Western Australia 72% say the average number of days a property takes to sell will fall and 57% say they expect property listings in their region to remain at current levels. However, 29% anticipate they will rise – further evidence vendor confidence in selling continues to strengthen. In towns like Port Hedland and Newman the property market remains strong. Although the very negative comments in the national press may have caused investors to query the long-term sustainability of house prices and rental returns, the outlook for property remains very positive. This region is more sensitive to factors affecting the Chinese, rather than the Australian economy, and early indicators are that demand for resources is beginning to ramp up again, that by the mid next year iron ore prices will have stabilised, and confidence in this sector will have returned to early 2012 levels. The residential market in Port Hedland and Newman is attractive to both investors and owner-occupiers and although tougher lending criteria may have made borrowing that bit more difficult the income levels in the Pilbara continue to support sales.  Local agents are confident that although the huge capital growth of the last 5 years may slow down, the region will still dominate the property market in 2013.
Residential Prices With steadily improving market conditions, property prices are expected to also gradually improve. Western Australian and specifically Perth, house prices, are expected to rise in the coming 12-18 months according to industry data, especially where the mining and resources sector remain strong. This view is supported by the survey where 71% of Western Australian members say house prices will rise as a result of improving consumer confidence, and a general acceptance that the market has bottomed.
2013 Property Market Outlook | First National Real Estate
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