Despite a decline in new home commencements there is some light at the end of the tunnel, the Housing Industry Association (HIA) has claimed.
Yesterday, data from the Australian Bureau of Statistics (ABS) found that new home commencements fell 2.3 per cent over the December 2012 quarter.
But while the nation as a whole recorded a significant drop in new home commencements, Western Australia recorded a 5.6 per cent uplift – proving the resource-driven state in well on the road to recovery.
“There are signs that New South Wales and Western Australia are on a path to recovery, and the strong December quarter result for the recessed South Australia market is encouraging,” HIA economist Geordan Murray said.
“That said, the other states remain weak.
“In a signal of the challenge ahead to restore new housing to healthy levels, housing starts were still at a recessionary level in four states in 2012.”
Taking a look around the states, dwelling commencements increased by 0.3 per cent in Victoria, 0.4 per cent in Queensland, 40.1 per cent in South Australia, and 5.6 per cent in Western Australia.
The number of commencements fell by 9.3 per cent in New South Wales, 17.4 per cent in Tasmania, 7.4 per cent in the Northern Territory, and 48.8 per cent in the ACT.