NEW detached house sales in Western Australia in June had a big increase while new home sales in some eastern states hit their lowest level since October 2013.
According to the latest Housing Industry Association’s New Home Sales Report sales fell in both the detached house and multi-unit sides of the market fell in New South Wales by 9.7 per cent, Queensland by 29.3 per cent and South Australia by 23.7 per cent during the month.
During June, new home sales nationally declined by 6.9 per cent compared with the previous month and were 11.9 per cent lower than the same period last year.
Housing Industry Association senior economist Shane Garrett said the results supported the association’s latest set of forecasts that new dwelling commencements were set to continue easing until late 2018.
“The reduction in sales of both detached houses and multi-units during the month of June continues the trend underway since sales peaked in early 2015,’’ he said.
“The fall in sales needs to be considered against the backdrop of residential building coming off a record peak of activity in 2016.
“We project that residential building will still be operating at a historically high level.’’
The reduction in new home sales during June consisted of a 5.8 per cent reduction in new detached house sales and a 10.7 per cent fall in new multi-unit sales.
New detached house sales also rose in Victoria by 4.1 per cent.