New home sales on the rise
Demand for housing is a major factor in how well a property investment will pay off. After all, if no one is looking to buy a home, selling yours for a high price will be much more difficult.
Fortunately, data shows that despite talk of a cool down in the housing market, new home sales were on the rise in June – a great sign for investors considering property in the Northern Territory.
The Housing Industry Association's New Home Sales Report shows that there was a 1.2 per cent increase in new home sales during June, as well as a 2 per cent rise during the June quarter. Much of this was thanks to multi-unit properties.
"Detached house sales increased by 2.6 per cent in the June 2014 quarter despite falling in the final month," HIA Chief Economist Dr Harley Dale said in a July 29 media release.
"Further, albeit modest growth in detached house sales last quarter, together with very elevated multi-unit sales, augers well for new residential construction in addition to wider elements of the domestic economy."
Growth in multi-unit sales could explain why Darwin saw a huge increase in unit capital growth on a yearly basis during the June quarter. Australian Property Monitors recorded a rise of 8.7 per cent.
Whether you're looking at detached property in Alawa or apartments in Darwin's CBD, it appears NT has much to offer property buyers.