The biggest and most sustainable display village on the New South Wales mid-north coast was officially opened by the Federal Minister for Housing The Hon. Michael Sukkar MP amid a local construction boom.

The 21-home display village features 14 of the region's leading builders, which collectively contribute an estimated 60 per cent of the Hastings' annual residential development activity.

These builders are experiencing record demand for new homes fuelled by the Australian government's HomeBuilder grant, providing much needed support to one of the Hastings' biggest economic drivers and employers.

Member for Cowper Pat Conaghan said developments such as Sovereign Hills are vital to the government's regional growth strategy and support the need for quality housing across the mid-north coast.

"The federal government's HomeBuilder scheme has provided a welcome boost in new home construction interest locally, resulting in a surge in new home sales," Mr Conaghan said.

"It is important that we continue to support our housing industry, ensuring there is a range of affordable housing options for those entering the market for the first time, and those looking to buy or build their dream home for the future."

From smart home systems to innovative kitchens, clever storage solutions and energy saving technologies, the new Sovereign Hills Display Village takes living to the next level.

"The pandemic has elevated the importance of the family home being more secure, multipurpose and flexible, and builders have tapped into this sentiment," Sovereign Hills' Michael Long said.

The shift towards working from home has made the home office or study zone mandatory, while the recent lockdowns have sparked a trend towards holidaying at home through outdoor resort-style entertaining areas.

"New home buyers are demanding more cost-effective green solutions in their homes to reduce their energy bills," Mr Long said.

"In response we've created our greenest village to date, with builders embracing solar power, passive heating and cooling technologies, and more energy-saving products to reduce their carbon footprint."

The Sovereign Hills display village builders are forecast to construct more than 375 homes generating an estimated $150 million in annual new home construction activity.

Port Macquarie-Hastings mayor Peta Pinson welcomed the new addition, noting the timely benefits the new display village will bring to the region.

"We've seen a lot more young, working families move to our region in the last year, and new housing and development is definitely needed to cater for our continuously growing community," Cr Pinson said.

"With the addition of the new display village and the expected construction boom, I am really excited to see more jobs available, more homes being built, and a thriving hive of activity in our region."

The activity has significant flow on effects for retail and associated home industries including home furnishings, white goods, electronics and landscaping.

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