Westpac have released their Outlook for the Australian Property market through to 2009. The report predicts residential markets to rise bwteen 2% and 4% with the runaway markets in the mining boom states to come back to normal growth rates. They believe that the rental shortage and stable prices will see rental prices increas by 10% and returns increase to above 5% in the major centres.

The outlook for commercial and industrial property is more promising with supply being the issue. 

The report makes interesting reading and a sobering insight into the prospects for property prices and growth in the near future.

The reports can be printed from here.