Capital city prices will rise by up to 7% in 2013 – SQM

Some great news for property investors wondering when to get started in the market, property monitor SQM has made a bold prediction that capital city property prices will rise up to 7% in 2013 and up to 13% in some states.

Their prediction is based on our dollar remaining around parity with the US, with our terms of trade falling slightly then stabilizing and the cash rate dropping by 50 basis points.

I think that this scenario is highly likely based on current trends.