APARTMENT BUILDING APPROVALS ON THE RISE AS SECTOR POWERS INTO 2023
Individual borrowers may be feeling the heat in Australia but the multi-res market is shaping up for a busy year
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Approvals for apartment construction are responsible for an 18.5 percent increase in the total number of dwellings getting the green light during December, the Australian Bureau of Statistics reports.
In data released today, the figures are in contrast to the previous month where building approvals declined by 8.8 percent over November 2022.
“The increase in the total number of dwellings approved in December was led by a sharp rise in approvals for private sector dwellings excluding houses (+56.6 per cent),” said Daniel Rossi, ABS head of construction statistics. “The result was driven by a number of large apartment developments approved in New South Wales and Victoria.
“Approvals for private sector houses continued to track downwards, falling by 2.3 per cent.”
Private sector dwellings excluding houses includes semi detached, row or terrace houses, townhouses and apartments.
New South Wales saw the strongest increase, up 48.4 percent, followed by Victoria (up 20.7 percent), Queensland (up 8.3 percent) and Western Australia (up 6.4 percent). Tasmania and South Australia both recorded significant decreases, with overall approvals falling -49.7 percent and -24.6 percent respectively.
The strong performance in the apartment sector compared with private sector housing points to growing pressure on individual mortgage holders following a 3 percent rise in interest rates over 2022. The results for private sector housing were mixed, with some states recording rises, such as Western Australia (up 8.2 percent), Victoria (up 0.3 percent) and Queensland (up 0.2 percent) while others such as South Australia and New South Wales experiencing a drop, with approvals down -7.4 percent and -4.2 percent respectively.
Chris Dixon, a partner who led the charge, says he has a ‘very long-term horizon’
Americans now think they need at least $1.25 million for retirement, a 20% increase from a year ago, according to a survey by Northwestern Mutual
Scheduled auctions fall to winter levels as vendors hold back on going to market
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Grand final fever and the long weekend have dampened scheduled auction activity this weekend, CoreLogic reports.
The number of homes scheduled for auction this weekend is set to halve, with 1,324 properties listed, marking the quietest week since mid June. Melbourne will experience the quietest week since Easter, CoreLogic data shows, with 223 homes prepared to go under the hammer. In Sydney, 805 properties are expected to go to market, the lowest number in seven weeks.
With long weekends in Queensland and South Australia, numbers are also down in Brisbane (111) and Adelaide (86), less than half the properties available for auction the previous week. It’s a less dramatic drop in Canberra, where 83 homes are scheduled for auction, down -22.4 percent on the previous week.
Chris Dixon, a partner who led the charge, says he has a ‘very long-term horizon’
Americans now think they need at least $1.25 million for retirement, a 20% increase from a year ago, according to a survey by Northwestern Mutual
