For investors, there isn’t a better time to enter the Australian property market. In Master Builders Association’s most recently commissioned report, a forward projection comprehensively breaks down the government strategies for a more efficient supply of housing without the inevitable increase in pricing to meet the growing demand.
The incentivised government programmes will enable the construction of an additional 93,000 builds (41% increase) with additional funding through local councils like for example in Western Sydney.
In a climate of perpetual lockdowns and restrictions, lending data from the Australian Bureau of Statistics at the close of 2020 reported a remarkable 11.5% boost with the building and construction industry keeping the economy moving forward.
Loan commitments for existing dwellings accounted for 53% of December’s rise in owner occupier housing loan commitments, while construction of new dwellings accounted for 32%.
In December, the number of owner occupier first home buyer loan commitments rose 9.3% to reach 15,205 (seasonally adjusted), a 56.6% increase since December 2019.
This is the highest level since June 2009, when similar rapid growth was spurred by the temporary tripling of the first home owner grant; part of the federal government’s economic support package in response to the global financial crisis.