HIA: Trade Material Costs Stabilise

The Housing Industry Association (HIA) has reported that the cost of building materials was unchanged in the September 2023 quarter for the first time since the pandemic.

 

GALLERY  

The Australian Bureau of Statistics (ABS) released its Producer Price Indexes for the September Quarter 2023, for a range of industries, including mining, manufacturing, construction and services industries.

“The ABS Producer Price Index for house construction inputs saw a 0 percent change in the September 2023 quarter compared to the previous quarter,” HIA senior economist Tom Devitt says.

“This sees the cost of house building materials just 4.4 percent higher over the year, compared to a 17.3 percent annual increase in 2021-22. The slowing in cost of house building inputs reflects a significant easing in the materials constraints that plagued the industry during the pandemic.”

He adds that some of the worst affected products during the pandemic are now seeing outright declines in price.

“Last year, structural timber and reinforcing steel prices were both up by more than 60 percent on pre-pandemic levels. In the last year, they have declined by 8.8 percent and 5.3 percent respectively. Steel beams and sections, which were up by more than 50 percent a year ago, subsequently declined by 17.2 percent,” Tom explains.

“Most of Australia’s pandemic inflationary pressures came from building materials and fuel. As these pressures ease, it will provide more certainty of future house building costs, as well as hasten the need for a cut to interest rates.”






Get our enews

Design and development news that comes to you

Subscribe
                 


Coastal Elegance Redefined: Azurea from Made by Alas

Nestled along the pristine shores of Cronulla, NSW, the latest luxury duplex development, ‘Azurea’ at Elouera Road embodies ...

Parkline Place Completes Above Gadigal Station

The completion of Parkline Place marks a major milestone for Sydney’s skyline, with the 39-storey commercial tower now ...

Studio Shoo Crafts Sculptural Retail Space in Armenia

Milan-based interior design practice Studio Shoo has completed an innovative retail space in Yerevan, Armenia, seamlessly blending sculptural ...

Wollongong RSL Set for Demolition as $229M Redevelopment Gets Green Light

A landmark site in Wollongong’s CBD is set for a major transformation following the approval of The Globe ...

  MORE  

Stay connected to the SPEC

Join our reader network by signing up to our weekly newsletter and receive design and development news straight to your inbox





Specifier Source is brought to you by the same company that publishes Home Design, Grand Designs Australia Magazine, Kitchens & Bathrooms Quarterly Magazine, Outdoor Design Source, Build Home, CompleteHome and many more.

© 2022 Universal Media Co. All Rights Reserved. Privacy Policy. Terms of Service. The material on this site may not be reproduced, distributed, transmitted, or otherwise used, except with the prior written permission of Universal Media Co.