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Housing starts finally on the up in Australia's Victoria

Victoria has finally seen an increase in residential projects – after more than a year of declining numbers of approvals

The state gave permission for 1.6 per cent more dwellings in September than in August, according to data adjusted by the Australian Bureau of Statistics to remove seasonal factors and outliers.

It come after 13 months of falling residential job approval numbers for Victoria, which includes the city of Melbourne and had been a strong source of housing work through most of the downturn.

Victoria’s poor run had been acting as a brake on Australian housing growth, and nationwide dwelling approvals soared by 2.5 per cent in September.

New South Wales led the way with growth of 5.8 per cent.

South Australia followed with a hike of 2.2 per cent; Queensland saw an increase of 1.5 per cent; and in Western Australia approvals were up 1.0 per cent.

However, there were falls in approval numbers of 4.2 per cent in the Australian Capital Territory; 1.6 per cent in Tasmania; and 0.1 per cent in the Northern Territory.

Across Australia, the number of private sector houses approved for construction was up 0.5 per cent in September.

But it was the apartments sector that drove the growth in the market, with private sector non-housing dwellings up 5.6 per cent.

The value of non-residential building approvals in Australia fell 2.5 per cent.

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