Powered by MOMENTUM MEDIA
subscribe to our newsletter
Record amount of housing entering market

Record amount of housing entering market

Australia is set to build a record number of homes this financial year – and almost 35 per cent more than three years earlier.

The Housing Industry Association has forecast Australia will build 195,900 new homes in 2014/2015.

That would be a 7.7 per cent increase on the 181,900 homes that were built in 2013/2014 and a 34.8 per cent jump on the 145,300 homes that were built in 2011/2012.

Numbers then increased 11.5 per cent to 162,000 in 2012/2013 and then rose another 12.3 per cent to 181,900 in 2013/2014.

However, building activity is expected to fall in the years ahead.

The forecast for 2015/2016 is for 184,700 homes to be built, which would mark a 5.7 per cent fall on the 2014/2015 forecast.

Homebuilding activity is then forecast to fall another 4.2 per cent to 176,900 in 2016/2017.

HIA chief economist Harley Dale said residential construction is the success story of the domestic economy, although wide geographical divergences are still evident.

“Imagine how weak the Australian economy would be without new housing and its economic multiplier benefits,” Mr Dale said.

“We need to build on the lofty heights being achieved this new housing cycle and ensure that supply in coming years meets the requirements of a growing and ageing population.”

Record amount of housing entering market
mortgagebusiness

Latest News

Delinquencies underlying Australia’s mortgage portfolio increased over the year to September 2018 off the back of out-of-cycle interest ra...

The proportion of income required to service a home loan decreased nationwide over the September quarter 2018, according to joint research f...

The financial services giant has announced the launch of a new website designed to serve as a “one-stop shop” for financial education. ...

FROM THE WEB
podcast

LATEST PODCAST: What the conclusion of the royal commission means for the mortgage sector

Is enough being done to ensure responsible lending?