People purchasing Australian homes for the first time will help the market recover over the course of 2012, according to BIS Shrapnel's Angie Zigomanis.
Mr Zigomanis, the company's senior manager of residential property, told Property Observer he expected more first-time buyers to get into the market, freeing up housing across the board and increasing the financial liquidity on offer.
He noted that initiatives from the government and the Reserve Bank of Australia's rate cuts late last year are likely to have some impact on the market over the coming months.
"First-home buyers represent a key driver of the residential market, underpinning demand for entry-level dwellings, which in turn creates increased demand across the market," Mr Zigomanis explained.
The one exception is Melbourne, where the expert claimed demand would stay flat with supply outpacing demand.
Paul English of Harcourts Victoria recently suggested the property market in Victoria could be set to stabilise in 2012 as the state recovers from a torrid 2011.
Posted by Craig Francis
