Karratha Outlook The Karratha property market in Western Australia’s Pilbara region has turned, and is set to improve over the remainder of 2013, with strengthening market conditions on the back of a falling market in the first half of the year. Underpinning the market will be the upcoming Federal Election, buyer confidence, and projects that require imported work forces. Increased mining activity in the Pilbara region will require more workers to man the new projects and upgrades to existing projects. This will see an influx of residents, which will affect supply and demand ratios – placing a strain on existing house supplies. This will drive property prices across all sectors of houses, apartment/strata and land prices upwards. Key performance indicators show the average number of days a property is on the market is expected to fall over the coming six months, while Sales are expected to increase and Property Listings should hold at current levels – all signs the market is poised to upturn – expected to occur closer to, or just following, the election. There is expected to be a shift in power following the election, which should have a positive impact on the market, strengthening consumer confidence levels. Even though affordability is currently very high, stronger consumer sentiment is required to see transaction volumes return to more normal. It is also incumbent on the Australian government, whichever party is in power, to support Australia’s property market over the coming six to 12 months. They should consider introducing more buyer incentives, especially for those wishing to upgrade.
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First National Real Estate | 2013 Property Market Outlook Mid Year Update