Prices Tipped to Keep Rising
Australian property prices are tipped to rise by 5% a year for the next two years according to a survey of property analysts.
The poll by Reuters, conducted in February, of 14 property analysts, shows the majority think price increases will continue to rise despite substantial increases in the past three years.
ANZ senior economist Adelaide Timbrell says housing prices will still grow because people will have more borrowing capacity through the year due to tax cuts and rate cuts.
“And there’s still strong population growth and a backlog of building homes that needs to be filled.”
According to CoreLogic Australian Housing values nationwide increased by 0.6% in February, with Western Australia, Queensland and South Australia the most solid performers.
Almost every capital city (Hobart was the exception) recorded a lift in values over the month according to CoreLogic Research director Tim Lawless.
“Housing values have been more than resilient in the face of high interest rates and cost of living pressures,” he says.
