Building approvals soar

Building approvals soar

02 September 2009 by Staff Reporter 0 comments

Residential building approvals have risen for the second consecutive month highlighting a strengthening economy and the increased demand for property.

According to the Australian Bureau of Statistics (ABS) seasonally adjusted building approvals rose 7.7 per cent in July on the back of a 9.9 per cent rise in June.

Despite the significant rise in building approvals, overall approvals were still 3.9 per cent lower than one year ago.

New South Wales recorded the biggest leap in approvals, rising 19.0 per cent in July.

House approvals for the country were also up, rising 1.5 per cent while multi-unit approvals soared 35.3 per cent.

“It is very encouraging to see a strong rise in multi-unit approvals for the second consecutive month. The multi-unit sector has been weak for a very long time,” Housing Industry Association chief economist Harley Dale said.

“It will be important to see further signs in coming months of a broadening home-building recovery encompassing detached and non-detached dwellings, first time and trade-up buyers, investors and social housing.”

In the minutes of the August 2009 Monetary Policy Meeting of Reserve Bank Board, the Bank said that home building activity would pick up in the second half , thanks to low rates and government incentives.

 

Residential building approvals have risen for the second consecutive month highlighting a strengthening economy and the increased demand for property.

According to the Australian Bureau of Statistics (ABS) seasonally adjusted building approvals rose 7.7 per cent in July on the back of a 9.9 per cent rise in June.

Despite the significant rise in building approvals, overall approvals were still 3.9 per cent lower than one year ago.

New South Wales recorded the biggest leap in approvals, rising 19.0 per cent in July.

House approvals for the country were also up, rising 1.5 per cent while multi-unit approvals soared 35.3 per cent.

“It is very encouraging to see a strong rise in multi-unit approvals for the second consecutive month. The multi-unit sector has been weak for a very long time,” Housing Industry Association chief economist Harley Dale said.

“It will be important to see further signs in coming months of a broadening home-building recovery encompassing detached and non-detached dwellings, first time and trade-up buyers, investors and social housing.”

In the minutes of the August 2009 Monetary Policy Meeting of Reserve Bank Board, the Bank said that home building activity would pick up in the second half , thanks to low rates and government incentives.

 

promoted content
Recommended by Spike Native Network
Listen to other installment of the Real Estate Business Podcast
reb top 100 agents 2016

With a combined sales volume of $13 billion in 2016, the Top 100 Agents ranking represents the very best sales agents in Australia. Find out what sets them apart and learn their secrets to success.

featured podcast

featured podcast
REVEALED: The 10 best agents in Australia for 2017

For the first time ever, the top 10 agents in the REB Top 100 Agents ranking are revealed in this exclusive podcast. ...

View all podcasts

Are dodgy agents being punished enough?

Yes (8.6%)
No (55%)
Only in some states (2.3%)
Not all dodgy agents are being found out (34.1%)

Total votes: 220
The voting for this poll has ended on: April 15, 2017
Do you have an industry update?