The ANZ’s quarterly property industry survey is out and shows a nice bump for this quarter
Property industry confidence strengthened in the March quarter, increasing on a more stable outlook for the global and Australian economy, compared to the previous quarter. Looking ahead, the mining investment boom is approaching a peak and the Australian economy will become increasingly dependent on a cyclical rebound in non-mining investment in the years ahead, with the property sector a key driver of this transition.
- The latest Property Council of Australia-ANZ Property Industry Confidence Survey reveals the improved economic outlook, combined with further RBA rate cuts, are having a positive impact on the property sector outlook. The Property Council of Australia-ANZ property industry confidence index increased by 5pts in the March quarter (107 compared to 102 in the December quarter), following a 4pt decrease in the December quarter.
- The March quarter survey polled more than 3,000 property industry professionals – the most comprehensive survey of Australian property industry views – and revealed stronger expectations for house price growth and positive expectations for property construction. This result reflects recent growth in building approvals and tight market demand/supply fundamentals in both commercial and residential property.
- Property industry confidence increased in all states and territories except Tasmania and the ACT in the March quarter. The states with the greatest exposure to the mining industry (WA and the NT) continued to report the highest confidence in level terms, followed by NSW. Victoria, Tasmania and the ACT were the only states/territories to report ‘negative’ confidence.
It’s interesting to observe the ANZ’s interpretation of the result, that it is rising because of a more “more stable outlook for the global and Australian economy”. The reverse is actually true with interest rate falling as a result. It’s the lower rates are boosting confidence as greater instability looms.
Whether they will work remains of course the critical question. While it is now well-publicised that building materials firms are preparing for a structural shift to lower activity, the same is obviously not the case for other members of the property industry that this survey covers. Confidence is rising among developers, real estate, finance and investors that some kind of recovery is taking hold. Expectations for price growth are up:
And for construction too:
Having said that, outside of Perth and Darwin, expectations remain very subdued. We might best see this result as a rise from very low expectations. A not unreasonable result.
PCA ANZ Property Confidence Survey March 2013.pdf by
Figures for the “March Quarter” are surely premature.
We are only 2 weeks into the quarter, about half of which was a holiday for most.
“The March quarter survey polled more than 3,000 property industry professionals – the most comprehensive survey of Australian property industry views – and revealed stronger expectations for house price growth and positive expectations for property construction. This result reflects recent growth in building approvals and tight market demand/supply fundamentals in both commercial and residential property.”
Diverse and impartial sample there.
What? This is bizarre. They just make stuff up. Positive outlook for the global economy? Hence, a positive outlook for Australian property? In the first quarter of 2013 – (it is the 17th of January)
Why not just put out a 1 page report which says Keep Calm and Carry On….
There has never been a better time to buy!
Better get in quick before you’re priced out of the market
you beat me on that one
yeah, I glad my hard work pays off, you finally see the light.Get it now or you will miss out forever
you will feel so good not being a second citizen/low class renter anymore.
“” I glad my hard work pays off, you finally see the light”"
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It seems to be standard bot practice to masquerade as a foreigner / immigrant investor who is supposedly ‘making a killing’ in the property market. Trying to give the impression that if you dont buy in now then you will be nothing more than a serf to a foreign landlord. (i.e. second class citizen).
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You broken english is getting worse with each post it seems, sounding more and more like Yoda every day.
you re right Chris I am getting lazy with my English, i ll try to do something about it, my job is now too lay-back, the business runs pretty much without me, I am loosing my neurons and I am becoming analphabet.
I am certainly not making a killing with properties (but I got some pretty nice deals last year, the power of cash) but I need to invest my cashflow somewhere, and IMO property is not worst than anywhere else ( especially since I leave gold and financial markets to the suckers ), probably better I would say, hopefully but hope is not a strategy
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by the way Chris I rent myself
and i like it that way.
Dam, just out of interest, what field is your business in?
Wait, what? March quarter?? This isn’t an early April Fool joke, is it? Are they serious?
Surely, even the property industry isn’t this daft! Come on, this must be candid camera on MB, right?
So the property industry say this year will be a good one. ok then.
Bwahhahahahahhahah
March quarter on the 17th of Jan ……
Financial prospects must really be looking good for those “3,000 property industry professionals” in the survey.
Certainly looks like it will be a good month or two for agents in my area. The number of new listings in the past week is phenomenal. A lot of sellers seem to be opting for auctions or by negotiation sales.