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ISCOVER
Staff Reporter
Data from Australia’s various research houses which discuss “average property prices” can significantly “mislead” brokers and borrowers, Ray White has claimed.
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According to Ray White group chairman Brian White, publicity has been given to data that indicate the average house price in Australia fell in 2012.
“It’s so dangerous talking averages,” Mr White said.
“We believe the Australian market has definitely firmed for the mid range. By significant, we mean something about 5 per cent. It’s just that the numbers of sales of expensive properties did not increase. Thus, in our view, its impact on averages becomes misleading.”
According to Mr White, both the Ray White real estate group and its finance arm, Loan Market, enjoyed a strong 2012.
Ray White’s figures in December were right up with the results from the previous three to four months of $2.4 billion.
“This year, we saw a strong momentum to successfully finalise the sale of properties that were all part of the Spring campaign. We enter January with less ‘carry over’ of unsold stock. People are making decisions. Particularly those who are relocating to different jobs and locations in 2013,” Mr White said.
“Results were strong in all the Australian markets. But New Zealand was a knockout, where Ray White’s figures were 57 per cent above the same period just one year earlier.”
In addition, home loan approvals figures were strong, according to data from Loan Market Group.
"While home loan approvals for the month of December were 4 per cent down on last year, the results for the year to date reflect 11 per cent growth for Loan Market,” he said.
Mr White said he expects investors to dominate the market.
“It appears that the long-predicted move of people coming back into investment property, as the difference between property yields and interest rates continues to widen, is starting to gather momentum.”
