Queensland’s home building industry is showing significant signs of growth in 2015, which could have a positive knock-on effect for jobs in the state.
Recent figures from the Australian Bureau of Statistics showed the number of new dwellings under construction across the nation rebounded in the March quarter, with Queensland’s figures particularly impressive.
The state enjoyed a 20.9 per cent jump in housing commencements over the three-month period, as well as a 20.4 per cent increase when comparing year-on-year data.
Activity in the construction sector is likely to lead to a rise in demand for people with trade-based qualifications, which is an encouraging development for apprentices in Queensland.
Peter Jones, Chief Economist of Master Builders Australia, said residential building continues to be the primary driver behind the construction industry’s performance in recent months.
“We have now reached a milestone in terms of dwelling commencements, which in the year to March reached an all-time record of 203,706 with an increase of 15.6 per cent year on year,” he stated.
“In value of work done terms, there was a massive 5.1 per cent jump in residential building during the March quarter, to take the increase in year-on-year terms to 10.6 per cent.”
Budget benefits real estate sector
Earlier this month, Queensland Treasurer Curtis Pitt unveiled the State Budget, which is expected to provide a further boost to the residential property sector.
Antonia Mercorella, CEO of the Real Estate Institute of Queensland, welcomed the fiscal update, claiming it will offer benefits to prospective homeowners in a number of ways.
Specifically, she praised the focus on creating jobs in Queensland, enabling communities in the state to enjoy growth in the future.
“Increased employment opportunities bring economic stability and that will help people make a decision about whether to rent or to buy; whether to stay or to move,” Ms Mercorella explained.
She highlighted the state government’s $300 million schools refurbishment plan as an excellent way to provide extra jobs for local tradespeople, while also offering children and educators the facilities they deserve.
The CEO emphasised the impact these changes would have on locations such as Townsville, where the rental market has been struggling. She said the schools project would revitalise the local employment sector and potentially reduce the dwelling vacancy rate of 5.9 per cent.
The REIQ said recent announcements regarding transport infrastructure improvements would also improve the property sector’s outlook.
Posted by Leanne Macnamara, Public Affairs Coordinator