The building of new homes in Australia is gaining momentum, with new figures from the Australian Bureau of Statistics revealing the best levels in four years.
Residential construction rose by 2.2 per cent in the June quarter while at the same time construction levels in other sectors were down.
Commsec chief economist told News.com the real value of new home building was up to a record $11.86 billion in the June quarter.
“New home building has recorded the best back-to-back growth in four years,” he said.
New home building has now risen by 9.6 per cent for the year, and Mr James said new home building was filling the void left by the declining mining boom.
The value of loans are also up, and there has also been a return to the market of first home-buyers, who now account for 13.2 per cent of borrowers.
While actual new home sales have had a slow start to the year, economists are predicting a healthy level of sales activity for the rest of the year.