WESTERN Australia’s housing market has shown signs of recovery, with new home sales and building approvals increasing in the past two months.
Building approvals have lifted 36 per cent since a 47 per cent fall in April, caused by the confusion surrounding the state’s new Building Act.
New home sales increased 23.5 per cent in June after slipping in May.
The Housing Industry Association reported a 4.7 per cent fall in new home sales in May, however, the big jump in June sales put the total for that month at a three-year high.
June quarter new home sales for 2012 outperformed the June 2011 quarter by 29.8 per cent.
HIA chief economist Harley Dale warned that although the growth figures were promising, construction would still be constrained because there was still a great deal of uncertainty surrounding the Building Act.
