Our tale begins in Melbourne where total real estate sales in the first three months of 2013 have totalled $6.1 billion, according to the real estate institute of Victoria. This is a $900 million increase on the same period last year, representing a daily increase of 22 median Melbourne properties being sold.
Moving up the Hume Highway now to Sydney, where NSW Planning Minister Brad Hazzard has unveiled a blueprint for 100 thousand new homes to be built across three council districts, part of a plan to create affordable housing options around public transport. Mr Hazzard says the new communities will kick-start investor and consumer confidence in Sydney’s housing construction industry.
Both of the major cities also produced gallant auction clearance rates from a significant number of listings over the weekend.
Real Estate figures
It’s the property market battle of the sexes this week, with the Australian Bureau of Statistics compiling data from the 2011 census and concluding that women outnumber men when it comes to owning their own home. ABS figures show 61 per cent of women own their own home, compared to 58 per cent of men. The gap is even more significant among singles, with 65 per cent of single female households owning their dwelling compared to 55 per cent of single males. The leaning towards the fairer sex in the ownership stakes is having an influence on the manner in which vendor’s market properties, with display strategies favoring a woman’s touch.
Commentary
Turning to commentary and FNN spoke to NAB’s Group Chief economist Alan Oster for his view on the strength of the Australian property sector in 2013:
“I think the property sector’s doing better, particularly in residential. I think there’s clearly been a bottoming and it’s starting to pick up now- particularly in New South Wales and Western Australia. South Australia and Victoria are doing relatively poorer, but generally I think the market’s moving up- but I wouldn’t get excited- I’d say 5 – 7 per cent at max.”
To watch more of the interview click
here.
Australian auction results
This week’s auction results across Australian capital cities -
Sydney recorded a 75 per cent clearance rate from 284 properties for auction, Melbourne cleared 65 per cent from 321 properties, Brisbane had a 39 per cent clearance rate from 17 properties listed and Adelaide cleared 48 per cent from 29 reported auctions.
Commercial property sector
Stockland
(ASX:SGP) plans to more than double the size of the Hervey Bay shopping complex in Queensland through a $115 million redevelopment, expecting a return on investment of between 13-14 per cent once the upgrade is complete at the end of next year.
Property developer Watpac Limited
(ASX:WTP) has scored a $200 million deal to build a 34-storey office tower including commercial and retail space in the centre of Brisbane.
Property investor Sunland Group Limited
(ASX:SDG) has refuted media reports claiming its executives have been summoned to give evidence in a bribery case in Dubai, claiming the company is not a party to the case.
