Despite the cynicism around housing affordability and uncertainty with the economy, Australians still have a healthy appetite when it comes to owning property, according to the 2014 QBE Barometer.
According to the Barometer, consumer sentiment is down 10% since this time last year, and figures released today by the Australian Bureau of Statistics show that Australia’s unemployment rate increased to 6.4% last month – the highest it has been since August 2002.
However, the appetite for property continues to grow according to the Barometer, with two in five survey respondents citing an intention to buy property in the next five years, which is up from this time last year.
“The Barometer has revealed some interesting shifts in consumer sentiment year-on-year but nothing seems to have dampened Australians’ dream of home ownership,” Financial Institutions EGM and CEO of QBE LMI Jenny Boddington said.
However, home owners and buyers don’t think it is a good idea to buy within the next 12 months. Only one in three (36%) think the next 12 months is the best time to buy, down from 42% in 2013.
According to the Barometer, more than half of intending buyers said they wouldn’t buy within the next year so they can assess the impact of the Federal Budget before jumping into a property purchase. This hesitation is much larger for first home buyers, with almost three quarters of FHB wanting to wait another 12 months for the Budget to settle in.