Home building falls to almost 30 per cent below Government's target
Australia built 197,340 homes in the 12 months to March, nearly 30% below the government's 240,000-per-year target needed to reach 1.2 million new homes.
197,340 new homes commenced in the 12 months to March, against the 240,000 annual target needed to hit 1.2 million homes.
How far behind is Australia on its 1.2 million homes target and what does it mean for tradies?
Builders and allied trades face ongoing uncertainty as the construction shortfall signals weaker forward work pipelines for building, carpentry, plumbing and electrical contractors.
Key takeaways
- Only 197,340 homes started construction in the year to March, well short of the 240,000 annual target.
- The shortfall is nearly 30% below what's needed to meet the government's 1.2 million homes goal.
- Fewer housing starts means less forward work for builders, plumbers, electricians and other trades.
- The data comes from HIA's Senior Economist, signalling ongoing pressure on housing supply targets.
Related
Update: contracts signed before 1 July 2026 and optional cover
HIA is providing updates on the transition from Domestic Building Insurance (DBI) to the First Resort Home Warranty Scheme (FRHWS), focusing on contracts signed before 1 July 2026 and optional cover arrangements.
Why it matters: Builders and contractors need to understand how existing contracts are affected by the insurance scheme change to ensure compliance and avoid coverage gaps.
Approvals increase a welcome but further work needed on regulatory burdens
Tasmanian building approvals have risen over the past year, but construction starts are not keeping pace. The pipeline is growing faster than it is being worked through.
Why it matters: Builders in Tasmania may see more work on the horizon but face delays converting approvals into actual starts, affecting cash flow and scheduling.
Interview with Jaimee Rogers, Sky News Australia
Master Builders Australia CEO Denita Wawn was interviewed on Sky News Australia on 12 July 2026 regarding the Federal Budget. No further detail on content is available.
Why it matters: Builders and related trades may be affected by Federal Budget measures, but no specific impacts can be identified from the available content.