REIV predicts further growth in 2013

Those who own real estate in the city of Knox and are considering selling in the new year would be heartened to hear that experts are predicting better conditions in 2013.

The Real Estate Institute of Victoria's (REIV) chief executive, Enzo Raimondo, said 2012 experienced growth and the next 12 months would build on that positivity.

He commented: "There are three reasons to be confident about prospects for the market in 2013: consumer confidence levels are above this time last year; the clearance rate is higher than this time last year; and overall prices have been stable.

"Affordability is at reasonable levels with prices remaining below their peak and interest rates at historical lows."

Mr Raimondo added that regional Victoria has shown more stability in its property prices,with Geelong just 1.8 per cent below its median peak, Ballarat down by 2.1 per cent and Bendigo down just 0.1 per cent.

He also said that consumer confidence will be the driver of growth in terms of price, but as supply in demand is in such a great balance, any improvement would only be marginal.

With cuts in stamp duty coming into effect in the new year and historically low interest rates, Mr Raimondo predicted that first time home buyers would benefit even further.