Confidence boost in property
AN improving residential sector and a change in government has led to a jump in confidence in Queensland’s property market, according to a survey.
The Property Council of Australia-ANZ Banking Group forward-looking confidence index for the December quarter gave Queensland and NSW a reading of 142, indicating conditions are expected to improve markedly. A neutral reading on the index is 100. The rise in Queensland’s confidence index from 117 to 142 was more dramatic than in NSW where confidence in the market rose to 142 from 130. ANZ senior economist David Cannington added that while growth in house prices in Queensland was not as strong as in other states, prices were coming off a lower base due to the market being subdued since 2009. ‘‘In addition, since early to mid this year we’ve seen sustained lowering of the Australian dollar, which has provided a more optimistic outlook for the tourism sector.’’ Mr Cannington added that the household sector in Queensland had been showing signs of improvement for some time with retail spending in the state outpacing other states with average growth of 5 per cent compared with a national average of 1.7 per cent.