Powered by MOMENTUM MEDIA
Powered by MOMENTUM MEDIA
subscribe to our newsletter
Home approvals continue to rise

Home approvals continue to rise

The ongoing surge in new homebuilding provides further evidence that the housing boom may be drawing to a close.

The Australian Bureau of Statistics reported that 18,768 dwelling units were approved in February. That marked a 14.3 per cent jump on the previous year.

The February result was the second highest in history, not far off the record 19,282 approvals that occurred in January.

Advertisement
Advertisement

Private sector house approvals fell 1.0 per cent in February. However, there was a 36.2 per cent jump in approvals for all other private sector dwellings, which are principally units.

Housing Industry Association senior economist Shane Garrett said housing approvals remain at exceptionally high levels, and that there is a solid pipeline of activity for the months ahead.

“A steady pipeline of new homes represents the most effective solution to alleviating housing affordability pressures,” he said.

The rise in supply has coincided with a decline in property price growth.

Australia’s eight capital cities grew by an average of 3.1 per cent during the 12 months to 31 March 2015, according to CoreLogic RP Data.

Price growth remains at double-digit levels in Sydney, but it has slowed, noticeably in Melbourne.

Adelaide and Brisbane are growing at little more than the inflation rate, while Perth, Canberra, Darwin and Hobart's growth are under the inflation rate.

Home approvals continue to rise
mortgagebusiness

 

Latest News

Regulators could move to set caps on loan volumes for borrowers with high debt-to-income ratios if the housing market recovery continues to ...

The federal Treasurer has welcomed the final budget outcome for the 2019 financial year, which shows that the deficit now equates to zero pe...

The Federal Reserve has slashed rates for the second consecutive month, “reinforcing” the necessity of further cuts to the cash rate in ...

FROM THE WEB
podcast

LATEST PODCAST: New lending launches

Do you think the mortgage market will see more consolidation this year?

Website Notifications

Get notifications in real-time for staying up to date with content that matters to you.