The end of JobKeeper and other coronavirus support measures are not expected to derail Australia’s booming housing market, although some areas including the rental sector and CBDs still face challenges.

The COVID-19 support measures finish at the end of March after helping the Australian economy and housing market emerge from the first year of the once-in-a-century pandemic in stronger shape than expected. chief economist Nerida Conisbee said the withdrawal of the support will likely have a minimal overall impact on the housing market.

Unprecedented buyer demand, record low interest rates and a low volume of stock for sale have pushed prices higher, with the REA Insights Home Price Index Report showing a 5.9% rise in dwelling prices over the past year.
A number of economists have forecast property prices will grow by 5-10% both this year and next, with some forecasting a sustained housing boom and 20% growth by the end of 2022.

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ARTICLE: Megan Neil