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HIA’s latest New Home Sales report – a monthly survey of the largest volume home builders in the five largest states – confirms WA’s pipeline of work remains strong, with an increase of new builds in April up 8.8 per cent.
This data comes as industry continues to work through a significant volume of home building activity while trying to manage ongoing constraints around materials and labour.
Acting HIA WA Executive Director Michael McGowan says measures announced in WA’s 2022-2023 Budget confirm the State Government’s commitment to attract more skilled workers to WA in order to sustain this current volume of work.
“This latest HIA data shows sales remain strong in WA. This reflects the ongoing positive sentiment for home buyers building further on the pipeline of work created from the HomeBuilder grant and the Building Bonus,” Mr McGowan said.
“Our primary concern has been and continues to be the capacity for the WA housing market’s transition back to its long-term average of 20,000 new housing starts – an outcome only possible when current challenges around availability of land, labour and materials begin to moderate.
“This long-term average is necessary to keep businesses viable and avoid previous boom-bust cycles that have been typical of the WA market, subsequently hampering the confidence of both builders and consumers.
“We’ve seen a range of challenges disrupt industry in the last 12 months and we’re seeing completion times increase as a result. This increase in construction time isn’t just affecting custom built homes, it’s affecting the majority of new home builds across the state.
“Residential building has and will continue to play a critical role in WA’s economic trajectory, supporting current and future jobs and training opportunities, but also in delivering critically needed new housing.
“We hope some of the Government’s initiatives announced in the State Budget will see higher uptakes of interstate migration, helping deliver a sustainable pipeline of work”.
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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.