RP Data State of the Market

This is information from RP Data.

Prices & Volumes

• · Prices down 1.5% over the past 12 months across capital cities
• · Sydney and Canberra have bucked the trend and actually grew
• · Early signs of sales volumes increasing after a very weak Dec/Jan period
• · Sydney sales volumes now above a 5 year average
• · Melbourne sales volumes starting to fall as capital growth slows
• · Sales volumes in Brisbane at 10 year lows
• · Premium sector the weakest performer
• · Rents and yields continue to improve
• · House and units taking longer to sell, and vendor discounting increasing

Demand

• · The number of properties advertised for sale is at an historic high
• · Dwelling approvals were reasonably buoyant during 2010 but are now falling sharply
• · When refinances are excluded finance commitments are extremely subdued
• · Investors are taking little part in the current market
• · First home buyers and non-first home buyers relatively inactive at the moment
• · Although population growth is slowing, the supply of new dwellings has been insufficient