Confidence high for new homes market
Now could be the perfect time to purchase residential real estate in Australia, with a new report from the Housing Industry Association (HIA) highlighting an increasing demand for new homes following a great result for new home sales during September.
This could encourage anyone considering buying property on the market or investors hoping to secure real estate in areas like Melbourne or Sydney, which are expected to undergo population booms in the coming years.
The New Homes Sales report showed the total number of new home sales during September increased by 6.4 per cent. This reflects the increases in detached house and multi-unit sales - growing by 4.5 per cent and 19.9 per cent, respectively.
Furthermore, this result makes September the fastest growing month for new home sales since April last year, illustrating a returning confidence to the market and a growing demand from buyers across the nation.
Dr Harley Dale, chief economist for the HIA, said the recovery during September was "very positive", given that the growth came out of a market that experienced record lows.
"There is clear upward momentum in detached house sales which grew by 3.7 per cent in the September 2013 quarter to be up by 25.2 per cent when compared with the same quarter last year," said Dr Dale in an October 30 statement.
The top state for detached home sales during the month September was Victoria, which saw an increase of 15.7 per cent. This was followed by South Australia, growing by 4.6 per cent, and Western Australia, rising by 2.1 per cent.
However, over the September quarter, Victoria was the state with the largest increase in detached house sales - growing by 10.2 per cent over the period. Queensland (3.8 per cent) and New South Wales (3.5 per cent) also saw the number of house sales rise during the quarter.
Dr Dale went on to say that these results need to "gather further steam" from continued building approvals and new housing finances to continue into the foreseeable future.
"These outcomes would provide confidence that the first round new home building recovery seen in 2012/13 can gather legs this financial year," said Dr Dale.
The current market could be extremely hospitable for anyone interested in purchasing a new home in the near future, with signs of a housing recovery detailing an increasingly viable real estate landscape.