Australia’s housing crisis deepens as new home sales plunge again

New home sales below a year ago after four straight months of declines following the Albanese government’s May budget changes to investor tax benefits. Australia’s housing crisis is set to get worse, with new data recording a fourth straight month of slowing new home sales across the country in August. Housing Industry Association figures show that the number of new homes sold fell by 10 per cent in the past month, and is now 7.7 per cent below the same time a year ago. They have tallied close to 3651 new home sales in August in their latest home sales index, the lowest level since early 2025 — when there was an abnormally soft month in March. RELATED: National housing target falters as home approvals fall across Australia $100bn blow out: Albo under fire over tradies Iran War hits home construction prices with largest spike in almost four years The fall comes despite a May federal budget tax reform stopping property investors from accessing the most preferential capital gains tax discounts or negative gearing unless they buy a new home, with separate Australian Bureau of Statistics data showing that investor loans have also slumped in the months following the change by the Albanes...