A hat-trick of factors have combined to lift confidence further in NSW’s housing market, according to Chris Moscher of G.J. Gardner Homes, one of Australia’s biggest homebuilders.
New figures released by the Australian Bureau of Statistics show banks are lending more money to more customers keen to build their dream home compared to last year’s figures.
The number of new mortgage approvals for construction in New South Wales is up 21 per cent and the value of these mortgages is up 19 per cent compared to the previous year.
Chris Moscher said that new home loan figures coupled with a 13-month rise in private sector housing approvals – up nearly 16 per cent in 2013 – and a static 2.5 per cent interest rate will boost NSW’s housing market.
“This hat-trick of factors have put some real oomph into the NSW housing market, paving the way for more people to build their own homes,” Chris said.
“It’s an exciting time. Banks are lending more, interest rates remain low and approvals for new homes show no sign of slowing. The outlook for those wanting to build a home in NSW is very good.”
The new lending figures show a total of 1,022 mortgages worth $318 million were awarded for the construction of homes across New South Wales in December 2013. That compared to 842 mortgages for construction worth $268 million in December 2012.
“These are signs that the industry has turned a corner and homebuilders have every reason to be optimistic,” Chris concludes.
The information provided in this blog is of a general nature only and in no way constitutes legal or professional advice, or specific advice in relation to any finance. In all cases we recommend you receive professional financial advice for your own personal circumstances.
The information in this article is based on G.J. Gardner Homes findings. We thank G.J. Gardner Homes for the interview.