“Perth New Land Market – Still waiting for a reason to be busy”
The Perth new land market should continue to operate at the 450-550 lots per month level.
There are no clear signs, that the wider property market has improved enough to support any major change in the Greenfield market.
It would appear that local Greenfield markets may need to consider re-setting their median price points, while pulling back on the level of production. With the Development industry operating at 18% efficiency, the temptation is to push production as opposed to reduce it at this stage in order to keep things “fresh” and to support each estates ability to attract and retain builders.
At a macro setting, there is yet to be any major stimulus to the economy. A lot of talk about improving conditions and examples of optimism, however that optimism needs to be supported by a major employment “fire starter”.