Master Builders Australia (MBA) has claimed the Australian property sector remains in the doldrums despite the latest figures from the Australian Bureau of Statistics.
Chief economist at MBA Peter Jones commented that while the data revealed a 4.6 per cent rise in dwelling commencement during July, overall starts for the year to date remain down by more than 11 per cent at 139,000.
As a result, builders across the country continue to struggle and urgent policy action is therefore required to kick-start the industry into action.
He added: "Further rate cuts from the Reserve Bank are needed to turn consumer pessimism around and ensure that demand recovers."
Indeed, the government therefore needs to remove policies which are presently restricting the supply of new homes.
Earlier this month, Mr Jones stated the 1.9 per cent drop in Australian property finance commitments for July was a "disappointing" development, with the lack of positive momentum in the sector resulting in flat to falling prices.
Posted by Steve Douglas
