A new report has revealed the number of new homes sold in Australia climbed in November 2011, compared to the previous month.

The research conducted by the Housing Industry Association (HIA) and Jeld-Wen found the number of new-build properties bought in Australia during this period increased by 6.8 per cent.

Dr Harley Dale, HIA chief economist, explained interest rate cuts announced by the Reserve Bank of Australia (RBA) have helped boost Australia's real estate sector.

In November, the RBA reduced its interest rate by 0.25 percentage points, bringing it to 4.5 per cent. This was followed by a further 0.25 basis point cut in December, with the country's rate now standing at 4.25 per cent.

Dr Dale described the HIA-Jeld-Wen findings as "healthier but not unexpected", however, he cautioned that the nation's real estate market is not in the clear yet.

He added there is "a long way to go to restore new home sales volumes to acceptable levels," noting that the number of such transactions is currently "running at least 20 per cent below what you could conservatively call healthy".
 

{loadposition user38} source: http://www.propertyshowrooms.com/australia/property/news/new-home-sales-australia-rise_311852.html