Housing starts drop back
Australian housing starts fell in the March quarter after a spike in late 2025. The overall trend for home building remains broadly positive despite the quarterly dip.
Why have Australian housing starts dropped and what does it mean for my trade business?
Builders and related trades like plumbers, electricians and carpenters may see short-term workload fluctuations as new project pipelines adjust to the quarterly drop in starts.
Key takeaways
- Housing starts fell in the March 2026 quarter after a notable spike in the final quarter of 2025.
- The overall trend in Australia's home building market is still considered broadly positive.
- Trades relying on new residential work should monitor pipeline changes over coming quarters.
- No specific states or regions were singled out in the data release.
Related
New home sales in Victoria remain depressed
New home sales in Victoria fell 23.3 per cent in the September quarter 2026. The drop reverses the improvement seen earlier in the year and returns sales to the depressed 2023-2024 levels.
Why it matters: Builders, carpenters, plumbers, electricians and other trades working on new Victorian homes face a thinner pipeline of starts. That means more competition for work and possible gaps in their schedules.
Unemployment up, but building workforce remains tight
ABS Labour Force data for September shows the unemployment rate rose to 4.7 per cent. The headline says the building workforce is still tight despite the rise. The available text is cut off, so further detail is not confirmed.
Why it matters: Builders and other construction trades may still find it hard to hire and keep skilled workers even as overall unemployment rises. That could keep pressure on labour costs and project timelines.
New home sales slump
New home sales dropped 17.5 per cent in the September quarter 2026, according to the Housing Industry Association. The fall reverses the recovery that began in 2025.
Why it matters: Builders, carpenters and the trades that follow them on new homes (plumbers, electricians, roofers, painters) may see fewer new job starts and a thinner work pipeline in coming months.