Materials hike will add to home price
THE average cost of building a home is set to rise by $5000 as the carbon tax pushes the price of construction materials higher.
And for those hoping to make their homes more energy-efficient there is an extra sting, with insulation and double glazing forecast to feel the full brunt of the tax, The Australian reports.
The Master Builders Association expects at least $5000 to be added to the cost of building the average residential home, currently about $300,000.
“There’s so many products that go into making a house, it’s logical that a tax of this nature is going to have an impact on the sector,” said MBA chief economist Peter Jones.
The MBA’s modelling indicates the cost of metals — from aluminium windows to structural steel to Colorbond roofs — will rise by between 2 and 4 per cent.
Mineral-based products such as concrete and bricks will jump 3 per cent on average, and timber will rise by 1.5 per cent.
“Insulation prices are also expected to go up,” Mr Jones said.
Read more on this story at The Australian.
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