The Australian property market has faced some turbulent times over the past 12 months, but as 2014 draws to a close, it appears that it could finally be starting to balance out.
While property prices are still rising across many parts of the country - and the cash rate remains at its all-time low - there is reason to suggest there's plenty of opportunity to invest in real estate.
Low cash rate works in buyers' favour
The Reserve Bank of Australia (RBA) revealed at its 2 December meeting that the official cash rate would end 2014 as it started at 2.5 per cent, providing yet more opportunity to enter the market.
With borrowing rates also at an all-time low, many people have understandably moved to make the most of the environment and get onto the property ladder. The RBA won't meet again until 3 February, so borrowers still have a number of weeks to get their finances in order.
There are some theories that the cash rate may even be lowered further, which could provide you with further incentive to enter the market. Among them is the Housing Industry Association (HIA), which believes current economic conditions aren't quite right to warrant a rise.
HIA chief economist Harley Dale said: "In reflection of the uncertain and challenging economic environment we face, steady interest rates would more likely be interrupted in the short term by a further reduction rather than an interest rate hike, although there is no hint from the RBA that such action is in prospect."
Property listings back on track
The past 12 months have also seen some interesting results for property listings, but November figures suggest the market could finally be finding its feet.
SQM Research reported a surge in listings in October, which was unexpected given the time of year. However, November data pointed to a more steady result across most of the country.
Buyers of real estate in Melbourne can expect to find 8.2 per cent fewer properties on the market now than a year ago, while Sydney follows closely behind with a fall of 8.1 per cent. Anomalous results were recorded in Darwin and Perth, which witnessed a 25.9 per cent and 14.7 per cent increase in listings, respectively.
The next 12 months will prove a testing time for the national market, with all eyes likely to be on the RBA's next cash rate decision to see which direction it's heading in.
