Australia Q4 Housing Market Sentiment Index Unchanged, but Varies Across States

Australia housing market sentiment, measured by National Australia Bank(NAB) Residential Property Index, was unchanged in Q4 as positive expectations for house prices offset by slightly weaker rents, NAB said.

Overall confidence rose slightly with Victoria(VIC) & New South Wales(NSW) well above national average while West Australia(WA)trailing by a long way.

Survey expectations for house prices in next 1-2 years unchanged overall, but down a little in VIC & NSW, higher in QLD and negative in WA. NSW & VIC still best states for rents, but faster price growth (especially VIC) suggests yields will soften.

The bank said it expects housing market to cool, especially for apartments; while maintained its expectation for further benchmark interest rate cuts in 2017.

- APMR News