Data from the Housing Industry Association shows lending figures for new home building remain at a strong level, despite falling 1.4% in November 2014.
Lending was 4.6% higher last November than the same period two years ago. The same month also saw a 0.7% increase in new home loans, contributing to a 7.3% rise from the same period in 2013.
Northern Territory and Tasmania experienced the strongest increases over the 12 months to November 2014 – 64% and 14% respectively.
Increases in other parts of Australia include: Victoria (3.3%), Queensland (1.6%) and South Australia (1.7%).
New South Wales, Western Australia and the ACT all saw decreases, by 6.9%, 4.6% and 2.3%, respectively.
“The number of new home construction loans in November was 7.6% higher than a year ago. Healthily functioning housing markets should see a substantial turnover of homes in any given month,” says HIA senior economist Shane Garrett. “However, the total volume of loans for home purchase has been falling consistently over the past few months. As home prices have risen, so too have the stamp duty
bills paid by ordinary home owners. Excessive taxation is hampering the efficient operation of Australia’s housing market. The issue requires immediate attention,” he added.
With interest rates at their lowest for more than 50 years, there are some great rates available. The best thing to do is to compare rates from all the lenders. Let us help take the leg work out of doing this - Compare Home Loans now