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Housing construction to jump 19%: HIA

New home building in Western Australia is set for a strong recovery, driven by the recent increase in first home owner grants and record low interest rates, a housing industry lobby group says.

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Albany Prestige Realty, Albany, WA
The Barnett Liberal Government has once again unbalanced the real estate industry by giving a bonus to first home buyers purchasing a new home or house and land package. As it did last time this will under mine the existing housing market and effect the entire industry as existing home sales reduce in quantity and value from the flow on of this policy. Developers and builders will quickly raise their costs to gobble up any bonus the first home buyer thinks they are getting as happened last time. The government needs to keep out of private enterprise and refrain from their socialist propping up of the building sector under the guise of supporting first home buyers of whom 73% want to buy an existing home.

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