Australian new home sales fell to fresh multi-year lows in July with declines reported in all of the mainland states.
Sales of newly built, standalone house have slumped in the two biggest mining states but are still growing in large key markets.
The average Aussie home is now worth $686,700, new figures show.
Canberra property prices continued to surge during the June quarter as the runaway housing markets of Sydney and Melbourne led the nation.
Sales of new homes fell sharply in June to the lowest since 2013, though conditions were markedly different across states, an industry survey showed.
A strong pick-up in house building and engineering construction has helped lift overall building activity for the first time in five months.
Residential property approvals have likely entered a downward cycle according to the Housing Industry Association.
The renovation industry in Australia is showing some signs of recovery; however it is still in a fragile state according to the Housing Industry Association.
The cooling Australian housing construction sector may not be able to provide new jobs and economic activity much longer, economists say.