Apartment approvals lead the charge in homes spike
More than 17,000 dwellings were approved for constriction in September which is good news, but leaders say we are still off the required pace.
THE number of dwellings approved across the country rose 12% in September, the latest Australian Bureau of Statistics data shows.
A total of 17,019 dwellings were approved over the month, with the increase driven by a 26% rise in apartment dwellings according to Daniel Rossi, ABS head of construction statistics.
This came on the back of consecutive falls in July and August.
There were 7219 apartments approved in September, after falling 3.8% in August. This is 55.2% higher than a year ago.
Approvals for houses also rose 4% to 9547 dwellings after a 1% fall in August.
NSW had the largest rise in house approvals, up 7.8%, while Victoria was up 7.3%.
“Queensland was the only state to fall, with private sector house approvals down 6.9%,” Mr Rossi pointed out.
Despite the uptick in September, house approvals are hovering around the same level as they were this time last year.
Master Builders Australia chief economist Shane Garrett said the lift in September marked the strongest monthly result since June.
However, he warned there is still a long road ahead to meet the federal government’s housing targets.
“Over the year to September, 191,695 new homes were approved across Australia, the highest annual total in almost three years and 13.7 per cent higher than the previous 12 months,” Mr Garrett said.
“However, this still leaves us around 48,000 homes short each year of what’s required under the National Housing Accord. That shortfall must be closed urgently if we’re to reach the government’s target.”
Under the National Housing Accord, the government aims to build 1.2 million new well-located homes by mid-2029, averaging 240,000 per year.
The five-year initiative is bringing together all levels of government, industry and investors to unlock supply.
