According to the latest housing data points, the new home building industry is heading for a recovery from the recent slump over the last few years. In fact seasonally adjusted figures show the number of new dwelling construction starts rose by 8.2 per cent in the final quarter of 2013, promising figures for those in the industry as well as those looking for a start in it. Young workers in particular should take advantage of the growth being experience, with the need for skilled construction workers rising and an expected skills shortage in the near future anticipated.
Although new home construction starts are on the rise, according to ABS figures the number of detached house construction starts is still weak. Most of the recent growth in construction has come from units and apartments according to the ABS latest dwelling figures for the December quarter ending 2013.
The following excerpt from a post on Brokernews.com.au explains:
Detached house building activity declined by 0.7% in the December quarter of 2013 while multi-unit building activity increased by 21.3% in the quarter.
The Housing Industry Association believes this shows the housing industry is picking up.
“Original figures show there were 47,326 dwellings commenced in the December quarter which was the strongest quarterly result since 2002, even surpassing the highs during the period impacted by the GFC stimulus,” said HIA economist Geordan Murray.
“Throughout the duration of the recovery to date, growth has been driven primarily by the NSW and WA markets. Given that the level of activity in these two markets has now reached historic highs, growth beyond the current levels could to be more difficult.”
According to statistics neither New South Wales nor Western Australia played a major part in the growth experienced over the December quarter however NSW did experience minor growth with WA declining slightly,
But neither NSW nor WA drove the growth in the December quarter. Dwelling commencements in NSW rose by 2.8%, while commencements in WA declined by 1.3%.
This is no reason to expect the construction industries in these states to remain stagnant. Economists have predicted growth across the board for the construction industries in Oz but the good news about the construction industry is that once you have completed your General Construction Safety training in one state, it is valid nationally allowing you to work anywhere in the country that you have a job opportunity.
Much of the activity in the construction sector can be attributed to commercial construction. It is important to keep in mind that residential construction is on the rise despite commercial construction activity being higher, particularly in terms of revenue. The post went on to explain:
The ABS also released construction activity data to December 2013. Seasonally adjusted numbers show residential construction by value around $12 billion a quarter across 2013, which is slightly higher than the fourth quarter of 2012.
Only 23% of construction activity by value relates to residential development. This has fallen significantly since 2000 likely due to an increase in non-residential building activity.
It is important that people in this sector, both residential and commercial construction workers need to be in possession of the General Construction Safety Induction Card known as the White Card.