Q2 2017 Key Market Indicators – Tasmania
The PRDnationwide Q2 2017 Key Economic Indicators provide consumers with a quick snapshot of the current state of affairs from an economic and property perspective. The PRDnationwide Key Economic Indicators cover both national and state level data, comprising of:
· Number of loans to first home buyers
· Home loan affordability index
· Number of dwelling approvals
· Consumer sentiment index
· Standard variable loan
· Consumer price inflation index
· Unemployment rate
· Weekly family income
· Nett migration
A key finding for Tasmania is in relation to affordability, where despite a decreasing trend over six months to December 2016 (to 43.1 index points), it remains above the Australian average of 32.9 index points. This is reflected in a 6.5% increase in the number of loans to first home buyer over the past six months, suggesting that consumers are taking advantage of the stable standard variable loan.
Dwelling approvals have increased to 187 in March 2017, which is in-line with an increasing nett migration. That said the increase in nett migration is not at an influx to the level of New South Wales and Victoria, which suggests a potentially balanced market in supply and demand. Combined with affordability levels higher than New South Wales and Victoria, Tasmania is a great option for first time investors who are feeling the price pressures of Sydney and Melbourne.
Despite unemployment rates increasing to 6.0%, the weekly family income has increased to $1,381; suggesting wage growth and strong potential for future economic growth.