The 2013 property market has kicked off with increased buyer activity and seller confidence, according to the most recent housing market report by Australian Property Monitors.
The Australian capital cities and Gold Coast residential property market report for February 2013 shows that leading indicators such as auction clearance rates are evidence of a strengthening market.
House prices have increased nationally by 2.7 per cent over the past year, with the highest increase in Sydney at four per cent and the lowest in Canberra at -0.5 per cent.
According to the report, first home buyers and investors were significant contributors to the housing market revival in 2012, with first home buyer activity largely generated by changes to various state government incentive schemes.
This increase in first home buyer activity is set to continue, driven by low interest rates, a solid economy, and rising house prices and rents.
The report also lists the sharemarket as a leading indicator of housing market activity, particularly in relation to prestige properties.
“With the all ordinaries now holding above 5,000 for the first time in three years, a rising bull market will activate prestige markets that are finally showing early signs of emerging from a sustained period in the doldrums”, the report states.