End of boom? New Zealand housing activity peaks
New Zealand’s housing boom may have reached its peak, according to economics experts in the country
Statistics New Zealand said the trend for the number of new dwelling consents, excluding apartments, ‘appears to be flattening’.
It follows steady growth in the trend figure – which ignores seasonal fluctuations and statistical outliers – for more than two years.
The figures rose by 64 per cent between March 2011 and May 2013 but has since nudged up by just 0.3 per cent in the last three months.
‘Following a sustained rise from 2011 to 2013, the trend for new houses seems to have levelled off,’ industry and labour statistics manager Tehseen Islam said.
Of the 1,760 homes approved for construction in New Zealand, 503 will be in Auckland and 469 in Canterbury.
Earthquake-related building consents in Canterbury were valued at $59 million (£30m) in August, down slightly from $62m in July.
The value of consents for all work on all buildings was $1.0 billion in August – up 14 per cent from the same month the previous year.
AJ reported this summer that home building in New Zealand had seen its biggest quarter of growth in a decade.
The seasonally adjusted value of residential construction work in the first three months of this year was NZ$1.8bn.