Building approvals dropped back again in August 2013 although building approvals in 2013 are running at higher levels overall than in 2012.
Building approvals are continuing to trend higher in New South Wales but supply side constraints look like holding back the market for the short term at least.
In August 2013, total seasonally adjusted building approvals increased by 10.6 per cent in New South Wales.
Tom
So far a range of indicators have shown positive forecasts towards a stronger NSW residential construction sector.
In the first six months of 2013:
– land sales up in 11 of 14 NSW Regions
– Building Approvals UP 8%
– Construction Loans UP 7%
– Lending for new residential investment property UP 21%.
So far leading industry and economic projections show real growth in NSW construction.This is great news for NSW owner builders.
Tom
The Electronic Housing Code (EHC) project is focused on the development of an online system for the electronic lodgement of complying development applications under the NSW Housing Code for lots 200m2and above. This system will also allow the user to determine if they are able to proceed with their development without further approvals, as an exempt development.
The Electronic Housing Code has been built primarily for local industry professionals, such as project home builders, planners, developers and architects. However it is also able to be used by the local community within the participating local government areas.
This system, launched by the Minister for Planning & Infrastructure on the 28th October 2011, is currently operational in 32 local government areas – Armidale Dumaresq, Ballina, Bankstown, Blacktown, Camden, Campbelltown, City of Ryde, Coffs Harbour, Kogarah, Ku-Ring-Gai, Lake Macquarie, Lismore, Maitland, Mid-Western, Penrith, Pittwater, Port Macquarie-Hastings, Randwick, Rockdale, Shellharbour, Sutherland, Tamworth, The Hills, Tweed Shire, Wagga Wagga, Warringah, Waverley, Willoughby, Wingecarribee, Wollondilly, Wollongong and Wyong Councils. A further 3 Councils are expected to be in operation on the system shortly.
Click here for more info. : http://www.ehc.nsw.gov.au/
Tom
Fundamentals forecast to drive strong recovery from 2013-14, growing by 11% to reach $17b.
A very strong recovery is expected in the New South Wales residential sector, forecasting an end to the residential slump from 2013, followed by five years of sustained real growth. This is driven by demographic pressures and localised undersupply issues. In comparison, in Victoria the opposite holds, and is a story of localised undersupply following five strong years of residential construction.
Tom.
With the growing number of people who have sought to buy a new dwelling in NSW, the recent policy initiatives to improve housing supply, and continued population growth are all expected to result in a solid pick-up in housing investment over the medium term. In particular, a number of private sector economists are forecasting housing investment as a share of GDP to return to its long-run average level over the next 5 years. This is positive news for the NSW residential housing market and owner builders.
Tom.