Today we kick off 2012 with some encouraging words for property investors from economist Christopher Joye, who says the small 0.1% lift in home prices (as calculated by RP Data-Rismark) in November signifies that home prices, which have been falling, are plateauing or are close to flattening out, with the November and December RBA rate cuts already having an impact on the market.

“If you had been thinking about purchasing an investment property, now is the time to get your homework and paperwork in order. The job market is healthy, housing markets are considered to be undersupplied and rates have been cut twice in the space of two months. Certainly other asset markets don’t offer the same attraction as residential property. But as always it is a case of researching your prospects, as conditions differ significantly across the country,” Joye says.