The year 2012 saw lots of development and growth in the housing and property development markets in Australia and also in a good number of other regions across the globe. Many property investors and experts have realized that there was considerable growth in this market as opposed to the past couple of years. The housing market in the United States and the larger European continent has also grown considerable and this means that Australia and its major cities such a Sydney, Melbourne, Brisbane, Adelaide and Perth have got potential for gaining more profits and benefits from the housing market.

In as much as the floods that are being experienced in Queensland and Northern NSW regions have been linked to a downsize in the property market here, many investors are still optimistic of the year 2013 ahead. There is no doubt that such kinds of natural disasters can have a significant effect on the real estate and property market but very few people are forecasting a bad year ahead. In as much as this is going to slow down the economy and increase cases of unemployment, the property market here is not likely to experience any considerable shakeups.

If we can take a good look at the year that was and the capital growth performance to date, there is no doubt that players in the Australian property market have truly gained a lot from this business. Many people are looking for houses to buy or lease. On the other hand, the cases of land and house rentals have been on the rise and this has significantly beaten the effects of inflation by a large margin. The growth of the real estate industry in Australia is therefore according to many experts expected to grow at a very fast rate. Increases in rentals are definitely good news to most of the investors in this industry. This state of affairs is still expected to hold much water for many years to come.


Even with the improvement in the market, there has also been some considerable growth in the sales activity over the last one year. If you take some time to analyze some sales figures in the property market for people buying and selling a home, you will get to realize that the unit market has become important and as significant as the land and house market. Experts show that the market share of the unit sold is rated at 44%. This is a very good margin and value for an industry that still has got potential for growth in many years to come. If you take a good look at the property or real estate market in Sydney, you will get to realize that unit sales are almost equal with the various volumes amounting to 4000 dwellings for one full year.


Many experts in the real estate or property industry in Australia today will tell you that there is no strong growth expected to occur. This is despite of the fact that there are low interest rates being put forward and moreover, there are more likelihood of rate deductions in the coming years. The RBA seems to be the major reason as to why the property market in Perth, Adelaide, Brisbane, Sydney, and Melbourne still continues to suffer some major shakeups. If only the RBA could be able to cut rates in one move rather than doing a series of cuts in the year 2013, the property market here might actually get back to its proper footing and the investors can start getting better returns and profits from their investments.


If luck has it in the year 2013, the average growth of the real estate industry in Australia might go just above inflation. With recognition of the position and the state of the housing sector in this part of the world, growth outcomes might actually be easily achievable. This however would take a lot of dedication not only on the side of investors but also for the property marketers. It will also depend on the economic developments that would be gained in the next 12 months alongside any consumer sentiments. Again, the year 2013, comes with its own twist with the element of cross claims and political exaggeration. Political or rather electioneering years come with a considerable effect on the real estate industry and thus Australia might face the axe this time.


The year 2013 is expected to come with its own taste of surprises in this ever unpredictable industry. However, property developers and investors in Australia know that there are a couple of elements that would steer them to prosperity during this year. The year would therefore be driven by;

  1. Employment conditions
  2. Affordability in the housing market
  3. Consumer sentiment

These are just but some of the key elements that are expected to impact the Australian real estate industry in the past couple of years.


Despite their having been lots of reductions in the property industry, the issue of affordability of housing and business premises is still a thorn in the flesh for many Australians. Even with the current state of interest rates, a good number of people are not able to afford making loan repayments that are needed to enable them to complete and buy property which suits their preferences and needs. This does not also make the environment favorable for people to get the houses of their dreams.

The competition in the property industry has reduced significantly and this is one factor that has led to a great decrease in the demand for housing and commercial business premises in some of the major cities in Australia. In as much as this might not be true for all Australia, it has largely affected houses and land in some of the major markets in this part of the world.

The issue of affordability affects people in various market segments and basically people who have got varied income levels. The issue of location and price thus comes into the picture in such a case. For many people, they look forward to purchasing homes basing on their current income status. However, this is not always the case for a good number of them since they are not able to get the property they want since their purchasing power is pretty low. If you need to buy or rent a house in Australia today, perhaps this is an element that you might have to consider.

To The Investor

If you are an investor, the year 2013, should offer a good platform for developing quality rental streams and thus you have to be aware of some of these elements. You can be able to do this best by looking for proper renovation opportunities. Any informed investor should be able to weather the storms in the market in the year 2013 and thus these are elements that have to be considered largely. You have to make sure that you always look forward at all times. This means that you have to know that what is performing well today might as well not perform better in the coming years and thus you have to keep tabs with any kind of developments in this industry.

0 replies

Leave a Reply

Want to join the discussion?
Feel free to contribute!

Leave a Reply