The latest HIA Trades Report confirms persistent and widespread home building weakness, said the Housing Industry Association.
The report highlights a significant increase in the availability of skilled labour in the June 2012 quarter.
"A synchronised decline in new home building and renovations activity in 2012, which sees the former sector back in recession, is reflected in the highest availability of skilled labour reported since the HIA trades survey began in 2002," said HIA Chief Economist, Dr Harley Dale.
"Governments have a crucial role to play in delivering investment and reform to boost housing activity. Furthermore, now is the time, during cyclical weakness, for policy makers to accelerate reform and investment in skills and training to avoid labour re-emerging as a constraint on a future housing recovery."
"For households, the current environment is very positive - interest rates are lower, the home building market is very competitive, and there is a greater availability of skilled trades. Now is a great time to build or renovate a home," added Harley Dale.
The HIA Trade Availability Index registered +0.20 in the June 2012 quarter, meaning that trades were in moderate oversupply (a reading between 0 and 1 signals oversupply). Meanwhile the HIA Trade Prices Index eased by 0.7 per cent to be up by only 0.1 per cent over the year to the June 2012 quarter.
