‘Record number’ of homes under construction and waiting completion

REA Group Economist Angus Moore says construction costs have increased “enormously” and that there are a “record number” of homes under construction currently waiting to be completed.

He said there are a lot of apartments under construction but the big ramp-up has been in detached houses.

“Part of that’s HomeBuilder, part of it’s low-interest rates,” Mr Moore told Sky News Australia.

“We are seeing the rate of new homes commencing slow down but the rate of completions, in terms of the number actually being built and people taking possession of, actually hasn’t picked up despite that enormous pipeline.”