“2013 – The year that was” is the Theme of this month’s HTW Month in Review
– Opinion on the Melbourne residential market begins at page 30. Here are some highlights:
– The Melbourne property market has experienced overall steady growth throughout the year.
– Melbourne continues to recover and has reached a new median house price peak of $595,500 for the September quarter (in contrast to $518,500 for the same period last year) indicating an annual increase of 14.9%.
– The house price index for Melbourne also shows steady recovery rising by 4.7%.
– The combination of the RBA’s decision to keep interest rates low, continued strong immigration and international investment has contributed to increased sales activity for the year.
– The market has also benefited from increased demand from SMSFs and small movements from the return of first home buyers.
– With building activity being in decline since the last quarter of 2012 this year has proven to show a steady recovery with increased numbers of building approvals reflecting a seasonally adjusted increased trend of 18%.
– Consumer uncertainty this year has been mainly driven by the unemployment rate increasing by 1.2%, largely as a result of the downturn in the manufacturing industry (Ford announcing its production plant closures in Broadmeadows and Geelong) and potential policy changes still expected to filter through.
– Despite the effects of consumer uncertainty the rate of annual housing finance experienced an 11.5% growth over the same period last year. Auction clearance rates have demonstrated strong demand with clearance rates at 72% YTD
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Thanks to Alphabroker for this summary