West Australian property industry sentiment has soared to its highest level in recent years according to the latest ANZ/Property Council Survey for the December 2020 quarter.
Property Council WA Executive Director Sandra Brewer said ,”The surge in confidence is an encouraging sign for jobs and investment in the State. However, we need to focus on policy settings for sustainable growth and to avoid a ‘boom and bust’ scenario.
“With the state election next March, now is the time for all sides of politics to consider the policy settings that will avoid a scenario of escalating house price rises that damage housing affordability.
“With extremely low rental vacancy, new housing supply is critical, and new models such as Build-to-Rent should be encouraged to add a pipeline of thousands of jobs and homes.
“Already, property businesses are reporting shortage is skilled labour and some interruptions to supply chains as a result of the success of the Home Builder and Building Bonus grants.
“Now that the borders are opening, we need to think about how to attract interstate talent and investment – allowing WA to grow at a steady pace.
“The last thing the property industry wants to see is an extreme peak of activity, with associated labour shortages and escalating costs, followed by a sharp downturn. Ending stamp duty discounts abruptly would result in weakening development pipelines and cost newly-created jobs,” said Ms Brewer.
According to the survey, the State Government’s performance was at an all-time high, likely attributed to the Government’s handling of the COVID-crisis, significant planning reforms, residential incentives and stamp duty relief.
Notably, when asked what the most critical issues for the property industry to be addressed by the State Government, 31 per cent of respondents answered property taxes and charges, and 26 per cent said continuing to support the recovery of vibrant city centres.
