Home building approvals fell again over November, with the underlying trend continuing to decline following the surge recorded in 2021.
The ABS reports that building approvals for total private sector dwellings were lower by 10.2% over November compared to the previous month and have now fallen for three consecutive months for the first time since the beginning of the covid pandemic in early 2020.
National building approvals continue to track well below the results of 2021 and have fallen by 18.7% over the first 11 months of 2022 compared to the same period the year before.
Unit approvals fell dramatically over November to be down by 22.7%, with house approvals also down – falling by 2.5% over the month.
- Also read:Here’s how to avoid these 12 common reasons property investors fail to build a Multi Million Dollar Property Portfolio
- Also read:Heat comes out of the housing market as values across Melbourne dip and Sydney slows | Corelogic Home Value Index
- Also read:Latest property price forecasts for 2024 revealed. What’s ahead in our housing markets in the next year or two?
- Also read:Sydney property market forecast for 2024
- Also read:Home Price Growth Still Strong Over November | Latest Housing Market Stats
Unit approvals declined by 11.1% from 2022 to November compared to the same period in 2021 with houses down steeply by 22.7% over the same year-to-date comparisons.
Australian housing markets continue to face housing shortages as generally evidenced in capital city rental markets by record low vacancy rates and sharply rising rents.
The latest disappointing building approval data continue to point to an ongoing undersupply of housing – particularly with an expected surge in migration over coming years.