Dwelling not yet started – Down Good; Up Bad

Today, our chart shows the number of dwellings approved, but not yet started.

It is one of those property charts where, if the lines go down, it is a good thing.

dwelling starts

At present, some 38,000 detached houses have been approved but haven’t yet commenced construction.

This is about a third of last year’s house approvals.

Semi-okay, here. Property-Investment-Checklist-300x199

But it is the attached dwelling figures that are alarming, with about 115,000 apartments/townhouses approved, but still waiting in the wings.

This is almost 100% of last year’s attached dwelling approvals!

Taking a longer view, these 115,000 represent 50% of the last two years’ approvals, or 36% of the last three years.

All records.

When breaking it down, the supply of approved but unbuilt dwellings is spread out as follows:

dwelling starts 2


dwelling starts 3

Our reading is that new housing construction has passed its peak for this cycle. 


In some locations, we are now building too many new homes.

Whilst in others, not enough new stock is being delivered.

Whilst there is a mismatch between the type of new dwellings being delivered and what the local market really wants, the next phase of the new housing building cycle will be much more difficult to supply and sell.

Financiers, developers and builders need to do more work to ensure that the projects in which they are interested, will remain viable.


Subscribe & don’t miss a single episode of Michael Yardney’s podcast

Hear Michael & a select panel of guest experts discuss property investment, success & money related topics. Subscribe now, whether you're on an Apple or Android handset.

Need help listening to Michael Yardney’s podcast from your phone or tablet?

We have created easy to follow instructions for you whether you're on iPhone / iPad or an Android device.


Prefer to subscribe via email?

Join Michael Yardney's inner circle of daily subscribers and get into the head of Australia's best property investment advisor and a wide team of leading property researchers and commentators.

Michael Matusik


Michael is director of independent property advisory Matusik Property Insights. He is independent, perceptive and to the point; has helped over 550 new residential developments come to fruition and writes his insightful Matusik Missive

'Dwelling not yet started – Down Good; Up Bad' have no comments

Be the first to comment this post!

Would you like to share your thoughts?

Your email address will not be published.