Media release – Date SOUTH LAKE PROPERTY MARKET STEADIES FOR 2012 Greg Tully from First National Real Estate Tully expects the region’s property market to moderate, following a rising market in the latter half of 2011 after the market bottomed out. “A strong resources and mining sector will underpin the local property market into 2012 with strong demand for all types of accommodation maintaining upward pressure on prices,” Mr Tully said in the First National 2012 Property Market Outlook released this week. A key challenge facing the South Lake property market in 2012 is seen by Mr Tully as overcoming reducing consumer sentiment even in the light of strong employment opportunities and improving market conditions. “The economic events in Europe and America will also continue to impact the local property market as it responds to every nuance of media commentary,” Mr Tully said. According to the Outlook, residential property prices across all sectors of houses, apartment/strata and land will remain relatively flat with potential increases of between 1 and 5 per cent due to strong demand. The rental market should see vacancy rates in the region trend downwards in 2012 with the potential for decreases of up to 1 per cent as there will be a shortage of supply to meet the growing demand due to the mining boom. “This tight, competitive rental market will place upward pressure on weekly rents which are expected to increase by up to 5 per cent,” Mr Tully said. Mr Tully expects investors to represent the strongest growth in activity, with a 1 to 5 per cent increase driven by the mining boom. Interest rates are expected to decrease by around 0.25 per cent which should stimulate activity in the South Lake property market. -
copy ends –
Issued by: First National Real Estate For further information or to receive a copy of the 2011 Property Outlook, Greg Tully, Principal from First National Real Estate Tully, on 08 9417 1199.