80% of builders expect home building to slow after Budget decisions
New home sales fell 4.6% in June, marking a second consecutive monthly decline. Builders are pessimistic about the outlook following recent Budget decisions, with 80% expecting home building activity to slow.
New home sales dropped 4.6% in June, the second consecutive monthly decline, signalling a cooling pipeline for construction trades.
Will the Budget slow down new home building and affect my trade workload?
Builders and related trades face fewer new home contracts ahead. Slower housing starts will directly reduce work for plumbers, electricians, and carpenters reliant on new builds.
Key takeaways
- 80% of builders expect home building activity to slow following recent federal Budget decisions.
- New home sales fell 4.6% in June, the second month in a row of declining sales.
- Higher interest rates and policy uncertainty are dampening consumer confidence in new builds.
- Trades dependent on new housing starts — plumbers, electricians, carpenters — may see fewer jobs ahead.
Related
Construction needs an effective enforcer not a paperwork obsession
The Housing Industry Association (HIA) warns that proposed national construction standards and new procurement rules miss the mark. It says the measures land hardest on home builders and argues for an effective enforcer rather than more paperwork.
Why it matters: Home builders and small residential contractors could face extra compliance paperwork and procurement requirements, adding admin time and cost to jobs without necessarily lifting building quality.
Potential Commonwealth Standards for the Construction Industry
The Housing Industry Association (HIA) says it backs a lawful, safe, productive and sustainable construction industry and has long called for structural reform. It says the consultation on potential Commonwealth standards proposes several measures it is concerned about.
Why it matters: Commonwealth standards could add new compliance requirements for builders and subcontractors across residential construction. The article gives no detail yet, so the practical impact on trades is unclear.
Secure Australian Jobs Framework
The article argues that residential building and its supply chains should be exempt from the Secure Australian Jobs Framework and any related procurement obligations. It says government effort should go towards improving productivity instead.
Why it matters: Builders and the trades working in residential construction could avoid extra procurement obligations and compliance work if the exemption is granted. Otherwise, supply chain and tendering requirements may change.