New Home Sales In Australia Have Hit Their Best Levels Since The GFC

New home sales in December rounded off 2013 as a year of solid growth and the best in five years, said the Housing Industry Association (HIA).

New home sales rose by 14.4 per cent over the 12 months, representing the first year of growth since 2008.

“The key now will be for these improved sales levels to expand further in the year ahead,” says association economist Diwa Hopkins.

During the final quarter of 2013, aggregate new home sales climbed by 6.3 per cent to reach a level not seen since mid-2011.

The HIA New Home Sales report, a survey of Australia’s largest volume builders, showed that total seasonally adjusted new home sales eased by 0.4 per cent in December 2013.

The aggregate decline was driven by a 6.6 per cent decrease in multi-unit sales while detached house sales increased by 0.9 per cent.

“Total new home sales were largely unchanged in the month of December,” Hopkins says. “However, the broader trend shows a healthy profile of recovery throughout 2013 and the underlying details are also fairly encouraging.”

The States:

In the month of December 2013 private detached house sales increased by 22.5 per cent in South Australia, 7.3 per cent in Western Australia, 5.8 per cent in New South Wales and 1.5 per cent in Queensland. Detached house sales fell by 13.4 per cent in Victoria.

During the final quarter of 2013, detached house sales increased by 50.9 per cent in South Australia. They also rose by 12.3 per cent in Queensland, 3.5 per cent in New South Wales and 2.3 per cent in Western Australia. In Victoria, detached house sales fell by 9.5 per cent over the December 2013 quarter.

This chart compares numbers — HIA and the Australian Bureau of Statistics:

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