Australian house prices are Predicted to improve from next year, according to one new Report.

BIS Shrapnel's Residential Property Prospects 2012 to 2015 report forecasts an increase in property values in some areas of the country as early as 2013. Areas highlighted for growth include New South Wales, driven by an existing shortage of housing, and Queensland, where new housing starts are low.

The report follows a year of declining values between 2010 and 2011. Indeed, RP Data- Rismark's figures have shown a 1.2 per cent drop in values in the state capital cities in the first quarter of 2012. But that is set to turnaround, suggests BIS Shrapnel, with investors attracted by the increasingly favourable Market conditions, driving both sales and prices up.

"With the local economic and employment outlook becoming more positive, and some stabilisation and Improvement overseas, purchasers are forecast to wade back into the market in greater numbers," said senior manager Angie Zigomanis.

Source: Property Showrooms