge to the way wealth is created, held and transferred between generations.

The headlines were immediate: changes to capital gains tax, reforms to discretionary trusts, restrictions on negative gearing and increased scrutiny of investment structures. Unsurprisingly, affluent families, business owners and investors began asking the same question:

Is the way we hold our wealth still fit for purpose?

In recent days, the government has announced several significant amendments following industry consultation and public feedback, including exempting testamentary trusts from the proposed 30 per cent minimum tax and expanding capital gains tax concessions for small businesses.

The backdown is welcome. But it also highlights something much bigger.

This Budget has accelerated a conversation that many Australian families have been postponing for years.

The conversation is not really about tax. It is about wealth stewardship.

For decades, Australians have built wealth through businesses, property, investments and careful long-term planning. Yet many families have not revisited the legal structures surrounding those assets in years, sometimes decades.

We often see clients who have spent years building significant wealth, only to discover their legal arrangements no longer reflect their current circumstances.

Their children are now adults. They may own multiple properties.

They may have sold a business, entered a second marriage, become grandparents or accumulated digital assets that did not exist when their original estate plans were prepared.

The trust that distributes income may need to be reconsidered. The bucket company may no longer be so attractive.

The Budget has simply exposed a reality that already existed: wealth structures cannot remain static while life continues to evolve.

Importantly, trusts themselves are not the issue.

Trusts are legitimate planning tools that provide flexibility, protection and continuity. When used appropriately, they allow families to adapt to changing circumstances over time.

And neither is tax the issue, really. Getting the fundamentals right is more important for long-term, sustainable wealth than a few favourable tax treatments around the edges.

Anthony Hunt

The real issue is complacency.

Too often, families create structures and assume the job is done. It isn’t.

Estate planning is no longer a document you sign once and file away in a drawer. It is an ongoing process that should evolve alongside your life.

We are also seeing a broader shift in how Australians define wealth itself. It is no longer just the family home and an investment portfolio.

Modern wealth includes businesses, digital assets, cryptocurrency, intellectual property, frequent flyer points and increasingly complex family arrangements.

At the same time, Australians are living longer than ever before, meaning wealth may need to support multiple generations simultaneously. This creates new responsibilities and new risks.

How do you help your children enter the property market without exposing family wealth to relationship breakdowns?

How do you structure wealth so that it remains a source of opportunity rather than future conflict?

These are the questions families should be asking now.

The recent debate surrounding testamentary trusts also serves as an important reminder that policy decisions can have unintended consequences for vulnerable Australians. It is encouraging that the government has listened to feedback and clarified its position.

But the lesson remains: the wealth landscape is changing.

Increasingly, governments, regulators and tax authorities are paying closer attention to how wealth is held and transferred. That means families cannot afford to adopt a “set-and-forget” approach to their structures.

The families who will be best placed for the future are not necessarily those with the greatest wealth.

They are the families with the greatest clarity. Clarity around ownership, succession and governance. And clarity around how wealth will transition from one generation to the next.

Ultimately, preserving wealth is not about avoiding change.

It is about preparing for it.

Because the greatest risk is not change itself.

It is losing the ability to respond to it.

Anthony Hunt is Co-Founder of Wealth Lawyers and former COO of Westpac Private Bank. He advises business owners, investors and affluent Australian families on wealth protection, succession planning and intergenerational wealth transfer

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