Adding to today’s property melange, NAB’s quarterly property professionals survey is out today and shows a small rise in expectations for price growth:
NAB’s Residential Property Index rose to +8 in Q4’12 (+4 in Q3’12). WA (+41) the stand-out state, with Victoria (-15) and SA/NT (-20) negative. National index to climb to +49 points by Q4’13 and +61 points by Q4’14. WA to out-perform by some margin followed by Queensland. Victoria next best market in 2 years with SA/NT weakest.
Not at all unreasonable for 2013 and a confirmation of the recent ANZ survey of a similar stripe. 2014 worries me, though.
Residential Property Survey _December 2012
Hmm… I wondwer if anyone has read the previous year report and compared how accurate the forecast was vs the actual? It is always to the bank’s interest to show growth.
Property insiders extrapolating a couple of quarters of small growth out for a few years.
But they are likely right for a couple of quarters under current settings.
The government and RBA both want them to be to break the cycle of depressed thinking, one for political reasons, the other to avoid a slow downward economic spiral or property crash.