Construction costs rebound as builders warn confidence is faltering
Construction cost inflation has returned to a steadier pace across Australia, but builders warn higher interest rates and Federal Budget uncertainty are weighing on new home demand and future housing supply.
After a brief slowdown earlier in the year, construction cost growth has regained momentum, even as builders report weaker demand for new homes and a more cautious outlook for residential construction. (Image source: Lev Kropotov/Shutterstock.com)
Australia’s construction cost growth has returned to a more familiar pace, but the rebound is occurring against a backdrop of weakening confidence among home builders as higher interest rates and Federal Budget housing measures weigh on new home demand.
The latest Cordell Construction Cost Index (CCCI) from Cotality shows construction costs increased by 1.0 per cent nationally during the June quarter, rebounding sharply from the subdued 0.2 per c…
