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{{propApi.successMessage}} {{region}} Change locationNew home sales remain at near three-year high
New home sales remain at near three-year high
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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.
“The fall in sales in July 2025, from a near 33-month high, is likely due to the end of financial year sales,” added Mr Tapang.
“Despite the monthly decline, new home sales in the three months to July 2025 increased by 15.9 per cent, to its highest level since the September quarter 2022.
“New home sales have increased following the first two cuts to the cash rate.
“The rise in the price of established homes will also increasingly see households move to the new home building market.
“The fall in sales in July was driven by declines in New South Wales, Victoria and Queensland, while gains were recorded in South Australia and Western Australia.
“Over a three-month period to July 2025 all markets saw increases in new home sales. This points to volatility being the driver of this month’s decline.
“Demand for new homes is increasing on the back of ongoing population growth and low unemployment.
“This improvement in sales through the start of 2025 will not be sufficient to reach the goal of 1.2 million homes. More significant structural changes to the way in which new home building is taxed and regulated will also be necessary,” concluded Mr Tapang.
All states recorded increased new home sales in the three months to July 2025 compared to the previous quarterly period. This was led by Victoria (+23.4 per cent), followed by South Australia (+23.1 per cent), New South Wales (+18.8 per cent), Queensland (+13.3 per cent) and Western Australia (+2.6 per cent).
Private New House Sales - Australia (seasonally adjusted)
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New home sales remain at near three-year high
“The cycle of ongoing growth in new home sales was broken in July, with a 6.4 per cent fall compared to June,” stated HIA Senior Economist, Maurice Tapang.
Roundtable must declare a battle on red, white and green tape
“If the Economic Reform Roundtable is serious about developing meaningful and lasting change to boost productivity and the economy, then the number one priority must be on cutting the excessive regulation that is crippling businesses,” said HIA Managing Director, Jocelyn Martin.
Investors vital to increasing housing supply
“Investors were responsible for 41 per cent of new homes financed for construction in the past year,” stated HIA’s Chief Economist, Tim Reardon.
Home building gaining momentum
“The RBA delivered the third rate cut of this easing cycle, bringing their benchmark cash rate down from 3.85 per cent to 3.6 per cent,” stated HIA Senior Economist Tom Devitt.