Confidence increases as restrictions ease
As many of our regular readers will know, we’ve been talking about the strong rebound in confidence in the property market in the City of Hume for quite some time now. So it was interesting to see the latest consumer confidence figures that were released this week by the Westpac-Melbourne Institute.
This monthly survey is generally regarded as a leading indicator of the state of mind of Australians, as it tracks how people are feeling about their personal finances as well as the broader economy.
So, as we slowly but surely work our way out of the lockdown, it is interesting to see how quickly consumer confidence has rebounded. The latest survey, which was conducted as recently as the first week of November, shows that Australia’s consumer confidence levels rose by 2.5 per cent in the past month, the third month in a row that this figure has risen. In fact, confidence levels are now 13 per cent above where they were for the six months prior to the pandemic hitting in March, and have now hit a seven-year high!
The good news for the Melbourne market is that Victoria recorded the biggest improvement in consumer confidence of any state, with a rise this month of 9 per cent as the coronavirus restrictions eased and interest rates fell to new record lows.
The Chief Economist at Westpac, Bill Evans, has been quoted this week as saying that Australia's success in dealing with coronavirus had "undoubtably" played a role in the growth in overall confidence. He said, "We are now at a seven-year high, so Australians are really indicating after the doom and gloom period of the lockdown that they are looking forward to a positive future."
Of even more interest for those keeping an eye on the real estate market was this quote, "One aspect of the survey that's most outstanding is strong confidence in the housing market, that's spilling over to general confidence."
With so many different factors helping to drive the property market right now, from lower interest rates to the easing of restrictions on Open Houses and Auctions, the value of experienced advice has never been greater if you are weighing up your options.
The team at Barry Plant Gladstone Park are ready and able to assist you in all your property dealings, so why not give us a call on 9330 1088 to discuss your options?
Regards,
Nick Pugliese – Director
Barry Plant Real Estate
Gladstone Park