the adviser logo
Sales & Marketing

New home sales spike in June quarter

by Reporter4 minute read
Sold sign in front of house

The recent improvements in housing market sentiment has helped spur a rise in new home sales, which lifted for the first time in 18 months, new research has revealed.

According to the latest research from the Housing Industry Association (HIA), which involves a monthly survey of the largest 100 Australian building companies, new home sales increased by 0.8 per cent in the three months to 30 June 2019, signalling the first quarterly rise since December 2017.

To continue reading the rest of this article, create a free account
Already have an account? Sign in

On a state by state basis, the sharpest increase in home sales was in Victoria (5.1 per cent), followed by Western Australia (2.9 per cent) and South Australia (2.6 per cent).

In contrast, new home sales declined in Queensland (8.9 per cent) and NSW (1.7 per cent).


Further, in annual terms, new home sales remained in negative territory, down 12.4 per cent when comparing the 12 months to June 2019 to the previous corresponding period.

Nonetheless, the HIA’s chief economist, Tim Reardon, observed that the bump in new home sales over the June quarter is yet another sign of a stabilisation in the housing market.

“The small improvement in sales in the June quarter suggests that the decline in new home sales that has been underway for more than a year has started to ease,” he said.  

Mr Reardon said he expects recent political and economic development to place further upward pressure on activity in the market.  

“Two interest rate cuts, a tax cut and repeal of regulatory restrictions encourage increased activity in the home building market,” Mr Reardon said.

“These measures, combined with ongoing stable population and employment growth should see new home sales improve toward the end of the year.”

[Related: Aussies sitting on the fence as housing sentiment shifts]

New home sales spike in June quarter
sold sign house ta
TheAdviser logo
sold sign house ta


You need to be a member to post comments. Register for free today


matt comyn cba speaking ta bzhun1

CBA CEO acknowledges brokers following mortgage growth

The Commonwealth Bank of Australia (CBA) has released its results for the financial year ended 30 June 2022 and...

wif awards 2021 crowd ta giiu3m

Submissions open for Women in Finance Awards 2022

Hosted by Momentum Media, the Women in Finance Awards is returning for its sixth consecutive year to recognise the...

Cameron Poolman ta

OnDeck confirms origination surge following buyout

In early February, OnDeck Australia’s (OnDeck) executives and investors collectively purchased 80 per cent of the...

Read the latest issue of The Adviser magazine!
The Adviser is the number one magazine for Australia's finance and mortgage brokers. The publications delivers news, analysis, business intelligence, sales and marketing strategies, research and key target reports to an audience of professional mortgage and finance brokers
Read more