HomeBuilder stokes construction lift, but flat demand ahead in 2021

The Federal Government’s HomeBuilder program is doing its job to stimulate activity and keep people employed, with big jumps in September dwelling approvals and housing construction loans released today.

Australian Bureau of Statistics data shows a 15.4 per cent rise in the number of dwelling approvals and a 25.3 per cent jump in the value of housing construction loans in September.

Chief Executive of the Property Council of Australia Ken Morrison said the new data showed HomeBuilder was doing its job.

“HomeBuilder has been the popstar of government stimulus policies released to date: highly effective, immediate and great value for money,” Mr Morrison said.

“It has helped protect hundreds of thousands of jobs and stimulated activity right at the time the economy needed it most.

“As successful as this measure has been, housing construction is still facing a second cliff in 2021 as flat population growth kicks in.

“It would make a lot of sense to extend HomeBuilder to the end of the financial year to keep this momentum going until net overseas migration can return as a traditional driver of activity.”

Media contact: Matt Francis 0467 777 220 email mfrancis@propertycouncil.com.au