Powered by MOMENTUM MEDIA
realestatebusiness logo

Breaking news and updates daily. Subscribe to our Newsletter!

Home of the REB Top 100 Agents
Breaking news and updates daily. Subscribe to our newsletter

Website Notifications

Get notifications in real-time for staying up to date with content that matters to you.

rpm logo latest

Property growth to level out

By Steven Cross
24 December 2013 | 1 minute read

The rapid rise in Australian house prices is likely to slow in 2014, a major international ratings company has predicted.

Advertisement
Advertisement

 

The report by Fitch Ratings stated housing will continue to grow in value at a rate of four per cent this year.

In comparison, the growth rate in the 12 months to 2013 was 9.8 per cent.

The market in this period was driven by continued economic growth, strong affordability on the back of low interest rates and a possible undersupply in property, the researchers found.

The report warned future value growth may be limited by high house price-to-income ratios and prices above the long-term average ratio relative to rents.

Price growth is expected to be strongest in Sydney, Melbourne and Perth, while some other cities may remain flat.

Affordability may drop as price rises continue to outpace incomes, according to the report.

The ratings company stated increased activity in the property sector was driven by investors and owner occupiers rather than first home buyers, who may be struggling to enter the market.

Property growth to level out
default
lawyersweekly logo

ABOUT THE AUTHOR


Listen to other installment of the Real Estate Business Podcast

 

 

Subscribe to our RPM
mailing list

 

Do you have an industry update?

top suburbs

12 month growth
Queenton
69.76%
Flying Fish Point
69.61%
Point Piper
69.17%
Glenelg South
69.02%
Pretty Beach
69.01%
Bar Beach
68.9%
Northampton
68.7%
Kembla Grange
66.91%
Boomerang Beach
66.67%
Gnarabup
66.67%
SEE AREA REPORTS ON SMART PROPERTY INVESTMENT WEBSITE
Subscribe to Newsletter

Ensure you never miss an issue of the Real Estate Business Bulletin.
Enter your email to receive the latest real estate advice and tools to help you sell.