Sunny outlook for NSW property industry

Prospects-are-bright-for-the-property-industry_157_76969_0_14100513_300The Sydney property market has started the new financial year with a sunny disposition, according to a recent survey.

The Property Council/ANZ Property Industry Confidence Survey for the September 2014 quarter polls 2,300 construction and property sector professionals around the country, gauging their outlook for the industry. In the state of New South Wales, 650 alone were polled.

NSW’s was the most optimistic industry in the country, the survey found, with a confidence index of 143. This was substantially higher than the next highest, Queensland, which sits at 136, and well above the national index of 131.

It’s important to note that both of these scores are exceptionally strong, underlining just how optimistic the NSW property industry is about the future of the market. The score of 100 is neutral in the index.

As the biggest city in NSW, and with approximately two-thirds of the state’s population according to Australian Bureau of Statistics figures, the Sydney property market is likely to reap the lion’s share of the benefits from this news.

In fact, according to ANZ Senior Property Analyst David Cannington, the increase in confidence was itself likely a result of the strength of Sydney’s market.

“NSW confidence has increased sharply …¬†reflecting the strong cyclical upswing in Sydney’s residential property market and solid foreign capital inflows to the NSW property sector,” he said in July 10 release.

With a number of residential and commercial construction projects on the horizon, the state economy should continue from strength to strength, he added. This would be compounded by the state government’s investment in wide-ranging infrastructure projects.

For investors, this news may mark the time to enter the Sydney property market. The state’s high confidence level indicates that the market in Sydney likely won’t be slowing down anytime soon. Investors are likely to see expanded opportunities for where to place their capital, as well as a steady stream of buyers.

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