The real estate market in 2021 has seen a rebound, and how, right?
Be it a metropolitan city or a suburb, property prices as well as rent prices are on the rise, making the Australian Real Estate Market all set to reach $10 Trillion by April ’22!
Westpac’s prediction for 2022 property prices has been one prospective investors should look out for. Westpac’s latest outlook predicted that the property prices will rise 8 per cent in 2022. Over the past year, Sydney house prices have risen over 24%, Melbourne 15% and Brisbane 20%. The COVID lockdowns have barely had any dampening effect on the property prices and the markets continue to show very strong momentum throughout this year and next year! Westpac has predicted and expects a 22 per cent gain for the full 2021 calendar year, 4 per cent more than the previous prediction of 18 per cent. Will we see the same trend in 2022? They’ve already revised their previous 5 pre cent growth prediction of 2022 and are now expecting an 8 per cent. Keeping Westpac aside, all other bank economists agree that it is likely that all our capital cities will experience strong house price growth over the next couple of years with house prices rising 20% to 30% over this property cycle.
How will this prediction affect major Australian cities?
Experts are also predicting that the house prices could rise by $102K by the end of next year due to the full fledged reopening of international borders. They have forecasted an 8 per cent increase to house prices in Sydney taking the current median value up to $1.37 million by the end of 2022!
Not just Sydney, even Melbourne is set to experience a 9 per cent increase making houses $74.8K more expensive next year. Even Brisbane houses are also expected to jump up by 8 per cent costing home buyers a house in Brisbane $50K more expensive, while Capital city Canberra’s are expected to soar by $51K. Perth and Adelaide’s property prices rise will be neck to neck with Perth’s expected to increase by $24K while Adelaide’s at $25K.
Just like this year, is Sydney all set to break records in 2022 as well? Sydney’s median house prices are just shy of a record-breaking $1.5 Million, as the nation’s property market continues to boom.
In the last twelve months, Sydney’s house prices rose by an average of $6700 every week, or $957 a day, as per Domain’s September Quarter 2021 House Price Report!
Currently, the total value of residential real estate in Australia is estimated to be $9.1 trillion, an increase of $1 trillion in just five months and is all set to increase by another $1 trillion with in the next 6 months, as the Australian property market is all set to reach to $10 trillion by April 2022!
The government says it wants to encourage first home buyers, and with borrowing costs lower than they have been in a long time and the reassurance that interest rates won’t rise for a number of years, it is likely that first time home buyer demand will remain strong throughout the year.
With prices set to peak next year, it seems like the best investment strategy would be to invest in property before the end of this year!
Now that you know all the reasons why you should invest in property before next year, connect with our property consultants and get all the help and advice you need! Get with us at at 02-81230180 or dropping us an email at firstname.lastname@example.org
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