Despite a minor setback in November, residential building approvals are continuing to track favourably, according to the latest data from the Australian Bureau of Statistics (ABS).
ABS figures show that building approvals in November 2013, seasonally adjusted, dropped by 1.5 per cent from the previous month.
Growth was strongest in South Australia (23.2 per cent), followed by New South Wales (14.5 per cent) and Queensland (8.3 per cent).
However, the positive results were offset by Victoria (down 17.4 per cent) and Tasmania (down 10.4 per cent).
However, Housing Industry Association (HIA) senior economist Shane Garrett said the results were still looking positive.
“Total residential approvals dropped back by 1.5 per cent during November compared with the previous month,” he said. “Overall, [however], the level of building approvals is high and the latest update indicates that activity in the market continues a rising trend.
“During November, the number of detached house approvals increased by 5.7 per cent, with multi-unit approvals falling by 8.8 per cent.
“Detached house approvals are at their highest level since during the stimulus in mid-2010,” Mr Garrett claimed.
Total dwelling approvals came to almost 174,000 in 2013, according to the HIA, which is well on track to meeting demand.
“It is vital that strong levels of home building continue so as to ensure housing needs are met across all regions. This is all the more important in the context of the chronic housing underbuild over the past decade,” Mr Garrett said.