Aside from the ‘manufactured confidence’ courtesy of a 2009-10 stimulus package, 2014 marked the first year since the GFC where confidence was shown in Australian property markets.
As we enter 2015, the environment for property investors is healthy.
- The message from the RBA is ‘stability’ with a 2.50% cash rate remaining unchanged since August 2013. While the jury is out in regards to whether the next move will be ‘up’ or ‘down’, property investors will enjoy these 60-year low interest rates for some time yet;
- The latest ABS population figures (housing demand) showed growth over the last year of a strong 1.5%;
- Whilst the national unemployment rate rose from 5.4% to still be low at 6.1% during 2014 the country still created 134,408 new jobs;
- The construction industry is buoyant with an all-time record 195,715 new dwellings approved last year;
- Our retail industry reported a record December; and
- Our exporters received some relief with the AUD$ easing from $0.89 at the start of 2014 to close at $0.81.