New home sales start 2015 with units taking off

Getty/ Justin Sullivan

Home sales increased 1.8% in January mainly on the back of strong demand for units, according to Australia’s big builders.

The Housing Industry Association Chief Economist Harley Dale says this result is consistent with further growth in new home construction in 2014-15

“There is no doubt that the new housing sector is the star of Australia‚Äôs domestic economy,” Dale says.

There was a 9.9% rise in multi-unit sales and a 0.1% in detached house sales.

Detached house sales appear to have peaked in New South Wales and Western Australia.

Sales in Victoria and Queensland are displaying a modest upward trend.

In January, detached house sales increased by 1.2% in New South Wales, 2.7% in Victoria, and 5.6% in South Australia.

Detached house sales declined 1.5% in Queensland and 4% in Western Australia.

In the three months to January 2015, sales increased by 5.5% in Victoria, 15.9% in Queensland, and 1.7% in Western Australia.

Sales declined by 11.3% in New South Wales and by 3.6% in South Australia.

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