New home sales post record growth since 2010: HIA

The sales of new homes in November 2013 recorded healthy growth, according to the Housing Industry Association's (HIA) chief economist, Harley Dale.

With new home sales up 7.5% in November, according to the HIA New Home Sales Report, it is the fastest monthly growth rate since January 2010.

“The upward momentum evident in new home sales since the closing stages of 2012 continued late last year – that is a good sign for residential construction activity in 2014," said Dale.

“Both new home sales and private sector building approvals increased strongly over the three months to November last year, with detached housing growing by around 4% according to both leading indicators, for example,” he said.

The first milestone of 2014 for new home sales will be for sales to reach the volumes experienced in the first half of 2011.

“Over the three months to November 2013 the volume of detached house sales increased in all five surveyed states, while the downward trend evident in multi-unit sales has now reversed due to strong monthly outcomes in both September and November of last year,” he said.

jduke@propertyobserver.com.au