Building approvals fell further than estimates in August at 6.1%
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The news: Building approvals declined 6.1% in August, with average estimates expecting a 4.4% fall, new Australia Bureau for Statistics (ABS) figures show.
The numbers: The total number of dwellings approved fell 6.1% in August to 13,991, after an 11% rise in July, according to seasonally adjusted data.
The result was driven by a 16.5% fall in approvals for private dwellings excluding houses, following a July increase. Private sector dwellings excluding houses fell to 4,418 dwellings, 6.1% lower than one year ago.
The August result was driven by a decrease in approvals for high-density apartments. There were 1,214 apartments approved in nine or more storey blocks in August, compared to 2,504 in July.
Meanwhile, private sector house approvals continued to slowly rise, increasing 0.5% to 9,338 dwellings, to be 8.4% higher than August 2023. New South Wales recorded the largest rise of all the states, at 3.9%. Western Australia continued to track higher, approving its highest number of private houses since June 2021.
The value of total building approved fell 0.2% to $13.25 billion, following a 6.9% rise in July. Total residential building value fell 6.7% to $7.96 billion, primarily driven by a fall of 7.9% in the value of new residential building approved to $6.81 billion.
Alterations and additions rose 1.4% to $1.14 billion, in seasonally adjusted terms. The value of approved non-residential building rose 11.5% to $5.3 billion, following a 2.8% July increase.
The context: ABS' building approvals data shows the monthly change in the number of total dwelling units approved, including building activity carried out on existing buildings.
The source: ABS media release
