New home sales in Australia on the up again, latest HIA data shows

Taylor Scott International News

New home sales in Australia experienced a modest rise in October after remaining flat the month before, according to the latest report from the Housing Industry Association (HIA). Total seasonally adjusted new home sales increased by 3% and growth was driven by a growth in the sale of detached houses in Victoria and Western Australia. HIA chief economist Harley Dale pointed out that after a relatively sharp decline of 5.7% in July, driven by both detached houses and multi-units, total new home sales have mounted a modest recovery ‘Sales are still off their cyclical peak reached back in April this year, but the overall volume of new home sales is still at an elevated level. That augurs well for healthy new home construction activity persisting into 2015,’ he explained. ‘Australia is on track to commence a record number of homes this year. While undesirable lags in the availability of Australian Bureau of Statistics data prevent confirmation of this outcome until well into next year, the fact is that 2014 is drawing to a close,’ he said. ‘We now want to be seeing evidence pointing to a healthy prognosis for new home building activity in 2015. In this regard we have positive signals coming from three key leading indicators. HIA new home sales and ABS building approvals are past their peaks but remain at elevated levels. Lending for new housing is still trending higher and doesn’t appear to have peaked yet,’ he added. A breakdown of the figures show that detached house sales increased by 4.7% in Victoria and by 24.8% in Western Australia but fell by 3% in New South Wales and were down by 7.8% in Queensland and 1.7% in South Australia. Over the three months to October 2014 detached house sales increased by 3.7% in New South Wales, by 1.2% in Queensland and by 1.7% in Western Australia. They fell by 13.4% in Victoria and by 6.3% in South Australia. Continue reading →

The post New home sales in Australia on the up again, latest HIA data shows appeared first on Taylor Scott International.

Taylor Scott International

Taylor Scott International, Taylor Scott

Comments are closed.