According to a new report, the conclusion of the mining boom and the series of government spending cuts is likely to impact the housing market in Australia.

The report said that the economic conditions will reduce the number of new houses being built. However, it also noted that the increasing population would mean that some areas are set to record a building boom in the country. The BIS Shrapnel Regional Building 2013-2015 report said that Coffs Harbour-Grafton located on the northern coast in the state of New South Wales as the leading boom area for new housing units with an estimated rise of 52 per cent for 2013-2014 financial year.

On the other hand, the report said that Alice Springs is likely to record the largest fall in the number of new housing units being built. The number of new housing units is likely to fall by 43 per cent over the same period. The Pilbara and Kimberley region in Western Australia are likely to record a fall of 36 per cent and 22 per cent respectively.

BIS Shrapnel associate director Kim Hawtrey said that the, "Low interest rates, a friendlier exchange rate and improving confidence will drive increased building activity."

Source: Top News