31 May 2011
NSWs private sector new home approvals fell by 13.6 per cent in April, and the Australian Bureau of Statistics reported a negative trend in the states approval rate for the first time this year. The Urban Taskforces chief executive, Aaron Gadiel, said that NSWs sharp drop was driven by a 22.6 per cent fall in approvals for new private sector medium and high density homes and a more modest 5.6 per cent fall for detached houses.
These monthly state figures can be volatile, so they should be treated with caution, Mr Gadiel said.
But worryingly, the Australian Bureau of Statistics trend figures, which smooth out the gyrations in the monthly figures, now record a negative trend for the first time this year.
Revised figures, released today, show a 1.7 per cent decline in NSWs private sector home approvals over March and April, following a six-month long upward trend.
Higher density home approvals have now trended down by 3 per cent over a three month period, while the trend in detached houses only moved negative in April, with a 0.2 per cent decline.
Developments in NSW will need to be monitored closely, as the number of Part 3A approvals begin to decline, and changes are made to joint regional planning panels.
Mr Gadiel said that just 2,300 new private sector homes were approved in NSW in April, compared with 4,600 in Victoria and 2,000 in Queensland.
No state or territory approves less new homes per capita than NSW, he said.
For every 10,000 residents, the Australian Capital Territory approves 127 homes a year, Victoria approves 109 homes, Western Australia approves 107 homes, South Australia approves 78 homes, Queensland approves 72 homes, the Northern Territory approves 66 homes, Tasmania approves 63 homes and NSW approves just 47 homes a year.
The Urban Taskforce is a property development industry group, representing Australias most prominent property developers and equity financiers.
Please note: A graph appears in the PDF below.
