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HIA released its economic and industry Outlook Report for Australia today. The Outlook Report includes updated forecasts for new home building and renovations activity for Australia and each of the eight states and territories.
“Annual renovations activity in Victoria is forecast to reach $10.5 billion in 2021, this is 11.8 per cent above last year and breaks the record set back in 2018,” added Ms Nield.
“The typical Australian household is saving significantly more than they were before and they are choosing to spend these savings on upgrading their homes. The boom in renovations is partly due to the shift towards online learning and working from home.
“All types of renovation projects are experiencing a surge in activity. This includes projects ranging from smaller DIY projects, to a kitchen or bathroom upgrade, through to major home extensions.
“People are spending more on their kitchen renovations than ever before as they get bigger and contain more appliances.
“HomeBuilder has supported larger renovations jobs with more than 5,900 applicants for major renovation projects in Victoria.
“We expect that this boom in renovations will be sustained over a number of years given the level of household savings and the shift to working from home. Even when overseas travel returns, home renovations will most likely remain a priority and within the household budget.
“However, renovations work has been severely impacted by recent lockdowns, with just over a third of all builders engaged in home renovations.
“We believe there are many jobs in the pipeline, but with the continued restrictions on working in homes in Melbourne, there is some uncertainty as to if and when some of the work will proceed.
“We continue to raise with the Victorian Government the need for financial support for our members who are unable to work in the current restrictions, together with returning to work in homes with COVID safe measures in place.
“At the same time, there is also a record volume of new detached homes under construction. This is seeing demand for labour, land and materials outstrip supply.
“Unlike the renovations market, this level of home building will not be sustained without a return of a stable and reliable pathway for skilled migration. Even with a return of migration, the current volume of new home commencements will not be sustained.
“There are also encouraging signs that demand for multi-units is returning ahead of population growth. Approvals for units have picked up in New South Wales and Queensland after a pause in 2020 as investors look through the haze of the pandemic and anticipate a return of migration,” concluded Ms Nield.
HIA is deeply saddened by the loss of housing industry leader Mario Biasin
The Liberal Party’s announcement today that if re-elected they will allow Australians to access up to $50,000 from their superannuation to fund a deposit to help them buy their first home is a welcome one, and an initiative that HIA has championed.
Western Australia is one of just two states to see an increase in new home sales in April, recording a significant increase in the amount of new activity from the same period prior to the COVID-19 pandemic.
The Housing Industry Association (HIA) has welcomed the ongoing support for Western Australia’s residential building industry in the 2022-2023 State Budget, including a number of targeted initiatives aimed at attracting more skilled workers into the state amid record high levels of detached construction.
This checklist provides a summary of some of the information and details you should seek from a contractor when engaging their services. Some of these may be legally required, whereas others are a commercial decision for your business.
HIA is deeply saddened by the loss of housing industry leader Mario Biasin
Learn about all of the various contract documents you can use INS to be compliant.
The Liberal Party’s announcement today that if re-elected they will allow Australians to access up to $50,000 from their superannuation to fund a deposit to help them buy their first home is a welcome one, and an initiative that HIA has championed.