The Reserved Bank of Australia is showing optimism as house prices have increased annually by 5.5%. For the month of September alone, home values have increased by 2.5%. The value of dwelling relative to income is also below normal levels – an indication that the Nation is earning enough to purchase property.
People are starting to take notice of the Property Sector, as shown by above average auction clearance rates for the past months. Construction has also been higher than last year, a strong sign that demand for new homes are increasing. Credit growth has been mediocre, but because of low interest rates, people are most likely to take advantage of this in availing home loans.
Read more about this on the Australian Property Investor website.