Home builders are finally regaining some confidence in the market according to one leading building group. Simonds Group says it is excited about the future with sales picking up, despite higher costs for materials and labour.
Chief executive Rhett Simonds says consumer confidence has definitely returned in the last three to four months. “Our sales haven’t slowed. They’re trending to be more positive over the course of the last three to four months than they have been for the last 12 months.” “We are in the affordable part of the market. We’re selling more single-storey homes than double-storey ones.” The company has taken over 300 contracts from failed home builder Porter Davis. According to Australian Bureau of Statistics figures approvals of detached houses fell in the year to June a near-four-year low. Housing Industry Association (HIA) figures show new home sales fell in July for the second month in a row. It predicts home-building activity will drop to decade lows next year.