Property positivity reaches record-high: Finder

More Australians than ever believe now is a good time to buy property, as the number of people expecting prices to significantly rise also hits an all-time high.

Finder’s Consumer Sentiment Tracker, which surveyed more than 20,000 people across the country, found that 67 per cent of respondents believed it is currently a good time to buy.
South Australian residents were the most optimistic, with 77 per cent of respondents saying conditions were favourable for a property purchase, followed by Melbourne at 70 per cent.

A total of 69 per cent of Brisbane respondents said now was a good time to buy, while 67 per cent of Perth respondents agreed.

Just 59 per cent of Sydney respondents said current market conditions were favourable. 

The survey also showed 19 per cent of people expected house prices in their area to significantly increase in value, up from 5 per cent in the previous survey in September.

Nearly half (44 per cent) of respondents expect property values to “somewhat increase”.

Finder insights manager Graham Cooke said the rising buyer confidence was a good sign for the economy. 

“This rebound in buyer confidence is indicative of increased economic activity over the past few months, along with an optimistic outlook for 2021,” Mr Cooke said.

“Not only did the Australian government do a better job than most at restricting the spread of COVID-19, but federal and state economic support measures helped prop up the property market.  

“Now we're seeing that house values in every capital city bar Melbourne are higher than they were compared the same time last year.”

Mr Cooke said, however, that buyers still needed to consider all aspects of a purchase before taking the plunge in the current market. 

“Low interest rates and government assistance packages like the first home loan deposit scheme put buyers in a strong position,” Mr Cooke said.

“The potential removal of stamp duty in NSW will be another boon for buyers and may spread to other states.

“If you’re thinking about dipping your toe in the market this year, make sure you have a strong credit history, and shop around before signing up for a home loan." 

Advice for first-time buyers

Mr Cooke also shared several tips for first time buyers considering entering the property market:

• Seek pre-approval. This will help you to stay within budget while shopping around. You’ll also be able to act quickly when you find the right home. 
• Know the true cost of buying. Home ownership goes beyond the cost of a house deposit. You’ll also need to factor in things like stamp duty, lenders mortgage insurance, solicitor’s fees and more. 
• Look beyond the property. You should also consider things like suburb trends, the local council, proximity to shops and amenities, public transport, local schools and whether there are any major developments planned in the area.