16 April 2013
NAB survey tips price growth of 3.8 per cent NAB’s Quarterly Australian Residential Property Survey for the first quarter of 2013 has reported a positive lift in property market sentiment and confirms prices are on the rise. NAB Group Chief Economist Alan Oster told the Australian Financial Review that optimism in Victoria had increased significantly, with the state being “the biggest turnaround.” The panel surveyed for the report predicts growth of 3.8 per cent in Victorian house prices over the next two years with capital growth expectations evident across all price levels. Improved affordability, continuing low interest rates and the recent share market rally were cited as factors enticing first home buyers and investors back into the market. Similarly, recent research from the REIV notes a significant shift in affordability with an improvement of 20 per cent since late 2010 when prices peaked. For buyers, the message is clear: it’s time to act while affordability is still on your side. With prices heading upwards once again, and rents tipped to increase by 3.6 per cent over the next two years, now’s the time to make your move.
Greg Hocking