Reserve Bank assistant governor Luci Ellis told a UDIA audience that house build times have blown out from six to nine months on labour and material shortages, with backlogs and cost escalation expected to ease eventually. Intrapac's Max Shifman said delays were worsening and higher costs may be permanent.
As I told The Australian: “On the ground, everywhere you look there are more and more delays, and more and more challenges, whether it’s for workers or materials”
I also said: “I’d say if you are looking to build a new home now, you are looking at over 12 months before builders are able to start work”
And I added: “With so much happening on a global scale, and when you layer on the public works that are projected to last for decades, whatever cost escalation happens over the next few years could become the new normal”
The Australian, 26 May 2022 — Read the full article