New home sales have increased for the first time since the global financial crisis hit in 2008, according to the Housing Industry of Australia.
Sales rose 14.4 per cent in 2013, the first year of growth in five years, according to the HIA's new home sales report.
In the final quarter of 2013, sales were at levels not seen since mid 2011, when activity in the housing market was being boosted by government stimulus, HIA economist Diwa Hopkins said.
"The broader trend shows a healthy profile of recovery throughout 2013 and the underlying details are also fairly encouraging," Ms Hopkins said.
"The key now will be for these improved sales levels to expand further in the year ahead."
In the month of December alone, the HIA new home sales report showed that total seasonally adjusted new home sales eased by 0.4 per cent.
The aggregate decline was driven by a 6.6 per cent decrease in multi-unit sales while detached house sales increased by 0.9 per cent.
“Total new home sales were largely unchanged in the month of December, however, the broader trend shows a healthy profile of recovery throughout 2013 and the underlying details are also fairly encouraging."
Ms Hopkins said the aggregate monthly decline was due to an unsurprising pull-back in multi-unit sales, following the previous month’s very strong result.
"Looking at detached house sales, the growth in this segment has broadened in its reach, with four out of the five surveyed states showing monthly and quarterly increases in December 2013," she said.
In December, private detached house sales increased by 22.5 per cent in South Australia, 7.3 per cent in Western Australia, 5.8 per cent in New South Wales and 1.5 per cent in Queensland. Detached house sales fell by 13.4 per cent in Victoria.
In the final quarter of 2013, detached house sales increased by 50.9 per cent in South Australia. They also rose by 12.3 per cent in Queensland, 3.5 per cent in New South Wales and 2.3 per cent in Western Australia. In Victoria, detached house sales fell by 9.5 per cent in the quarter.
By a staff reporter, with AAP
