Confidence returns to housing market
Australian home buyers are becoming increasingly optimistic about the country's property market, with one report showing confidence is surging among three quarters of the population.
The Commonwealth Bank-Mortgage and Finance Association of Australia (MFAA) home finance index released this week (October 22), revealed that consumer sentiment is at its highest level since May 2011.
Just less than 76 per cent of the 1,423 people survey expected that residential property prices will stabilise or grow up until the end of year - indicating increasing confidence in the real estate sector.
"The improved sentiment comes as the financial position of households remains static, while the vast majority of home loan borrowers are finding it easier to make home loan repayments than they were six months ago," the survey said.
As a further tick of confidence, 77.9 per cent of respondents believe now is a good time to break into the real estate property, with the majority preferring to buy a new home rather than carry out upgrades on their existing dwellings.
MFAA chief executive officer Phil Naylor said West Australians were the most confident about the property sector, with New South Wales coming in closely behind.
"The property market is all about confidence and the survey confirms that good times are ahead, especially as interest rates continue to fall," Mr Naylor explained.