The Australian property market has consistently been a focal point for global investors and media attention. A recent survey conducted by the Australian Financial Review revealed varying predictions among economists regarding Australia's property prices in 2024.

The survey results indicate that the majority of economists expect Australian property prices to continue rising in the coming year, with growth projections ranging between 2.5% and 6%. They attribute this anticipated increase to a surge in immigration leading to a shortage in housing supply, thereby driving up property prices.

Additionally, the expected reduction in borrowing costs and global central banks lowering interest rates are seen as factors that could boost optimism in the property market. Notably, the four major banks are particularly optimistic about the property market, predicting potential price increases of 5% to 6%.

However, a minority of economists hold a pessimistic view, predicting a decline in property prices. They believe that factors such as economic slowdown, reduced immigration, cautious consumer spending, and rising borrowing costs will dampen demand for real estate. Coupled with the significant increase in property prices over the past year, some express concerns about a potential property market bubble.

It's important to note that the real estate market is influenced by various factors, including economic conditions, policy changes, and population movements. Therefore, predictions regarding property prices carry a degree of uncertainty.

The pace of property price growth might decelerate as economic slowdown could weaken demand for real estate. However, the severe shortage in housing supply is expected to act as a baseline supporting property price growth.

Currently, there is optimism in the real estate market, but this doesn't guarantee the market will follow the same trajectory in the future. With changes in economic and policy environments, property price trends may undergo alterations.