Building approvals increase nationwide during July

After a fall in June, residential property building approvals are beginning to increase steadily, which could be fantastic news for anyone interested in building their own affordable home.

According to Master Builders Australia’s chief economist Peter Jones, the 10.8 per cent seasonally adjusted increase following June has been a fantastic way for the housing industry to get back on track.

“It’s a positive sign that a sustained housing recovery may be taking hold,” said Mr Jones in a September 2 statement.

“Strengthening the building and construction sector with the right policy settings will help kickstart the economy, increase productivity, drive a stronger building industry and more jobs.”

This increase is reflected in the amount of New South Wales (NSW) home approvals, which is currently at its highest level in eight years.

The state recorded 3,358 new housing approvals in July, with the approval rate up 19 per cent over the five year average from August 2008.

NSW Planning and Infrastructure Minister Brad Hazzard said that the 12 months to July 2013 have been the best for housing approvals since July 2005.

“We are committed to making NSW number one and the continued rise in housing approvals shows business and consumer confidence is returning in this state,” said Mr Hazzard in a September 2 statement.

“The new planning system, due in parliament soon, will also help continue the trend, making it quicker and easier to build a home with less red tape and quicker approvals.”

NSW has also outperformed both Victoria and Queensland in the last 11 months, with over 3,000 new approvals each month.

The Australian Bureau of Statistics reported that the total number of dwellings rose by 10.8 per cent nationally, while private sector houses rose by 3.9 per cent. Apartments, units and townhouses recorded a rise of 24.4 per cent after experiencing decreases during the last two months.