The Housing Industry Association picks ACT, Victoria and Western
Australia as the hottest housing markets in Australia today. HIA is the voice
of Australia’s residential building industry.
HIA bases its observation on the 2014 edition of Population &
Residential Building Hotspots, the annual directory of the nation’s fastest
growing local housing markets.
ACT took out the top three positions for top hotspots in housing
activity nationwide with first place going to Crace (ACT), followed by Bonner
(ACT) in second and Casey (ACT) in third place. The national league ladder for
Hotspots includes all localities with at least $100 million worth of new dwelling
approvals in 2012/13 plus a population growth rate above the national average
of 1.8 per cent. Rankings are based on the actual population growth rate in
With population growth of 58.1 per cent during 2012/13 and $112 million
worth of new dwelling approvals, ACT’s Crace took the top spot. Second-placed
Bonner had a population rise of 43.3 per cent and total approvals worth $121
million, while third-placed Casey’s population grew by 40.6 per cent and new
dwelling approvals were valued at $131.5 million.
The Top Ten includes four Victorian localities and three WA markets, in
addition to ACT’s trio. The Top Twenty includes three NSW localities, two
markets in Queensland and eight in Victoria. The inner Melbourne locality was
ranked fourth nationally with a whopping $385.1 million worth of new dwelling
approvals and population growth of 22.7 per cent, indicating the continued
revitalisation of the nation’s second largest city.
According to HIA Senior Economist Shane Garrett, the HIA Hotspots report
shows the expansion in activity has been broad based, with most states performing
well in the nation’s hottest local markets. If this trend continues, the
Hotspots club will gain more new members in the next report.
Shane Garrett explains that despite the gloom related to the federal
government’s fiscal situation, the ACT’s residential construction industry is
forging ahead with its long term plans. Victoria’s home builders have also
persevered with providing new dwellings for the state’s increasing population,
despite a lot of negativity.
He attributed the WA’s impressive showing in the Top Twenty to the long
overdue recovery in the state’s new dwelling construction market. Though the absence
of both Tasmania and South Australia from this year’s Top Twenty for the second
year is disappointing, Shane Garrett believes the gradually improving situation
in both markets will bring them back into the reckoning at the national level
in the near future.