Recently released ABS building activity data for the June quarter of 2018 has shown better-thanexpected results.<\/p>\n
HIA Economist Diwa Hopkins said that Australia\u2019s home building industry beat expectations in starting construction of 228,480 homes in the 2017\/18 financial year.<\/p>\n
\u201cThis represents a 3.3 per cent increase on home starts in the previous financial year,\u201d Ms Hopkins said \u201cIt turns out that quite a significant amount of homes started construction in the March quarter of this year \u2013 more than what the ABS had initially estimated, particularly in the east coast\u2019s multi-unit segment of the market.<\/p>\n
\u201cThe commencement of well over 200,000 homes in 2017\/18 will support overall activity in the residential construction sector into 2019, as the building of these homes progresses through to completion.<\/p>\n
\u201cWhile we are expecting new home building conditions in 2019 to remain healthy, today\u2019s figures also indicate that
\nthe home building cycle is cooling.<\/p>\n
\u201cTotal housing starts declined over the June 2018 quarter, by 5.9 per cent \u2013 detached house starts declined by 3.8 per cent, while multi-unit home starts fell by 8.2 per cent,\u201d Ms Hopkins added.<\/p>\n
\u201cTightening credit conditions, falling home prices in the major markets and fewer people now entering the country have been in play for at least 12 months now and this is now taking effect in bricks and mortar construction activity.<\/p>\n
\u201cToday\u2019s backward-looking results follow recent forward-looking indicators \u2013 ABS Building Approvals, HIA New Home Sales and the AIG-HIA Performance of Construction Index \u2013 and these are all pointing to further declines in new home building in 2019,\u201d concluded Ms Hopkins.<\/p>\n
Total housing starts in 2017\/18 increased in Tasmania (29.4 percent), South Australia (19.4 per cent), Victoria (18.9 percent) and in the Australian Capital Territory (4.1 percent). Housing starts declined in the remaining states: Western Australia (-8.7 percent), the Northern Territory (-8.6 percent), Queensland (-6.3 percent) and New South Wales (-4.3 percent).<\/p>\n","protected":false},"excerpt":{"rendered":"
Recently released ABS building activity data for the June quarter of 2018 has shown better-thanexpected results. HIA Economist Diwa Hopkins said that Australia\u2019s home building industry beat expectations in starting construction of 228,480 homes in the 2017\/18 financial year. \u201cThis represents a 3.3 per cent increase on home starts in the previous financial year,\u201d Ms […]<\/p>\n