Shane Garrett, HIA Senior Economist, said the figures are a positive indication, especially when considered in context of the whole quarter.
“During the September 2017 quarter overall, total approvals for new dwellings were up by 5.1 per cent. This was driven by an expansion of 7.6 per cent in multi-unit projects,” Mr Garrett said.
“Activity on the apartment side of the market has come under considerable pressure due to a number of obstacles being put in the way of foreign investors in residential property. Today’s figures do indicate that home building is receiving some support from the strong pace of job creation in several key markets.
“In balance new home building activity will trend downwards over the next couple of years, probably bottoming out in 2019,” concluded Shane Garrett.
During September 2017, total seasonally adjusted new dwelling approvals increased most in Western Australia (+27.1 per cent), followed by Tasmania (+16.5 per cent) and New South Wales (+10.7 per cent). Approvals for new dwellings also grew in the ACT (+8.0 per cent), the Northern Territory (+6.9 per cent) and South Australia (+6.6 per cent) during the month of September 2017.
Just two states experienced a decline in new dwelling approvals during the month of September 2017: Queensland (-17.0 per cent) and Victoria (-2.0 per cent).
