Housing Boom to Be Led by Sydney’s West
Although Australia has recently had a depressed housing market, 2013 is expected to bring more favourable conditions and Sydney is the location predicted to lead the property boom.
Reduced interest rates appeal to those with home loans and with further interest rate cuts expected, increases in property prices – by as much as 5 % – are possible.
The western suburbs of Sydney have been marked as an area where significant rises will be realised. An increased number of loan applications and building approvals indicate that the housing construction industry will receive a much-needed boost.
Economists from UBS investment bank believe that more than 15,000 new homes will be built throughout Australia than were built in 2012. In total, this will mean that 150,000 new homes will be constructed in 2013, a level considered more reflective of ‘normal’ conditions.
As New South Wales will enjoy the biggest gain from interest rate cuts, it will be the location of the majority of these newly built homes.