05/02/2015 - 14:12

House sales break decade-old record: HIA

05/02/2015 - 14:12

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Private house sales rose 13.4 per cent in Western Australia in the December quarter, the highest three-month achievement in more than a decade, new figures from the Housing Industry Association have revealed.

Private house sales rose 13.4 per cent in Western Australia in the December quarter, the highest three-month achievement in more than a decade, new figures from the Housing Industry Association have revealed.

Sales were 15.1 per cent better than they were in the 12 months prior, while monthly sales volumes in each of the months in the final quarter of 2014 were strong, with a 2.8 per cent increase in December alone.

The latest sales activity figures in WA have halted what appeared to be an emerging decline in earlier last year.

“Lower lending rates stemming from the February cut to the official cash rate will certainly support a healthy level of new home building in WA in 2015,” HIA economist Diwa Hopkins said.

“The key question around whether renewed momentum will develop during the year is further complicated by the composition of this possible growth, whether this will occur in the detached and/or the multi-unit segments of the market.”

Ms Hopkins said monthly sales volumes remained strong throughout 2014 on a national scale, with the number of sales increasing by 14.4 per cent compared with 2013.

“This year will be another healthy one for the national new home building sector,” she said.

“The two key leading indicators of new home building activity, new home sales and residential building approvals, both saw increases during the December quarter of 2014.

“This is a clear indication that actual residential construction activity will rise in the current early months of 2015, which is good news for the broader domestic economy in addition to the housing sector.”

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