Melbourne confidence stands firm
Melburnians have plenty to be confident about. Our city has the highest CoreLogic RP Data value index growth over the last year, outpacing Sydney by a significant margin and standing firm in the face of a moderating national market.
However, it isn’t just our property sector that is performing well above the country average. Several new economic indicators have revealed that Melbourne is swiftly becoming the place to be whether you are looking for an investment property or a new place to live. Is it time for you to start looking into Melbourne auctions?
Melburnians are showing a supreme sense of confidence.
A confidence well-earned
People in Victoria are holding their heads up high with a distinct sense of optimism, as demonstrated by the most recent reports from the Westpac-Melbourne Institute consumer confidence report. This indicator, which considers family finances, economic conditions and labour market outlooks, reveals that there has been a sharp rise in Victorian outlook on the present and future of our local and national economy.
May saw a 6.2 per cent increase in sentiment, which is 5.7 per cent higher than a year ago and puts Victoria as the second most confident mainland state overall. In fact, confidence hasn’t been this high since January 2014!
This rise in confidence has reportedly come from a number of factors, and has been particularly apparent in mortgage holders. Among this group, there was a huge 15 per cent increase, perhaps due in part to the Reserve Bank cutting the official cash rate to 1.75 per cent, which will certainly put a spring in the step of anyone who was hoping for a lower variable rate on their mortgage.
Beyond Melbourne
Victoria is swiftly catching up – particularly in terms of housing finance.
It isn’t just local institutions that are throwing out strong statistics about our state. The quarterly CommSec State of the States report has also found that while NSW has still retained its top spot in factors like population growth and dwelling starts, Victoria is swiftly catching up – particularly in terms of housing finance. All this has resulted in our state having the fastest overall economic growth, growing by 4.3 per cent compared to a year ago.
It’s clearly a great time to be a resident of Melbourne. High confidence, low interest rates, plenty of growth and a Federal Budget that targets Melbourne in particular for infrastructure upgrades. If you’re looking to move to or invest in one of the fastest growing cities in the country, make sure you get in touch with the local experts at Nelson Alexander today!
