The property market is set to roll on full steam ahead notwithstanding economic assistance measures coming to an end from this week, defying long-held worries about an imminent fiscal cliff, according to top economists. The durability of bricks and mortar hardly crumbled during the pandemic-induced recession, with property values edging lower briefly then soaring in major cities and regional towns – flying in the face of forecasts.
JobKeeper will come to an end by 28 March, while within days, JobSeeker payments are set to be reduced, bank mortgage holidays will cease, and rental eviction moratoriums will stop. Although economists acknowledge the pain to come for those who will lose work, they believe it will have little to no implications for a housing market that continues to gather pace.
EY Oceania chief economist Jo Masters said the housing market absorbed those changes well last year when house prices accelerated and the economy continued to improve. The unemployment rate has fallen to an 11-month low of 5.8 per cent, down from 6.3 per cent in February, Australian Bureau of Statistics figures show, with demand already building to allow skilled migrants into the country after the better-than-expected result.