{"id":2058,"date":"2022-03-08T06:35:08","date_gmt":"2022-03-08T06:35:08","guid":{"rendered":"https:\/\/royabhishek.in\/urbanbuyer\/house-building-costs-continue-to-soar-in-2022-more-upward-pressure-on-inflation-rate\/"},"modified":"2022-03-08T06:35:08","modified_gmt":"2022-03-08T06:35:08","slug":"house-building-costs-continue-to-soar-in-2022-more-upward-pressure-on-inflation-rate","status":"publish","type":"post","link":"https:\/\/royabhishek.in\/urbanbuyer\/house-building-costs-continue-to-soar-in-2022-more-upward-pressure-on-inflation-rate\/","title":{"rendered":"House Building Costs Continue to Soar in 2022 \u2014 More Upward Pressure on Inflation Rate"},"content":{"rendered":"

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House building costs have continued to increase in 2022 with clear implications for general inflation rate measures. <\/strong><\/p>\n

The My Housing Market House Building Cost Index increased by 1.3% over the January quarter for an annual increase of 17.1%.<\/p>\n

Although the rate of quarterly increase over January is lower compared to the rise over the previous December quarter of 1.6% \u2013 and the lowest increase since the May quarter 2021, the annual increase in house building costs is however clearly the highest on record.<\/p>\n

\"001\"<\/p>\n

The recent unprecedented surge in house building costs reflects the impact of the now-defunct federal government Home Builder initiative that acted to push demand well ahead of supply and resulted in shortages of labour and materials and placing upward pressure on building costs.<\/p>\n

Perth reported the highest increase in house building costs of the major capitals over the January 2022 quarter at 3.2% followed by Sydney up 2.4% and Melbourne higher by 2.3%.<\/p>\n

\"002\"<\/p>\n

Sydney however has clearly reported the highest annual increase in house building costs \u2013 up by 20.9% followed by Brisbane higher by 16.0% and Melbourne up 15.1%.<\/p>\n

\"003\"<\/p>\n

Sydney also maintains the highest house building costs of all the capitals according to the My Housing Market Capital City House Building Costs Relativity Index \u2013 higher by 9.2% compared to Melbourne the next highest.<\/p>\n

ALSO READ: <\/strong><\/span>Australia\u2019s least affordable cities for first-time buyers<\/a><\/p>\n<\/div>\n\n

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