Nationally, the property market has grown 22% over the past year, with the pace slowing in recent months. This is the highest growth the country has seen since 1989, according to Core Logic’s Eliza Owen.
Most of the big banks are predicting further rises in 2022, before falling again in 2023, although not enough to wipe out the gains we have seen up until now.
|Bank||Predicted Rise in 2022||Predicted Fall in 2023|
Compared to the national figure of a 22% rise over the past year, the regions have shown an overall 30.4% rise in property prices.
Regions, such as Newcastle, with good infrastructure and services, that are well connected and commutable are expected to see continued demand according to REA Group’s Eleanor Creagh. Newcastle has the added benefits of robust, diverse employment and lifestyle factors, such as our beaches.
Record low rates are widely believed to be one of the biggest drivers of the current property frenzy, with prices unlikely to drop until rates rise. Experts are predicting that rates will rise in 2022, with many banks already starting to hike fixed rate while cutting variable rates to attract new customers.