Media release – date EVANS HEAD PROPERTY MARKET SET TO IMPROVE IN 2012 Brad Dicinoski from First National Real Estate Evans Head expects the current falling market for the Evans Head region is set to moderate into 2012, with the market improving as the year progresses, due to it having bottomed out and improving consumer confidence. Mr Dicinoski said in the First National 2012 Property Market Outlook released this week, the key challenges for the Evans Head property market will be continuing negative reporting on economic events both in Australia and overseas, and the subsequent lack of buyer confidence. ”Highway upgrades and the possible commencement of a new retirement village and nursing home are the main significant factors affecting the local property market in the coming six months, as it is expected they will provide jobs and improve access to key interstate markets,” Mr Dicinoski said. “The opening of the Pacific Highway upgrade at Ballina will, I believe, have a positive effect on the local market, cutting driving times even further to South East Queensland and making it easier for the holiday and weekender market to visit.” According to the Outlook, residential property prices in the Evans Head region are expected to trend downwards in 2012 across all property sectors of houses, apartment/strata and land. “There is the potential for price movements of between 1 and 5 per cent, although an ongoing lack of supply may hold land prices steady,” Mr Dicinoski said. The rental market should see vacancy rates trend upwards, easing with increases of between 1 and 5 per cent, while weekly rent prices are expected to decrease by between 5 and 10 per cent. Mr Dicinoski expects investor activity to increase by up to 1 per cent although this may be more if prices continue to ease serving as encouragement for investors to step back into the market in stronger numbers. “But it is the retirees which are the sector expected to represent the strongest growth for the Evans Head region,” Mr Dicinoski said. Interest rates are expected to decrease by up to 0.25 per cent, which should help improve buyer confidence. The economic events in Europe and America will also impact on buyer confidence, especially the super funds and self funded retirees which make up a good percent of the Evans Head property market.
The introduction of the carbon tax is also expected to affect the property market, further reducing consumer confidence. - copy ends Issued by: First National Real Estate For further information or to receive a copy of the 2012 Property Outlook, Brad Dicinoski, Principal from First National Real Estate Evans Head, on 02 6682 6226