Rudd’s $10.4 billion dollar economic stimulus plan seems to have done the trick. It has stabilised the patient.
ABS housing finance figures released today show the value of dwelling commitments for owner occupier housing increased 1.4%. This positive result is driven by a 17.8% increase of First Home buyers entering the market after the doubling of the FHOG.
The grant, not available to investors, did little to help the value of dwelling commitments for investor housing. It slid down 6.1% for the month of November.
However with the grant expiring on June 30 this year, the government is now under pressure to throw more money into the wind and extend this.
» Grant stems housing slide as pressure is on to extend first-home buyer scheme – The Australian, 15th January 2008.