Northern Territory’s housing market has entered a boom phase, with the latest market indicators showing substantial growth, according to the latest report from the territory government.
Figures showed a 77% surge in sales over the period of January to May. This translates to 772 transactions – significantly higher than 435 sales recorded during the same period last year.
“There’s no doubt about it – the territory is booming. We are seeing more and more people choosing to purchase their own patch of the Territory — whether that’s building a new home or moving into an existing one," said Michael Gunner, chief minister of Northern Territory.
The increasing dwelling demand in the territory, particularly in its capital, has led to the significant boost in prices. In fact, separate figures from CoreLogic show that the median house price in Darwin has increased by 3% monthly and 11.2% annually in May to $970,355.
The territory also witnessed residential building approvals double during the same five-month period, from 165 to 321. This growth represents an economic contribution of about $169m.
"This also means plenty of work for the local construction industry, which is also flowing onto other businesses to keep the economy rolling," said Gunner. “We have further land release on the horizon for Territorians in Holtze and Kowandi, to ensure we keep up with demand, and keep growing the population and economy."
Dwelling investment in the territory also increased, up by 1.7% during the March quarter. On an annual basis, the Northern Territory recorded the biggest gain in dwelling investment at 37% to $718m.
