The East Kimberley is one of the State’s fastest growing regions, according to new figures released by the Housing Industry Association that show an explosion in building approvals for the area.
The ABS building approvals figures for the December quarter of 2009, released by HIA last week, show approvals for the Shire of Wyndham East Kimberley grew by 382 per cent compared to the same three-month period in 2008.
Total building approvals for the year were 142, with more than 80 approvals issued in the December quarter alone. Building approvals growth in the East Kimberley was more than double the State’s next fastest growing region, Kwinana in Perth.
Shire of Wyndham East Kimberley figures show the annual construction value of new approvals issued in 2008/09 was $40,925,702, an increase of almost 20 per cent on 2007/08 construction values.
The construction value of building approvals issued for the first eight months of 2009/10 was $40,932,458.
Despite the boom in building approvals, affordability remains a key issue in the East Kimberley.
Kimberley First National Real Estate sales manager Brad Williams said that although recent land releases had relieved some affordability pressure, house prices were likely to remain strong.
“Even with the increase in the frequency and size of land releases in the past year, the demand has been quite capable of absorbing the supply,” he said.
“I think housing affordability has improved somewhat through the introduction into the market of more cost-effective construction methods but, generally, we expect the prices of established houses in Kununurra will grow strongly over the coming 24 months,” Mr Williams added.
East Kimberley Real Estate principal Andrea Fox agrees.
“Houses should become slightly more affordable because of more builders in town and a wider range of building options,” she said.
“However, I think the value of housing will remain strong because of population growth.”
Industry data shows a 2009 East Kimberley annual median house price of $486,000, almost eight times the region’s median annual household income.
By NATHAN DYER
