McGowan denies WA grants overheated housing market as BGC closes books to new sales

“Our focus is entirely on the delivery of the homes we have on the ground.”

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BGC had significantly reduced sales limits since June 2022.

Last year, it closed its books on new home sales for the Commodore Homes and Go Homes brands.

The spokesperson said BGC’s continued acceptance of new sales is under constant review.

It is cold comfort to Zoe-marie Masters and her husband Joel, who signed the final contract in March 2021 to build a home with BGC in Mandogalup’s Apsley Estate.

The mother of six said her home has been at record height for nearly 200 days.

Masters cautiously welcomed the announcement that BGC was curbing new sales to focus on existing customers.

“BGC can no longer run away from complaints about these lengthy delays,” she said.

“There is a pessimistic feeling among customers that this restriction on new sales is a glorified move by BGC to say we are doing the right thing.”

The construction giant is facing a class action from potentially hundreds of customers frustrated with lengthy delays in building their new homes.

A statement released by Morgan Alteruthemeyer Legal Group on Wednesday said more than 600 pre-qualified parties have been involved so far and thousands of home construction delays, expected to result in multi-million dollar damages.

“MALG is currently engaged in confidential discussions with litigation funders,” the statement said.

“Anyone who has signed construction contracts with contractors who are part of BGC Housing Group and who have experienced construction delays are invited to visit www.bgcclassaction.com.au to provide their details and complete the questionnaire.”

Cath Hart, CEO of REIWA, said delays in new home construction were partly to blame for the rental crisis in WA, with a vacancy rate of 0.7 percent in Perth.

“Delays in the construction industry have played a role for just as many tenants benefiting from COVID building incentives are still waiting for their home to be completed and must keep their rental property in the meantime,” she said.

“And while we expect the market to ease somewhat as building completion improves, demand will remain strong as our population continues to grow.”

Perth’s median rent rose to a record $535 per week in February.

Hart said WA needed 18,000-20,000 new rental properties to return to a balanced market.

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