Sales of new australian homes continue climb

Photo credit: 8LettersUK

Sales of new homes in Australia continued to climb in April, for the fourth month in a row.

The April result for total seasonally adjusted new home sales comprised of two small gains, 0.4 per cent for detached house sales and 0.9 per cent for multi-unit sales.

Sales increased 0.6 per cent overall in April 2015, the slowest growth pace of the four
months in 2015 so far, but "a strong result off the back of a healthy March quarter", comments HIA Chief Economist Harley Dale.

"The profile for new home sales in 2015 is consistent with a new home building cycle where further upward momentum resides largely in the ‘multi-unit’ sector and where the Eastern seaboard states are driving the further growth," adds Dale.

In terms of detached house sales, both NSW and Victoria posted monthly gains in April (as did Western Australia), although Queensland recorded a "disappointing" decline. Sales in South Australia continued to weaken and are at an 18-month low.

"The two states to post gains in detached house sales over the three months to April 2015 were NSW and Victoria," notes Harley Dale. Private detached house sales increased by 7.2 per cent in New South Wales, by 2.7 per cent in Victoria, and by 0.9 per cent in Western Australia. Private detached house sales dropped by 9 per cent in Queensland and were down by 1.9 per cent in South Australia.