Property Market Information: Building approvals increase nationwide during 2013

By the resi financial blog team, 05 February 2014

Building approvals in Australia

The latest Housing Industry Association (HIA) release has shown the overall increase in the number of properties approved during the course of 2013.

Taking out a construction loan to build your own dream property could be a great way to take advantage of these improving conditions, especially if this is something you've been putting off for a period of time.

According to the HIA Senior Economist Shane Garrett, the number of building approvals increased by 15.7 per cent during 2013, which was the first year with any significant growth in these figures since 2010.

This could be encouraging, especially when coupled with the currently low interest rates and increasing consumer confidence with regards to housing finances.

"The number of detached house approvals fell by 3.2 per cent in December with multi-unit approvals slipping by 2.5 per cent. Despite the monthly falls, activity in both segments of
the residential building market is significantly higher than late 2012," said Mr Garrett in a February 3 statement.

These sentiments are shared by Master Builders Australia Chief Economist Peter Jones, who stated the recovery shows the industry's overall confidence returning.

"The 2.9 per cent fall in dwellings approved, seasonally adjusted needs to be seen in the context of a big rise in the September figures and the trend continues to be positive," said Mr Jones in a February 3 statement.

With the current level of building approvals resting at a relatively strong point, now could be the best time to get in contact with a financial expert and discuss the construction loan options available to you.

Categories: Home Loans, Property Investment