WBP Property Group, the national property services firm, this morning held the property industry’s premier Property Outlook breakfast with discussions and positive forecasts on Australia’s property future.
Macquarie economist Brian Redican and property commentator and experienced property valuer, Chris Lackey of WBP Property Group discussed the recently released NSW State Budget and the bearing it will have on Sydney property buyers and the state’s economy in 2012-13.
In particular, WBP Property Group NSW state manager, Chris Lackey discussed the implications of the doubling of the First Home Owners Grant for new homes, which comes at the expense of established homes.”This is good for news for first home buyers who have previously found the new home segment unaffordable in Sydney. It will also stimulate the housing and construction sector which forms such a critical part of the state’s economy,” said Lackey.
Trend forecaster Bernard Salt provided Sydney residents with an optimistic outlook, “Put simply, Sydney is a big global city with critical mass in key infrastructure as well as corporate depth. Sydney’s best years lie ahead. Part of the reason behind Sydney’s resurgence is resolution of state governance issues and that simple fact that this city remains the Australian portal to the global economy. Sydney has the most head offices and Australian offices of overseas businesses,” said Salt.
Salt explained that the Sydney market is unique in Australia as it adds more people every year than Melbourne and has a reduced interstate migration since the GFC. “New lifestyles, new ethnicities and new social behaviours are likely to drive demand for well-positioned investment property rather than lifestyle properties in the inner and even middle distance suburbs,” said Bernard.
Lackey agrees, “The Sydney market has become increasingly diverse with individual market segments responding to different drivers including supply issues, government tax incentives and housing strategy, rising cost of living, infrastructure, affordability, and social issues” said Lackey.
Lackey identified and shared his views of different segments of the market and how they will perform in 2012, “Pittwater is a market that was hit hard by the GFC and has never really recovered representing a poor or risky investment. The inner western market is very resilient. To be holding its ground in the current market is a very positive sign for strong capital growth potential.”
It appears that our Australian market is finely balanced. On one side it’s been held back by weak consumer confidence off the back of international economic uncertainty. On the other side, we have reasonable local economic conditions, lower interest rates, improved affordability, and a transparent market.
About the event
The Property Outlook breakfast was hosted by WBP at The Ivy, Sydney. Property Outlook provided delegates with a performance forecast of the Melbourne property markets for 2012, examined the influences of macro and micro factors, the fragile and strong components of the current market, and highlighted the urban and regional performers for investors to watch closely.
About WBP Property Group
Multi-award winning WBP Property Group is an independently owned and operated national property valuation, advisory and management company. WBP offers a complete range of specialised property services through its branch offices in Victoria, South Australia, New South Wales, Queensland and Western Australia.
Established in 1992, WBP is built on a solid foundation of extensive market knowledge, superior customer service and industry-leading technology and has a reputation for providing clients with objective and impartial valuation services.
WBP is led by CEO Greville Pabst FAPI, FRICS and Director Patrick Brady AAPI, MRICS, Dip. Ed, and supported by executive and management teams in addition to over 100 valuers, property advisors, property managers, marketing, IT and administrative professionals.