Land sales may increase work in residential constriction sector

Posted: 2012-01-20

New data shows that lands sales are on the rise in a number of areas around the country, according to construction peak-body Housing Industry Australia (HIA).

Andrew Harvey, senior economist with the HIA, said that the improved results were a breath of fresh air for the industry.

He was also quick out to point out that a lot more needed to be done before they could announce a full recovery.

"It's a long climb back, but at least we have now seen three consecutive quarters in which land sales volumes have increased, although there is no avoiding the fact that overall levels remain low," he said.

"Land sales are an early leading indicator so an upturn in trajectory is essential to the prospect for an eventual recovery in new home building activity - although we really do need much higher sales levels to make a material difference."

For business owners looking to capitalise on the recent upturn in sales, making the decisions to take on new staff and purchase additional equipment could put your company in a competitive position to take on a new contract.

However, it is also a good idea to take out the appropriate construction insurance in order to better manage risks in case things do not go to plan.