If the the flourishing volume of households making their way into the real estate market wasn’t already a sign, then the latest report from the Property Council of Australian and CoreLogic RP Data should give you some idea of how important housing is to the nation’s economic success.
In particular, new home building has been identified as the engine room. The latest Australian Residential Development Outlook takes a magnifying glass to a lost list of factors that play a part in construction across the country and the news is good.
All signs point to another year of prosperous activity in residential construction, with the supply of new homes across the country expected to chug along at above-average levels for some time to come.
In fact, Property Council Executive Director Residential Nick Proud said there could be tens of thousands more properties to choose from well into 2016, with the number of dwelling starts predicted to sit at around 30-40,000 home about the long-term average level.
“Recent improvements in new housing supply are expected to continue, adding tens of thousands of homes for Australian families and easing pricing pressures to improve affordability,” Mr Proud said in a May 21 statement.
As any areas have been plagued by undersupply for some time, but this report comes as a sigh of relief – especially for those looking to take out their first home loan.
Already, data from the Australian Bureau of Statistics show that the value of residential construction has been climbing. The figure has climbed 4.8 per cent since the December quarter 2014 alone! Combined with record low interest rates and a favourable 2015-216 federal budget, buoyant activity in the new home building industry looks set to continue.
You can contact a Smartline Mortgage Adviser on 13 14 97 for home loan advice. Or complete our call request form and we’ll call you!
DISCLAIMER: The information contained in this article is correct at the time of publishing and is subject to change. It is intended to be of a general nature only. It has been prepared without taking into account any person’s objectives, financial situation or needs. Before acting on this information, Smartline recommends that you consider whether it is appropriate for your circumstances. Smartline recommends that you seek independent legal, financial, and taxation advice before acting on any information in this article.