Century 21 believes that the recent upward shift in housing market sentiment, as seen in RP Data-Nine Rewards' Consumer Housing Market Sentiment Survey, is a positive sign for the national housing market.
The May 2013 survey showed that 80 per cent of respondents believe that now is a good time to buy a home and 41 per cent expected dwelling values to rise over the next six months. Both measures represent a considerable improvement in the views of consumers from the October 2012 survey.
"It is not surprising that housing market sentiment has increased when one considers the lending environment and steady house price growth that we saw over the first quarter of this year," said Chairman and Owner of Century 21 Australasia, Charles Tarbey.
"Capital city dwelling values rose 2.9 per cent in the year to May 2013, auction clearance rates are currently robust in Sydney and Melbourne, and interest rates are at 53-year lows.
"These factors, in combination, have likely had a positive impact on consumer sentiment and should further encourage new buyer activity and inquiry over the coming months."
The RP Data-Nine Rewards' statistics preceded housing finance figures from the Australian Bureau of Statistics, which showed that the number of home loan approvals increased by a seasonally-adjusted 0.8 per cent in April, with the number of new home loans approved rising 3.5 per cent to a three-and-a-half year high.
"While it appears that many people are still preferring to pay down debt rather than take on additional loans, the recently reported increases in housing finance – particularly for investors and new homes – strengthens the view that consumer confidence may be returning to the property market," concluded Charles Tarbey.
For more information about the residential property market in your areas of interest, please feel free to stop by your local Century 21 Real Estate office for expert and clear advice. Additionally, if you would like to speak to a mortgage professional about suitable loan packages, please contact Century 21 Home Loans.