New home sales slide in April

New homes sales fell 4.7 per cent in April, following a 8.9 per cent rise in March, but the outlook remains healthy.

New home sales have fallen, but the outlook for home building remains healthy.

New homes sales fell 4.7 per cent in April, following an 8.9 per cent rise in March, according to the Housing Industry Association.

Detached house sales slipped by 3.0 per cent, while multi-unit sales plunged 10.8 per cent in April.

HIA economist Diwa Hopkins said the fall in the highly volatile month-to-month home sales figures was expected and wasn't that bad.

"The trend in new home sales reiterates that the peak for the cycle has passed, but the descent we're now observing is very mild," she said in a statement.

"This signals the potential for very healthy home construction activity throughout 2016, much as we have been anticipating."

WA posted the sharpest monthly fall in sales of detached homes, dropping 19.8 per cent.

Sales of detached homes fell in 8.1 per cent in NSW, 7.8 per cent Queensland and 1.3 per cent South Australia in April.

Meanwhile, Victoria was the only mainland state to post a rise in the April, with sales leaping 14.3 per cent per cent.


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Source: AAP



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