Monday, January 08, 2007

Housing market may rebound

The key to any improvement in the Australian housing market in 2007 will depend on interest rates remaining static. Figures for new building approvals are expected to show a slight rise for November 2006. There have been predictions made for a modest recovery for the housing sector in the later periods of 2007. However these predictions are based on the Reserve Bank of Australia not raising interest rates.

This could be the time to get into the property market as it is being pressured with interest rates. Personally I prefer the share market but it looks a bit overheated at this stage. Good undervalued shares are few and far between.

Good Luck Investing.

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