Despite headlines about falling prices in Sydney and Melbourne, a new survey shows many Australians remain optimistic about property prices. A survey of 2,100 people by comparison site Canstar, found 5% of Australians expect prices to “skyrocket”, with an additional 33% expecting steady growth and around 25% predicting prices will remain stable.
People are most optimistic in Brisbane, where house prices have been broadly steady, and in Tasmania, where prices have been rising strongly. About 50% in both areas expect prices to rise. However, a third of survey respondents in Sydney and Melbourne also expect price growth. More than 5% expect prices to skyrocket, while 9% of Brisbane residents think the same.
The findings come after a NAB survey of more than 2,000 consumers last week found 5% expect prices to rise at least 10% in the next year – and 25% expecting price growth. When asked their plans for the year ahead, most consumers want to sit tight, says NAB chief economist Alan Oster. “They’re not going to buy or sell, but about 20% are going to renovate,” he says.