Along with a boom in the commercial construction sector, the residential construction sector is seeing significant growth, according to Master Builders Australia (MBA).
“On the residential building front, the last three years saw unprecedented growth in new housing construction,” says Matthew Pollock, MBA’s National Manager of Economics.
“We have built more than 200,000 new dwellings per year – a feat unmatched in our history.”
An increase in renovations is also expected to average $8.8 billion per year and top $44 billion over the next five years, according to the association.
“Forecasts show that the surge in the pipeline of alterations and additions work for residential builders kicked off in 2017, [and] last year renovation building work reached a decade high with activity topping $8.3 billion” says Pollock.
While the boom in dwelling construction has been centred on the Sydney and Melbourne markets, this is forecast to be reversed with the boom in renovation work, according to Pollock.
“We expect growth to be strongest in South Australia, Western Australia and Queensland, which is great news for our members in those states who have been doing it tough,” he says.