{{propApi.title}}
{{propApi.text}} {{region}} Change location{{propApi.title}}
{{propApi.successMessage}} {{region}} Change location {{propApi.title}}
{{propApi.text}} {{region}} Change location{{propApi.title}}
{{propApi.successMessage}} {{region}} Change locationVictorian home building continues to rise with record numbers of homes under construction
Victorian home building continues to rise with record numbers of homes under construction
Member and guest login
Enter your email and password to access secured content, members only resources and discount prices.
Did you become a member online? If not, you will need to activate your account to login.
If you are having problems logging in, please call HIA helpdesk on 1300 650 620 during business hours.
Forgotten password
Need some help?
If you are having problems logging in, please call HIA helpdesk on 1300 650 620 during business hours.
If the email address you have entered is registered, you will receive an email with further instructions.
Become part of the HIA community
Enables quick and easy registration for future events or learning and grants access to expert advice and valuable resources.
Create a guest account
Enter your details below and create a login
Commencements of detached homes rose by 5.3 per cent in the first quarter of 2022 in Victoria, from 10,005 to 10,539, with a record of almost 30,000 homes under construction. Total commencements for the last 12 months reached 46,651, also nearly a record high level.
“While there’s been a slowing in the quarterly growth figures, the volume of new homes under construction in Victoria is still 54 per cent higher than pre-pandemic,” stated HIA Victorian Executive Director, Fiona Nield.
“It is also likely that home building activity in the first quarter of 2022 was held back by staff shortages associated with the Omicron outbreak and the higher than usual uptake of holiday leave.
“Victoria also managed to complete 10,162 detached homes in the quarter, nearing record highs and just 1.1 per cent down on the previous quarter. This represents the gradual but continued progress being made in the HomeBuilder pipeline and this should help gradually reduce the pressure on supply of materials and labour.
“The volume of detached home work under construction is more than 50 per cent above pre-pandemic levels.
“This has been driven by the combination of the HomeBuilder grant, reduced personal expenditure during COVID and record low interest rates.
All the extra time Victorians were spending at home either working or locked down, resulted in a pandemic trend towards creating greater space and amenity. This has kept demand for new housing and renovations elevated post HomeBuilder. Other indicators, such as building approvals, finance approvals and new home sales, continue to show a strong volume of work entering the pipeline.
“In addition, the multi-units’ market is continuing to strengthen. Multi-unit commencements increased by 6.7 per cent in the March 2022 quarter to be 24.0 per cent up in the last 12 months compared to the previous year. This improvement has been seen in both high-rise and medium density units.
“With interest rates and the cost of building increasing rapidly, affordability constraints will increasingly push home buyers back towards more affordable, higher density living. The return of the overseas migrants, students and tourists that Victoria depend upon more than any other state or territory, will help further strengthen the multi-units market.
“The combination of all these demand and supply factors will keep Victorian builders busy in 2023” concluded Ms Nield.
Snapshot of building activity pipeline - houses
For more information please contact:
Signs of a pulse in Canberra building approvals
Building approvals for dwellings in Canberra for the year to the end of March have shown some signs that the market may be turning the corner but still remain well below government targets.
Low volume of home building but labour shortages linger
“Australia has just seen its two weakest years of new home commencements in over a decade, meaning these ongoing shortages of skilled trades are not being caused by home building activity,” stated HIA Chief Economist, Tim Reardon.
Building approvals strengthen in March quarter
“There were 48,620 new homes approved for construction in the first quarter of 2025, up by 20.8 per cent on a year earlier,” stated HIA Senior Economist Tom Devitt.
New Government must put housing as first order of business
“The Housing Industry Association (HIA) calls on the newly elected Federal Government to make housing a first-order priority from day one, any delay or political grandstanding will only deepen the nation’s housing crisis,” HIA Managing Director Jocelyn Martin said today.