Mirvac halves its earnings estimate

Empty homes built by Mirvac litter Newbury Estate

Mirvac, NSW’s largest home builder has dramatically revised its earnings estimates down almost 50% as confidence continues to slide in the new home market.

Managing director Nicholas Collishaw told investors the revision reflected “a conservative assessment of forecast residential settlements and sales based on current market conditions, which are being impacted by negative consumer sentiment and low home ownership affordability”.

The latest government figures show dwelling approval in NSW, where Mirvac dominates, fell 26.2% in September to 1594 approvals — a 43-year low.

» Mirvac halves its earnings estimate – The Age, 6th November 2008