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{{propApi.successMessage}} {{region}} Change locationConstrained land supply sees knock-down rebuild market grow
Constrained land supply sees knock-down rebuild market grow
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The HIA-CoreLogic Residential Land Report provides updated information on sales activity in 51 housing markets across Australia, including the six state capital cities.
“Over the year to the March Quarter 2022, median lot prices increased by 19.7 per cent. This is not a normal increase – it is the strongest annual growth rate since 2004.
“Constrained supply of land will limit housing activity in Greenfield areas from mid-2023 onwards.”
“New data released by the ABS on demolitions suggests that knock-down rebuilds and small redevelopments are around 25 per cent of the market for house and townhouse builders in New South Wales. Encouragingly, this segment of the market appears to be growing rapidly, creating new opportunities for the industry,” added Mr Ward
According to CoreLogic Economist Kaytlin Ezzy: “The scarcity of available residential land continues to be a driving factor across Australian land markets, with land prices surging at a time when the number of lots sold is declining. While increasing interest rates, rising construction costs and increased uncertainty, particularly across the building industry, has likely smothered some land demand, the surge in land prices suggests that those that want to build are finding it difficult to secure lots.”
“With land often taking more than a decade to move though the development pipeline, it’s unlikely we’ll see any material change in land supply for some time.” says Ms Ezzy.
Removal of excessive red tape welcomed
The Housing Industry Association (HIA) welcomes the Coalition’s announcement to form Investment Australia, a body aimed at removing excessive red tape and regulation. HIA recommends all political parties to look at seriously implementing such a proposal.
Complying development is the 'key' to unlocking faster housing approvals
“Complying development delivers faster and cheaper housing approvals,” said Brad Armitage HIA Executive Director NSW.
Home approvals rising but structural reforms needed to meet 1.2 million homes
A break for employers with new payroll tax requirements
The Northern Territory Government has recently introduced changes to payroll tax which will commence on 1 July 2025.These changes will impact the way payroll tax is calculated and will provide benefits to eligible employers, particularly small-to-medium sized businesses.