The easing of COVID restrictions over the last few months has resulted in a surge of confidence in the property industry since April.
The latest ANZ/Property Council survey took place between June 15 and July 1, surveying 955 industry folk.
Not surprisingly, the states and territories with the biggest shift in sentiment were those least impacted by COVID-19: South Australia, Western Australia, and the ACT.
The JobKeeper program has helped, with 45 per cent of respondents indicating their workplace has accessed the stimulus money.
Meanwhile, 60 per cent of respondents believe their business will improve over the next three months, with only 16 per cent expecting things to get worse.
They predict the Hotels, Tourism and Leisure sector will be most severely impacted, followed by shopping malls, and commercial office spaces.
Despite this, national confidence levels sit at 76 index points, a rise from April’s 64, but well under neutral (100) and the historical average of 126.
“The last few months have been a challenge for all sectors across the property industry,” notes Property Council NSW Executive Director, Jane Fitzgerald.
“Managing this crisis has been a tough time for all businesses, so it is good to see that there has been a uplift in sentiment and there is a positive light in this.”
She warns that we aren’t out of the woods yet, “with forward work schedule and growth expectations still in negative territory”.
Property Council of Australia chief executive, Ken Morrison, cautioned this survey was taken before the announcement of a six-week lockdown in greater Melbourne.
“These results show the property industry – employing more than 1.4 million Australians – remains on a coronavirus-induced confidence rollercoaster,” Mr Morrison said.
“While there has been some improvement in sentiment where transmission is low and a positive response to the HomeBuilder stimulus, confidence in the economy remains low and the Victorian outbreak will have dealt further blows to this.
“Victoria’s economy accounts more than one-fifth of GDP and 40 per cent of economic growth last year and was our fastest growing city in population terms.
“The consequences for national industry and business confidence from the Victorian lockdown are likely to be significant for the coming quarter and beyond.” Mr Morrison said.
Read the ANZ/Property Council Survey here.
