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NSW property industry confidence plummets

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The latest ANZ/property council survey has shown NSW property industry confidence has dropped to the lowest in the nation.

NSW property industry confidence has dropped fourteen index points from 134 to 120 over the quarter and 27 index points over the 12 months to December 2018.

Lower state and national economic growth expectations, and house capital growth expectations have dragged down sentiment resulting in lower results across the board.

“NSW had gone from the top of the ladder to the bottom in what has been a 27 point turn around; a combination of tighter lending, a slower residential market and lower economic growth expectations have driven lower sentiment,” Property Council NSW Executive Director Jane Fitzgerald said.

“What we do not want is for this lower sentiment to result in lower housing supply; we have been building more homes over the past five years to meet growing demand however this must continue; the housing targets outlined in the Greater Sydney Commission’s plans must be met and then we must set more for the next 6 – 10 years.

“Sentiment can be strengthened through strong leadership from our State Government; as we move closer to the 2019 election we need to see a renewed commitment to long term planning in Sydney, continued investment in critical infrastructure and sustainable funding for local infrastructure.

“A well planned, sustainable future for Sydney must be a politically bi-partisan issue; this will instil a confidence in the development community and ensure good outcomes for growth planning and infrastructure investment.”

Source: Property Council of Australia