According to today’s ABS Housing Finance release, the number of new home loans grew at a decent rate in October: 3.6% in Qld and 1.9% across Australia (seasonally adjusted). Of course, this growth occurred prior to the Melbourne Cup day rate rise, so market observers are cautious about its implications for the economy (see the AAP report Home loans stabilise and grow).

The Queensland construction sector is currently pretty flat, although the medium to long-term prospects are good due to the mining boom and government investment in the regions, as confirmed by a report in today’s Townsville Bulletin (Construction eases):

CONSTRUCTION activity continues to ease at Townsville with the possible development of office space for the State Government providing hope of stimulus in the long term, a survey has found.

Meanwhile, major mining and energy projects in Central Queensland are expected to act as a drain on the region’s labour pool but still increase construction costs.

Building and construction consultant Davis Langdon, AECOM company, has released its latest Tender Level Index survey for 2010, which paints a patchy picture for construction and development.