Building approvals rise in February

Recently released figures from the Housing Industry Association (HIA) show that dwelling approvals rose by 3.1 per cent in February 2013.

"We have seen indicators of consumer sentiment improve over recent months and we may well be seeing an early sign that this is flowing through to activity on the ground. After two consecutive months where approval numbers slipped back it is pleasing to see a material improvement in February," said HIA Economist, Geordan Murray.

"A 4.2 per cent increase in approvals for detached houses was the main driver of this result although approvals for multi-unit dwellings also posted a 1.6 per cent increase during February."

"Interestingly, much of the increase in the detached dwelling segment at the national level can be attributed to an 8.0 per cent increase in detached dwelling approvals in New South Wales. There were 1,601 detached homes approved the state in February making it one of only three months since 2005 when detached dwelling approvals have broken through the 1,600 mark. The other two occurred during the financial crisis when federal stimulus policies were in full effect," concluded Geordan Murray.

In February 2013, total seasonally adjusted building approvals increased by an impressive 23.0 per cent in South Australia, 5.4 per cent in Western Australia, 3.8 per cent in Queensland and were flat in Victoria (up by 0.3 per cent).

Seasonally adjusted building approvals fell in New South Wales (-7.7 per cent), and Tasmania (-5.3 per cent). In trend terms building approvals in February increased by 3.1 per cent in the ACT and fell by 10.5 per cent in the Northern Territory.

For more information about the residential property market in your areas of interest, please feel free to stop by your local Century 21 Real Estate office for expert and clear advice.



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