17/12/2020 - 08:00

Property confidence high

17/12/2020 - 08:00

Bookmark

Save articles for future reference.

Confidence in Western Australia’s property market has risen to its highest level in recent years, according to the latest Property Council of Australia survey.

Property confidence high
More than 30 per cent of survey respondents chose property taxes and charges as the most critical issue facing the industry. Photo: Gabriel Oliveira

Confidence in Western Australia’s property market has risen to its highest level in recent years, according to the latest Property Council of Australia survey.

Released today, the ANZ Property Council Survey for the December 2020 quarter found participants responded positively to all indicators, which included rating overall confidence and sentiment towards state economic growth, state government performance, debt finance availability and house capital growth, among other measures.

Property Council WA executive director Sandra Brewer said the surge in confidence was an encouraging sign for jobs and investment in the state.

“However, we need to focus on policy settings for sustainable growth and to avoid a ‘boom and bust’ scenario,” Ms Brewer said.

“With the state election next March, now is the time for all sides of politics to consider the policy settings that will avoid a scenario of escalating house price rises that damage housing affordability. 

“With extremely low rental vacancy, new housing supply is critical, and new models such as Build-to-Rent should be encouraged to add a pipeline of thousands of jobs and homes.

“Already, property businesses are reporting shortages in skilled labour and some interruptions to supply chains as a result of the success of the Home Builder and Building Bonus grants.”

More than 30 per cent of survey respondents chose property taxes and charges as the most critical issue facing the industry, followed by vibrant city centres, housing supply and affordability, then planning and regulation.

Ms Brewer said with borders reopening now was the time to think about how to attract interstate talent and investment that would enable WA to grow at a steady pace.

“The last thing the property industry wants to see is an extreme peak of activity, with associated labour shortages and escalating costs, followed by a sharp downturn,” Ms Brewer said.

“Ending stamp duty discounts abruptly would result in weakening development pipelines and cost newly-created jobs.”

STANDING BY BUSINESS. TRUSTED BY BUSINESS.

Subscription Options