BIS Oxford Economics is bearish about the near-term outlook for Australia’s housing construction market. The firm has forecast that the sector will be hit by a two-year correction, with the number of new dwelling starts tipped to fall to 161,000 a year. This compares with between 220,000 and 230,000 annually over the last four years. From The AFR:
Housing construction will fall 30 per cent from peak to trough… The pullback in new home starts will be greater than the average 25 per cent decline seen across the past nine construction downturns since the mid-1970s…
