New home sales up slightly in February

The number of new homes being sold across Australia grew slightly in February 2012, following an "awful" start to the year for the property market.

New figures released by the Housing Industry Association (HIA) indicated that the number of houses being snapped up by Aussies grew by three per cent in seasonally-adjusted terms.

Chief economist at the HIA Dr Harley Dale suggested the reduced number of properties being sold throughout the nation at the start of the year was alarming.

The latest Genworth Homebuyer Confidence Index showed that Aussies are starting to display more confidence in the economy and 39 per cent of survey respondents felt now was the perfect time to take out a home loan.

This was the best result since March 2011, which provides hope that the market could be about to recover, but Mr Dale feels that despite the encouraging statistics from February, there is still a long way to go.

"Looking beyond just one month, however, there is much work to be done to see new home sales volumes back at healthy levels across the country," he remarked.

Have a question about home loans? Ask the money gurus at Mozo Answers.ADNFCR-1761-ID-801330583-ADNFCR