New data confirms what we all suspected - 2015 was a boom year for home building.

"During 2015, just over 220,000 new dwellings began construction," said HIA Senior Economist Shane Garrett. "This represents growth of 11% on 2014, which was itself the previous record holder for new home activity."

"It is impossible to overstate the importance of new home building in supporting economic activity over the past few years," said Garrett. "The mining slump left a big hole in economic growth which residential building has partly alleviated, providing much needed employment in construction. Australia's housing stock has been augmented significantly by the high levels of new home building. This will benefit our economic capacity and living standard for decades."

Garrett said he expects construction to taper off in 2016, and warned against allowing construction to decline to levels that wouldn't meet housing and economic needs. "We must avoid this outcome by immediately tackling the heavy taxation burden on new home building, speeding up the planning process, and doing more to deliver shovel-ready residential land," he said.

The changes in new dwelling construction starts were:

* New South Wales +19.1%

* Tasmania +18.8%

* Queensland +18.7%

* Victoria +17.3%

* ACT +6.0%

* Northern Territory -22.4%

* Western Australia -12.0%

* South Australia -9.4%