Sharechat Logo

NZ residential building consents slip 11% in July, after spike in June

Tuesday 30th August 2016

Text too small?

New Zealand residential building consents fell 11 percent in July, partly reversing a spike higher in June due to applications for retirement villages and multi-unit dwellings.

Seasonally adjusted dwelling consents slipped to 2,629 in July from 2,938 in June, when they jumped 22 percent, Statistics New Zealand said. On an annual basis, dwelling consents rose 13 percent to 29,084, marking the highest level for a July year since 2004, the agency said.

Record net migration is putting pressure on the nation's housing market where a shortage of supply is pushing up prices in Auckland, the country's largest city, making accommodation unaffordable for many. The latest data shows Auckland residential consents for the year reached 9,622, less than one-third of the national total despite the city accounting for at least half of the country’s population growth over the last year.

"A lot more growth in consents will be needed to begin eating into the housing shortfall of 30,000 dwellings," Westpac Bank industry economist David Norman said in a note. "Hopefully with (Auckland) Council having signed off the Unitary Plan, subject to a final period of limited submissions from the public, Auckland will get on and build."

Today's figures show the value of building consents rose 15 percent to $1.65 billion in July from the year-earlier month, as residential consents increased 5.8 percent to $1.03 billion, while non-residential consents jumped 35 percent to $614 million.

BusinessDesk.co.nz



  General Finance Advertising    

Comments from our readers

No comments yet

Add your comment:
Your name:
Your email:
Not displayed to the public
Comment:
Comments to Sharechat go through an approval process. Comments which are defamatory, abusive or in some way deemed inappropriate will not be approved. It is allowable to use some form of non-de-plume for your name, however we recommend real email addresses are used. Comments from free email addresses such as Gmail, Yahoo, Hotmail, etc may not be approved.

Related News:

Wrightson showcases Fruitfed Supplies as horticulture stands out
Fonterra rivals fear dairy giant will get leg up from law overhaul
Wellington Drive remains in the black as it raises operating forecast
OMV plans further maintenance at Pohokura
Sky continues sports drive with extension to netball rights
Apple's asset-shuffling puts $270m value on PowerbyProxi
Fonterra lifts payout forecast on improving global dairy prices
22nd October 2019 Morning Report
NZ dollar hovers near 64 US cents in favourable risk environment
Broader review powers eyed for Climate Change Commission

IRG See IRG research reports