HIA Spring Property Outlook
The future looks bright for the Australian property industry.
According to HIA Senior Economist Shane Garrett, the rate of dwelling commencements in Australia is expected to consolidate after a period of significant gain moving into the new year, before surging once more.
Growth in housing starts during 2013/14 will be concentrated in large states like NSW, Queensland and Victoria,' said Mr Garrett in a statement released by the HIA on November 13.
Looking further ahead, we see dwelling commencements lifting above the 170,000 per year mark by 2016/17, matching the highs achieved during the post-GFC stimulus."
Those predictions are the result of increased demand for housing across the country, which Mr Garrett attributed to record low home loan interest rates and strong population growth.
The HIA has also forecast strong investment in renovations all across Australia over the next 12 months, a significant turnaround from the 10 year low recorded in this area during 2012/13.
This all amounts to further evidence of the continued resurgence of the Australian property industry.
Earlier this month, RP Data released its latest Rismark Home Value Index, reporting that the value of dwellings in Australian capital cities increased by 1.3 per cent during October.
That number was driven largely by the success of the Sydney property market, where home values have increased by 2.4 per cent during the month of October alone.
Melbourne also saw strong growth over that period, with property prices increasing by 1.2 per cent. Adelaide and Darwin recorded slight increases while Perth, Hobart and Canberra were the only capital cities where property values shifted downwards