Australia's construction sector recorded drops in activity levels for October, amid tighter lending and falling property prices, according to latest industry figures.
Commercial and residential activity saw significant drops month-on-month, with levels falling at the fastest rate in two years, local media cited the Australian Industry Group's Performance of Construction Index as showing on Wednesday.
The major employer organization covers the traditional, innovative and emerging industry sectors.
The index fell to 46.4 points in October in seasonally adjusted terms, down 2.9 points on the level reported in September, the Business Insider Australia news portal reported. Under the index, numbers above 50 mean activity levels are improving while those below point to deteriorating conditions.
"House building respondents linked slower activity in October to tighter lending conditions, falling house prices and generally weaker home buyer sentiment," according to the group.
September building approval figures from the Australian Bureau of Statistics showed the seasonally adjusted estimate for approved total dwellings rising 3.3 percent month-on-month to more than 17,000; with a year-on-year drop of 14.1 percent.