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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.
“The national economy is benefiting from a record volume of new detached homes under construction. This boom will continue well into 2022 and will support employment across the sector,” added Ms Lillicrap.
“This record volume of new detached homes under construction is occurring in all regions, and is continuing to expand.
“The elevated level of building and the speed that it emerged has resulted in demand for key building inputs outstripping supply, including materials, labour and land. The delay in the supply of materials will see the impact on labour and ancillary services remain elevated well into the second half of 2022. This is a positive for the wider economy as the economic stimulus is spread over more years, but a challenge for building businesses.
“Recent data suggests that demand for detached housing remains solid even without fiscal stimulus.
“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.
“The renovations market is also mid-way through a record year. Unlike detached home building, we expect that this trend will continue for a number of years due to the elevated savings and increased time spent at home.
“Despite the strong outlook for the next twelve months, without a return of demand for new housing from overseas migration, there will be a decline in new home commencements over the next few years.
“Even with overseas migration re-starting next year, the volume of new home commencements will not be sustained. A decline in commencements of new homes should be anticipated from mid-2022 when homes initiated by HomeBuilder are reaching completion,” concluded Ms Lillicrap.
“HIA backs the bipartisan approach to planning reform that is now on the table, and the expansion of complying development to speed up planning approvals and get more people into more homes sooner,” said Brad Armitage, HIA Executive Director NSW.
The Housing Industry Association (HIA) has proudly recognised South Australia’s most promising young talent at the 2025 HIA South Australian Apprentice Awards, held at the National Wine Centre of Australia in Adelaide on Friday night.
“The Housing Industry Association (HIA) welcomes today’s announcement to bring forward the start of the expanded Home Guarantee Scheme to 1 October. This promises to open doors for more people and is an important boost for aspirational home buyers in Australia,” said Jocelyn Martin, HIA Managing Director.
The Housing Industry Association (HIA) is pleased to see the announcement for action on red tape and approvals made by Minister for Housing Homelessness and Cities Clare O’Neil. “The burden of regulation related to building, planning and approvals is adding cost, and delays which is impacting our ability to supply the homes we need”, HIA’s Managing Director Jocelyn Martin said today.