Whilst building approvals dipped this month, Victorian population growth will underpin a continued strong pipeline of work for the state. In November, the number of multi-units approved in Australia fell by 23 per cent and in Victoria by 63 per cent.

In seasonally-adjusted terms, the total number of dwellings approved in Victoria fell by 36 per cent to 4,274: more steeply than the national decline of 13 per cent. Approvals of houses eased by only 0.6 per cent to 2,886 but multi-unit approvals dropped 63 per cent to 1,388. In November, multi-units made up about a third of all dwellings approved, compared to the 56 per cent they held in the previous month.

In the three months to November, total Victorian dwelling approvals increased by 6.1 per cent to a seasonally-adjusted 16,388: down 1.2 per cent on a year earlier. Of these, 47 per cent were multi-units and 53 per cent detached houses. House approvals in the three months to November were nearly five per cent greater than in the previous three months and seven per cent more than in the same three months a year ago. Approvals of multi-units increased by nearly eight per cent but were nine per cent less than a year earlier.

Dwelling approvals continued to rise in New South Wales, where they increased by one per cent to 5,436, and to rise strongly in Queensland where they were up nine per cent to 4,051. In the year to November, Victorian approvals, at 68,204, were ahead of the 66,472 approved in New South Wales and well ahead of Queensland’s 48,450.

Trends in the value of building approved were negative for new housing and but positive for housing renovations and non-residential building:

• The trend value of new housing approved in November declined by one per cent and was 3.5 per cent higher than a year earlier.
• The trend in housing renovations rose by 1.8 and was 11 per cent higher than a year ago.
• The trend in non-residential building increased by nearly one per cent but was six per cent lower than a year earlier.
• The trend in the value of all building approved fell by 0.2 per cent but was 1.4 per cent higher than a year ago.