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House construction approvals down in September

The number of new dwellings approved for building fell by 4.3 per cent in September, dragged mostly by a “large fall” in house construction.

New data from the Australian Bureau of Statistics (ABS) has shown total dwellings approved for construction in September came to a total of 18,090 in September, around 819 less than the month before.

At the same time, construction approvals for houses declined by 16 per cent from the month before and down 2.7 per cent year-on-year, to a total of 10,168.

ABS director of construction statistics Daniel Rossi put the large fall in house construction approvals down to the end of federal and state stimulus measures.

But, house approvals were still 18.2 per cent higher than the pre-pandemic level in September 2019.


Meanwhile other types of dwellings, such as apartments or town houses, rose by 18.1 per cent from the month before, to a total of 7,686 – 47.2 per cent higher year-on-year.

Across Australia, the number of dwelling approvals plunged in states such as South Australia (down 22.7 per cent to 999), Queensland (down 21.5 per cent to 2,875), Western Australia (decreasing 20.9 per cent to 1,604) and Tasmania (-11.8 per cent to 217).

NSW contrarily rose by 27.2 per cent to 6,118 approvals, driven mostly by a rise in apartment developments, as house approvals in the state experienced a 13.9 per cent drop, down to 2,384.

All of the other states recorded similar movements in houses: Victoria was down by 18 per cent to 3,415, Queensland fell by 16 per cent to 1,954, South Australia decreased by 26.8 per cent to 802 and Western Australia declined by 12.2 per cent to 1,234.

The value of total building approved had decreased by 11.2 per cent in September to $11.6 billion worth, as the value of total residential building approved in September had dropped by 11.1 per cent from the month before to 7.1 billion worth.

The drop had comprised a 9.6 fall in new residential construction to $6.2 billion worth, alongside a 20 per cent fall in alterations and additions to $908 million worth.

Meanwhile the value of non-residential building fell by 11.3 per cent to $4.5 billion worth despite a 43.5 per cent rise in August.

[Related: Home lending continues sustained growth: APRA]

House construction approvals down in September

Sarah Simpkins

Sarah Simpkins is the news editor across Mortgage Business and The Adviser.

Previously, she reported on banking, financial services and wealth management for InvestorDaily and ifa.

You can contact her on This email address is being protected from spambots. You need JavaScript enabled to view it..

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