FOLLOWING a revised decrease of 5.2 per cent in June, the number of new dwellings approved in July increased by 4.2 per cent, in seasonally adjusted terms, according to the latest figures released last week by the Australian Bureau of Statistics (ABS).
A total of 19,298 dwellings were approved in July, compared to seasonally adjusted totals of 18,523 in June and 19,535 in May. When compared to the same month last year, the number of dwellings approved in July 2015 was up by 13.4 per cent, in seasonally adjusted terms.
In seasonally adjusted terms, dwelling approvals for the month of July increased in New South Wales (up 27.1 per cent to 6,824 dwellings) and Victoria (up 8.3 per cent to 5,299).
Dwelling approvals decreased in Western Australia (down 1.1 per cent to 2,286 dwellings), South Australia (down 8.1 per cent to 783), Queensland (down 17.2 per cent to 3,467) and Tasmania (down 24.7 per cent to 180), in seasonally adjusted terms.
In seasonally adjusted terms, 9,322 private sector houses were approved in July, compared to 9,615 in June. A total of 9,087 private sector dwellings excluding houses were approved in July, which was a 6.1 per cent decrease when compared to June's result of 8,567.
The seasonally adjusted estimate of the value of total building approved rose 7.8 per cent in July following a fall of 2.9 per cent in the previous month. The value of residential building rose 5.9 per cent following a fall of 5.8 per cent in the previous month. The value of non-residential building rose 12.2 per cent and has risen for three months.
Shane Garrett, Senior Economist at the Housing Industry Association (HIA), said that in the year to July, multi-unit dwelling approvals hit a new all-time record of over 108,000. Across Australia, multi-unit dwelling approvals have more than doubled since the year to April 2012.
"On the detached house side of the account, growth has been more subdued and we're concerned that poor land supply delivery and unnecessary planning delays is hampering activity in this part of the market," Mr Garrett said.