Building approvals ticked up again in March, according to data released this week by the Australian Bureau of Statistics (ABS).
The latest figures show that the total number of homes approved rose 1.9% in March (seasonally adjusted), after a 0.9% decrease in February.
Approvals to build houses rose 3.8%, while approvals for ‘dwellings excluding houses’ rose 3.6% in March in seasonally adjusted terms, following a 12-year low in February.
The total number of approvals rose in Victoria (3.2%) and Western Australia (1.5%), but fell in Tasmania (down by a whopping 18.1%), South Australia (7.0%), Queensland (5.2%), and New South Wales (1.2%).
Approvals for standalone houses rose in Victoria (6.0%), New South Wales (4.0%), Queensland (3.2%), and South Australia (1.1%). Only Western Australia (down 1.8%) saw a March decrease.
The average approval value for a new house continued its annual rise in March 2024, to $468,800 per house. This was 4.2% higher than the average value in March 2023, although the pace of growth in average approval values has slowed. Higher construction costs continue to weigh on dwelling approvals, with the average approval value for a new house rising in all states.
By state, average approval value compared to a year ago rose the most in Queensland (10.1%), followed by Western Australia (4.2%), New South Wales (3.5%), Victoria (3.5%), and South Australia (0.4%).
The value of total residential building approvals rose 8.3%, comprising an 8.7% increase in new homes and a 6.1% rise in alterations and additions.
