This article is from the Australian Property Journal archive
Dwelling approvals jumped by 6.3% in January to 16,579, driven by a strong rebound in apartments.
The January rise follows a 1.7% increase in December.
According to the Australian Bureau of Statistics, the market was supported by a 12.7% jump in approvals for private dwellings excluding houses, reaching the highest level since December 2022. Private sector house approvals also rose by 1.1%, marking an 8.9% increase compared to January 2024.
Private sector house approvals rose to 9,042 dwellings, however, results varied across states with strong performance in Queensland (+4.6%); Western Australia (+3.3%), South Australia (+2.9%). In contrast declines were recorded in Victoria (-1.2%) and New South Wales (-0.8%).
Approvals for private dwellings excluding houses, primarily apartments, rose by 12.7% to 7,213 dwellings, following a 17.4% increase in December. This segment is now 41.6% higher than a year ago, driven by large apartment projects in New South Wales.
The total value of building approvals fell by 6.9% in January to $14.73 billion, following an 8.9% rise in December. This decline was driven by a 20.7% drop in non-residential building values to $5.69 billion, despite being 11.3% higher than January 2024.
In contrast, residential building values hit an all-time high, rising 4.5% to $9.04 billion. This included a 5.0% increase in new residential building values ($7.90 billion) and a 1.1% rise in alterations and additions ($1.14 billion).
