Powered by MOMENTUM MEDIA
subscribe to our newsletter

Home building reaches record levels

The rise and rise of apartment living helped drive a record level of home building during 2014.

Work started on 197,972 new homes last year, according to new data from the Australian Bureau of Statistics, marking a 17.9 per cent jump on the previous year.

The data also show that 48,125 new home starts occurred in the December 2014 quarter, which was up 6.8 per cent.

Starts for new private sector houses jumped 15.4 per cent to 27,826, while starts for other private sector dwellings dropped 2.6 per cent to 19,307.

Housing Industry Association economist Geordan Murray said the composition of construction activity changed during 2014 because of a push towards apartment building in the major capital cities.

Advertisement
Advertisement

“While the detached house building market has certainly participated in the cyclical upswing over the past few years, activity in this part of the market has not reached the peak levels recorded in previous cycles,” Mr  Murray said.

“In contrast, the number of ‘other-dwelling’ commencements is well into record territory.”

Meanwhile, the value of building activity in the December 2014 quarter rose 5.3 per cent to $22.3 billion, according to the Australian Bureau of Statistics.

New residential building represented slightly more than half of that activity, after jumping 14.8 per cent to $12.1 billion.

Residential alterations and additions fell 4.9 per cent to $1.7 billion, while non-residential building fell 4.0 per cent to $8.5 billion.

PROMOTED CONTENT


Home building reaches record levels
mortgagebusiness

Latest News

The value of new home loans pivoted upwards after three months of freefall, according to the latest ABS data. ...

Heightened migration into Queensland has resulted in shrinking housing affordability, according to a state government department. ...

A real estate network's general manager has forecast South Australia house prices will grow by 15 per cent in 2022, as open borders raise de...

Join Australia's most informed brokers

Do you know which lenders are providing brokers and their customers with the best service?

Use this monthly data to make informed decisions about which lenders to use. Simply contribute to the survey and we'll send you the results directly to your inbox - completely free!

Do you think APRA's bank buffer changes will see more borrowers use non-banks?

Website Notifications

Get notifications in real-time for staying up to date with content that matters to you.