WA housing approvals continue to decline with new Australian Bureau of Statistics figures showing the number of new building approvals is at a five-year low.
Master Builders WA housing director Jason Robertson said the figures were concerning but he predicted a very slow recovery.
“In WA the approval numbers have dropped 7.3 per cent on the previous month and are 28.1 per cent lower than this time last year,” he said.
“Figures for units and apartments continue to be particularly worrisome.
“One bright spot is detached housing approvals in November increased in the month, compared to October.”
Mr Robertson said the November figures, coupled with earlier data showing a decline in housing investor loans, continued to sound serious alarm bells to the erosion of market conditions in WA.
“Our State Government has made some welcome announcements recently, including an increase to Keystart’s loan book and the Affordable Housing Action Plan, however further stimulus should be considered in the upcoming State Budget,” he said.
“The road to recovery will be slow and subdued.
“The government needs to be aware of the difficulties facing the home building sector when making policy decisions.”