The recent ABS regional building approvals data for the December 2018 quarter shows that most of regional Victoria outperformed Melbourne in terms of the number of residential building approvals. It appears that the lack of affordable housing in Melbourne is the key driver for this as more families are venturing to regional Victoria seek more affordable options.

Greater Melbourne

Greater Melbourne experienced a 5.9 per cent decline in residential building approvals for the December 2018 quarter in which a total of 12,310 buildings were approved compared to the previous quarter of 13,075. This marks an overall decline of 7.2 per cent over the year to December 2018, with apartments driving this decline and is indicative of the affect the tighter credit market has had on new housing demand.

Ballarat

Ballarat experienced a 12.9 per cent increase over the quarter to December 2018 in which 403 residential buildings were approved in total. This has led to an overall increase of 15.9 per cent over the year to December 2018, with a total of 1444 residential building approvals.

Bendigo

There was an increase of 2.4 per cent in residential building approvals for Bendigo over the quarter to December 2018 in which a total of 297 residential buildings were approved. This translates to an increase of 23.7 per cent in residential building approvals over the year to December 2018 with a total of 1334 approved residential buildings.

Geelong

Geelong experienced a 4.3 per cent increase over the quarter to December 2018 in which a total of 1036 residential buildings were approved. This translates to an annual increase of 32.9 per cent, resulting in an annual total of 4445 residential buildings approved. Apartment approvals surged over the year and so constituted significantly in this annual increase, with a total of 906 apartments approved over the year to December 2018. This translates to an increase of 258.1 per cent or 653 in apartment approvals compared to the previous 12 months.

Hume

Hume experienced an 8.3 per cent increase over the quarter to December 2018 with a quarterly total of 366 residential building approvals. This translates to an increase of 17 per cent over the year to December 2018 and an annual total of 1515 residential building approvals.

Latrobe-Gippsland

Latrobe-Gippsland experienced a decline of 4.8 per cent in residential building approvals over the quarter to December 2018 with a quarterly total of 641 residential building approvals. However, it remains positive in terms of its annual growth, where it experienced a 5.2 per cent increase over the year to December 2018 with an annual total of 2434 residential building approvals.

North West

There was a decrease of 22.3 per cent in residential building approvals in North West in which a total of 115 residential buildings were approved. Nevertheless, it experienced a 2.2 per cent increase over the year to December 2018 with an annual total of 565 residential building approvals.

Shepparton

Shepparton experienced an increase of 5.7 per cent in residential building approvals over the quarter to December 2018, with a quarterly total of 184 residential building approvals. This constitutes an increase of 33.8 per cent over the year to December 2018 with an annual total of 733 residential building approvals.

Warrnambool and South West

Like Latrobe-Gippsland, Warrnambool and South West experienced a decline in quarterly residential building approvals in which there was a fall of 14.6 per cent over the quarter to December 2018, resulting in a total of 134 residential buildings approved. However, it experienced an increase of 5.4 per cent over the year to December 2018 with an annual total of 588 residential building approvals.