Good news for residential construction
Some good news on the residential construction front as the number of building approvals is trending upwards, according to the Australian Bureau of Statistics.
After a period of slower approvals, February’s results reveal a 25.7% increase in the total number of dwelling units approved compared to the same time last year.
The growth was mainly driven by a surge in approvals for private sector multi-unit developments (semi-detached, row or terrace houses, townhouses and apartments), which was up 73.1% year-on-year.
This is a positive sign for housing supply, particularly in urban areas where medium- and high-density developments play a key role in addressing affordability and population growth. A lift in multi-unit approvals suggests that developers are regaining confidence.
If this trend continues, it could help ease pressure on the housing market and provide more options for renters and buyers alike.
About the author – Alex Veljancevski is a Sydney mortgage broker with Eventus Financial, which assists first home buyers, investors, upgraders and borrowers seeking to refinance to a better deal on their home loan.