Paul Miron – Managing Director:
The latest official property data figures have been released, indicating Australian houses prices in some capital cities have risen as much as 29% – the sharpest increase in the residential property market since 1988. What makes this even more astounding is that this occurred during a once in 100-year pandemic and negative net migration growth, the first time since WW2.
While most of us are scratching our heads in disbelief, bank economists are upping their forecasts. Their consensus is that the property market still has another 10% to 17% in appreciation to go in the coming 12 months. Essentially bank economists have generally got it wrong during COVID-19, with their first estimating that property prices would drop by over 30% in 12 months. The truth is, prices increased by over 15%.
