Home buyers became more optimistic about the property market in June, after Covid-19 restrictions began to ease, according to the ME Quarterly Property Sentiment Report.
Sentiment rose by 6 percentage points to 35%, though this was still below the high of 39% recorded in the first three months of 2020.
Consumers were also less concerned about how Covid-19 would affect property values with the rating falling 9 percentage points to 55%. Those expecting house prices to fall in the next 12 months dropped by 10 percentage points to 31%.
Encouragingly, first home buyers are emboldened, with 51% planning to buy in the next 12 months – up 9 percentage points from the previous quarter.
ME general manager for home loans Andrew Bartolo says sentiment started to turn around as soon as restrictions were lifted across most states and territories.
“The rebound in confidence is a natural reaction to improving COVID-19 case numbers when we conducted the survey,” Bartolo says.