Sales of new homes increased in December last year, marking the third consecutive monthly rise, according to a monthly survey of Australia’s largest volume builders. The HIA New Home Sales report shows that the total number of seasonally adjusted new home sales increased by 6.2 per cent in December 2012.
New home sales improved by 3.3 per cent over the December 2012 quarter, but were still 12.7 per cent lower than the level of sales in the same quarter in 2011.
HIA Economist, Geordan Murray said that the lift was driven by both detached house and multi-unit sales.
“Furthermore, if we look at the under-performing market for 2012 – detached houses – the December improvement was broad-based as sales increased in all but one of the surveyed states”, Murray said.
“However, the overall result for 2012 leaves plenty of room for improvement.
“Detached house sales were weak throughout the year and compared with 2011 were down by 22.7 per cent.”
On the other hand, sales of multi-units increased by 24.1 per cent in 2012, from record lows in 2011.
“It is hoped that further signs of an impending new home building recovery emerge in coming months”, Murray added.
Sales of new detached houses increased by 7.1 per cent in New South Wales, 6.0 per cent in Victoria, 3.8 per cent in Queensland and 12.2 per cent in Western Australia in December. Sales eased by 1.8 per cent in South Australia, but that followed three consecutive rises.
Over the December 2012 quarter detached house sales increased in New South Wales (up by 14.4 per cent), South Australia (up 9.3 per cent), and Western Australia (2.5 per cent). Sales fell over the December quarter last year in Victoria (down 8.4 per cent) and Queensland (5.5 per cent).
Source: Quartile Research