A more conservative outlook following the great re-set
Are we set for another booming year? Or is the outlook more conservative with the threat of rising interest rates having now come to fruition?
Australia’s residential real estate markets burned bright throughout 2021, spurred on by interest rates remaining at all-time lows despite cooling sentiment near the year’s end. Commercial real estate debt also grew to $286.1 billion after a $7.9 billion increase from foreign banks. Although the outlook isn’t as overwhelmingly positive for 2022, according to our survey, lenders remain optimistic about their own loan book growth. Off the back of a strong 12 months, real estate debt also continues to look attractive with non-bank and private lenders having secured their presence.
The responses revealed five significant trends.
