- Dwellings approved fell 13.6% in October
- Private sector non-house dwelling approvals drove the rise
- Government stimulus and low interest rates continue to influence levels of dwelling approvals
Despite an overall slowdown across the property market, dwelling approvals rose by 3.6% during November according to data released today by the Australian Bureau of Statistics (ABS).
This represents a significant bounce-back given it declined by 13.6% in October.
In real terms, 10,892 private sector houses were approved during November.
Daniel Rossi, ABS Director of Construction Statistics, said the rise had been due to an increase in private sector non-house dwelling approvals, which saw a sharp 9.7% increase.
“Private sector houses continue to level off, up 1.4 per cent in November, following a 3.5 per cent rise in October.
“The series has been at historically elevated levels over the past year, largely driven by Government stimulus and record low interest rates.
“While private house approvals are no longer at record highs, the November result remains 25.8 per cent higher than the pre-pandemic level in November 2019, indicating on-going strength in the detached housing market.”
Daniel Rossi, ABS
Tasmania leads the crowd
Across the states, Tasmania saw by far the biggest increase, recording a 40.8% rise in dwelling approvals. This was followed by Queensland (20%), South Australia (14.5%) and Victoria (8.9%).
New South Wales and Western Australia both recorded 18.4% and 1.1% declines respectively in seasonally adjusted terms.
In terms of private sector houses, Queensland saw a rise (7.4%), as did South Australia (6.4%) and New South Wales (5.4%). Western Australia and Victoria recorded falls of 12.1% and 0.8% respectively.
Total building approved values rose 14.8% in November. Non-residential building values drove the increase (28.3%) following a 20% fall in October.
A 7.1% rise in the total value of residential buildings was recorded, which consisted of an 8.5% rise in the value of new residential buildings and a 0.8% fall in alterations and additions.
