{{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 locationHouse building set for worst year in a decade
House building set for worst year in a decade
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
Send me exclusive tips, early access to new launches, and special offers. I can change my mind at any time.
By clicking Get started now you agree to the terms and conditions and privacy policy.
“The 2022 cash rate increases were sufficient to bring this building boom to an end and further increases in 2023 will accelerate this downturn,” added Mr Reardon.
“There was a large volume of work in the pipeline when rates started to rise in May 2022, and there remains a record number of homes under construction, but this will shrink quickly as market confidence continues to fade.
“Lending for the purchase or construction of a new home had already fallen to its lowest level since 2012 by the end of 2022, and the full impact of last year’s rate increases is still to flow through to households.
“This will see the number of detached housing starts fall below 100,000 starts per year for the first time in a decade to just 96,300 in 2024. This is a very rapid slowdown from the 149,000 starts in 2021.
“Multi-unit starts were impaired last year by the acute shortage of labour and materials which has seen many projects postponed until 2023. Unlike detached home construction, the number of multi-units commencing construction should increase as the acute shortage of housing, returning migrants and students, and affordability constraints continue to drive demand for housing.
“It is unfortunate that the RBA appears set to repeat the cycle the building industry experienced after the GFC. Following an initial cut to rates, the RBA then increased rates quickly, bringing the building industry to a stall, before being forced to cut rates again to avoid adverse impacts on the wider economy.
“It is also unfortunate that higher rates will further impair the ability of the market to respond to the acute shortage of housing stock.
“One policy tool at the disposal of government is to ease the barriers put in place in recent years that restrict first home buyer access to a mortgage. Over a decade of macro prudential restrictions have seen borrowing for those with less than a 20 per cent deposit become increasingly expensive. This inevitably leads to banks increasingly lending to those that already own a home.
“Easing the barriers to home ownership need not undermine the efforts of the RBA or the government to reduce inflationary pressures,” concluded Mr Reardon
HIA Forecasts - Australia
Get yours today!
HIA State and National Outlook reports
A comprehensive, easy to follow and up-to-date account of the performance of Australia’s residential construction industry for your state or territory.
For more information please contact:
Queensland Government delays adoption of NCC 2025
The Queensland Government has confirmed while the National Construction Code (NCC) 2025 has been formally adopted, its commencement in Queensland has been deferred until 1 May 2027.
Victorian budget – Victoria no easier, safer or affordable for business
“The 2026/27 Budget handed down by the Victorian government today once again does not deliver meaningful tax reforms that will increase housing supply, address housing affordability and lower the costs facing home builders,” says HIA Victoria Executive Director, Keith Ryan.
Builders Welcome Collaborative Talks with Homes Tasmania
The Housing Industry Association (HIA) has welcomed the strong and constructive engagement from Homes Tasmania following a meeting with residential builders in Hobart today, focused on accelerating housing delivery and improving certainty across the residential construction pipeline.
HIA calls for accelerated depreciation over investor tax hikes
“The Housing Industry Association (HIA) is calling on the Federal Government to prioritise accelerated depreciation as a pro supply housing reform, warning that proposals to increase taxes on property investors risk further constraining Australia’s housing pipeline, “said HIA Managing Director, Jocelyn Martin.