Confidence returning in WA property industry
The latest survey of business sentiment across the WA property industry has revealed the first significant increase in confidence after more than three years of steady decline.
The ANZ/Property Council Survey index for WA moved up 9 points from 95 to 104 in the third quarter of 2016. This is the first improvement in confidence since June 2013, however it’s still the lowest across the country. The Australia-wide property confidence index saw a slight increase from 128 up to 130 this quarter.
“The latest results show that the property market is stabilising and expectations of an economic turn-around for the industry are becoming more apparent,” Property Council WA Executive director Lino Iacomella said.
Most survey respondents in WA continued to rate the retail and retirement living sectors as having the best prospects and there is growing optimism in hotel development, reflecting confirmation of a raft of new hotel projects in Perth CBD in the next two years.
“It is reassuring to see confidence starting to return to the WA property industry and, although the numbers are still low, they show that the market could be stabilising after a tough stretch,” Property Council WA Executive Director Lino Iacomella said.
“Although the latest results are positive, the market is still fragile and Government needs to be proactive and support broad-based economic activity in new infrastructure construction that will create jobs and build strong communities.
“Necessary reforms that will build business confidence in the property industry include, the introduction of community strata titles, more coordinated infrastructure provisioning, a fairer land tax system and consistent local planning laws.
“Ahead of the State election in March 2017, all parties need to focus on an economic reform agenda that will build business confidence and keep WA growing”, said Mr Iacomella.
To find out more about the ANZ/Property Council Survey and our Supporting Sponsor RCP go to www.propertycouncil.com.au/confidence or download the Chartbook below.
Media contact: Lino Iacomella | E firstname.lastname@example.org