Housing construction recovery firmly established in WA and NSW
According to Matthew Hassan, senior economist for Westpac, the upturn in construction of new houses and apartments in NSW and WA is now firmly established.
This follows the release of the Australian Bureau of Statistics (ABS) dwelling approvals data, which showed a significant bounce in approvals of 9.1% for the month of April after a decline of 5.5% in March.
Hassan noted that total building approvals in NSW increased by 33%, led by a 57% jump in unit approvals and a strong rise of 6.6% in private sector house approvals.
Commenting on the ABS figures, Hassan said that when reviewed in light of the month-to-month volatility, the upturn was well entrenched in NSW and WA, while Queensland was showing only a gradual improvement and trend approvals were still falling 1% per month in Victoria.
Queensland approvals were a mixed blessing showing an overall decline but private sector housing was up by 8.8%, Hassan noted.