Australia’s push to build 1.2 million homes kicked off with a promising start. In July, national apartment approvals surged over 32% from the previous month and were nearly 16% higher year-on-year, according to ABS data.
The federal Housing Accord aims to boost the supply of affordable homes, but despite the increase, many more approvals are needed. Experts like Anne Flaherty from PropTrack are cautiously optimistic, though she notes it’s too soon to declare a full recovery.
Detached house approvals also saw a modest rise of 0.6%, contributing to a 10.4% increase in total dwelling approvals for the month. However, the overall approvals are still below the five-year average.
Industry leaders point to improved market confidence due to stable interest rates, a steadying of material prices, and ongoing demand. However, challenges like workforce shortages, slow approval processes, and high costs remain hurdles in reaching the ambitious housing targets.
