The Housing Industry Association (HIA) has claimed that the low number of homes being built in New South Wales (NSW) indicate the need for renewed efforts to boost the Australian property development sector.
HIA's NSW executive director David Bare argued that in the December 2011 quarter the state's seasonally adjusted dwelling commencements only rose by 0.6 per cent, a relatively small jump given the rate cuts made at the end of the year.
Mr Bare also noted that roughly 2,000 less homes were started over the course of 2011 than in 2010, which he indicated could be a problem for the country's most populous state.
"The December quarter dwelling commencements information serves as yet another wakeup call that there is an urgent need ... to reform the supply side of the NSW housing market," added the executive director.
Mr Bare recently praised NSW planning and infrastructure minister Brad Hazzard plans to consider restructuring infrastructure funding methods in the state.
Posted by Stephen Douglas
