State of Markets – WA March 2012

By Phillip Tarrant 01 May 2012 | 1 minute read

Essential information, plus expert insight on what is shaping the national property market...

WESTERN AUSTRALIA

Housing values to surge in PerthPerth, TAS Perth, WA
While units outperformed houses in Perth last year, there will be a resurgence in house prices, according to a new study.

House prices saw a downturn of 5.2 per cent in 2011, while units decreased by 3.3 per cent, the Australian Property Monitors (APM) House Price Report found.

However, house prices are set to grow, according to APM forecasts.

“Perth offers one of the best prospects for prices growth in 2012 with a significant increase in buyer activity,” the report says.

“With recessed house prices, together with low levels of new construction and a flood of workers seeking the wages bonanza delivered by nearly $100 billion in mining activity, Perth house prices have the clear potential to rise by a double-digit percentage.”

APM senior economist Andrew Wilson explained that decreases were due to low buyer confidence, particularly over the September 2011 quarter.

“Buyer wariness over the quarter was exacerbated by growing concerns over the state of the international economy, a weakening stock market and

a softening of economic activity,” he said.

BHP confirms $690m Pilbara project
BHP Billiton has confirmed that a satellite mine project worth just under $690 million will be developed in the Pilbara region.

The Orebody 24 mine is part of the Mt Whaleback operation, the world’s biggest single-pit, open-cut iron ore mine.

“Orebody 24 is a sustaining mine to maintain iron ore production output from the Newman Joint Venture operations,” BHP Billiton said in a statement.
Production is set to begin later this year.

The building of the mine includes construction of a train loadout facility, a rail spur and other supporting infrastructure.

“The Orebody 24 development is consistent with our strategy to invest in high quality, expandable resource basins and highlights the benefits of our ability to leverage existing infrastructure to sustain current production,” Iron Ore president Ian Ashby said.

About the author

Phillip Tarrant

Phillip Tarrant

Phillip Tarrant is executive editor – Real Estate at Momentum Media. He is also an investor with a large property portfolio.

He leads the content strategy and corporate growth for a range of market and business intelligence platforms at Momentum Media, including Smart Property Investment – the authoritative voice for Australia’s property investment community.

As head of the Smart Property Investment Podcast Network, he also steers the largest network of property podcasts in Australia, which collectively generates nearly 2 million downloads every year.

There are over 2.6 million investment properties in Australia, with over 2.1 million Australians (or around 8 per cent of all Australians) owning one or more investment properties. A vibrant and critical sector for... Read more



State of Markets – WA March 2012
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