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The HIA New Home Sales report is a monthly survey of the largest volume home builders in the five largest states and is a leading indicator of future detached home construction.
“This is the strongest performance for new home sales in almost three years,” added Mr Reardon.
“The rise in sales reflects the impact of two cuts to the cash rate this year and EOFY incentives that have been on offer given the competitive nature of the home building market.
“The increase in new home sales is supported by low levels of unemployment, recovering real wages and elevated housing demand from ongoing population growth.
“Sales of new homes are higher in all states in the three months to June compared to the previous quarter, despite a drop in sales in the most recent month in New South Wales, Victoria and Western Australia.
“Despite this increase the volume of sales in New South Wales and Victoria remain very low with elevated land costs holding back Australia’s largest states for longer than the more affordable states.
“Sales increased in the month of June in Queensland and South Australia to push them to multi-year highs.
“Western Australia’s builders continue to be constrained by labour shortages, preventing them from taking on more work despite ongoing strong demand for housing. The ongoing $10,000 incentive for construction workers to relocate to Western Australia attempts to resolve this issue.
“Despite expected further cuts to the cash rate and a recovery in market confidence, there remains a shortage of housing in Australia due to the tax and regulatory barriers to increasing supply,” concluded Mr Reardon.
All states had increased new home sales in the June quarter 2025 compared to the previous quarter led by Victoria (+27.7 per cent). This was followed by Queensland (+26.2 per cent), Western Australia (+11.3 per cent), South Australia (+9.9 per cent) and New South Wales (+9.3 per cent).
Download latest HIA New Home Sales Report
From 1 July 2026 changes to domestic building warranty insurance will take effect. These changes require HIA to revise its suite of Victorian domestic building contracts to meet the new requirements.
The Housing Industry Association (HIA) has called the passage of changes to negative gearing, capital gains tax (CGT) and self-managed super fund (SMSF) investment rules a major setback for housing supply, warning the measures should have been ‘red carded’ before being legislated.
The Courier Mail described the budget as being as bland as the chive and onion muffins served to those who ventured into the budget lock down but concluded while the budget was hard to love it was also hard to hate.
The new Buyer Protection laws will start on Wednesday, 1 July 2026 after an extraordinarily challenging process with numerous last-minute changes. HIA is providing this Member Alert to help members navigate the key ‘need to know’ on these new laws, with more detailed material to follow.