Wednesday, March 23, 2011

AUSTRALIA NEW HOME CONSTRUCTION ALSO TAKES BIG HIT

FLOODS, cyclones and record-low housing approvals have combined to wipe 8000 jobs from the construction sector in the past three months, a report from the Urban Development Institute of Australia shows.

At the same time, data shows a median-price house in Brisbane costs in excess of $102,554 more than a family on an average wage can afford.

UDIA Queensland president Warren Harris said the construction has lost more than 17,000 full-time jobs since August 2008.

Australian Construction Workers
While 2011 appeared to promise better form than the past two years, instead approval numbers dropped a further 32 per cent in January to a 28-year low as far back as ABS records go largely due to widespread flooding.  That led to the loss of nearly 8000 jobs.

Regional modular home builder Nomad Building Solutions is another company that has felt the brunt of a tough season.  Chief executive Brett McDonald said issues from floods to the Japanese earthquake had made deals difficult to finalize.  "It's been pretty tough and a lot of rain and other events here and overseas haven't helped," he said.  "With this level of negative sentiment around people aren't keen to go out and buy a house."

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