Nearly 45 per cent of residential builders' clients have cancelled or postponed projects in Victoria this year because they could not secure finance, an industry survey says.Master Builders Association of Victoria executive director Brian Welch said the survey by his group showed the damage that tight lending practices were continuing to have on housing affordability."Victoria has an under-supply of 29,000 homes and we're currently building 5000 too few homes per year to meet that demand." Mr Welch said.When builders were asked if their ability to access credit over the past three months had changed, 5 per cent reported an improvement buy 24 per cent reported a deterioration."Our members are telling us that many residential projects are not getting off the ground because banks were unwilling to lend."About one-third of builders reported a rise in customer inquiries in the past quarter, but many were not developing due to problems in projects getting credit.
Squeeze on home finance
You must be logged in to reply to this topic. If you don't have an account, you can register here.
