Northern Territory sees lift in dwelling activity
Recently released figures from the Australian Bureau of Statistics (ABS) will provide assurance to those with an interest in property in the Northern Territory.
It appears that more people are taking out home mortgages in the state, highlighting an increased interest in the northern reaches of the country.
"On an unadjusted basis, the total number of loans for the construction or purchase of a new dwelling was 147 during the three month period which ended in April 2014. This was 6.5 per cent higher than the previous quarter, and was up by 21.5 per cent on the same period a year earlier," the Housing Industry Association (HIA) noted in a June 10 statement.
"Over the entire year to April, a total of 564 new home loans were issued in the NT, which was a little higher than during the 12 months to April 2013."
HIA Executive Director for the NT, Robert Harding, said the figures were encouraging, referring to the increase in the number of loans for new dwellings.
However, expenditure cuts announced in the 2014-15 commonwealth budget could impact future dwelling activity in the NT.
"We will only really be able to assess the full effects of this on the NT market over the coming months," he said.
Across the country, there was a 1.1 per cent increase in the number of dwelling commitments for new home construction in trend terms, month-on-month to April, according to a June 10 release from the ABS.
Owner-occupied housing commitments increased by 0.1 per cent in trend terms over the same period.
The figures could suggest that more Australians are turning to the idea of new home construction rather than the purchase of existing dwellings, with industry commentators recently noting the importance of a strong construction industry for the good of the economy.
A home loan calculator can help buyers decide which kind of dwelling is right for them, based on their borrowing capacity.
Image credit: Marc Malmulder