South Australian residential real estate approvals rise
A jump in residential real estate approvals in South Australia may help drive the market towards a recovery, recent data from the Australian Bureau of Statistics (ABS) suggests.
Figures released yesterday (April 4) showed the number of total seasonally adjusted building approvals lifted 23 per cent in February - recovering significant ground lost the previous month, the Housing Industry Association (HIA) stated.
"After the disappointing reduction we saw in January, it's encouraging to see that building approvals have more than recovered from those results," HIA executive director of NT and SA Robert Harding explained.
The rise in approvals was spread across all dwelling types, with detached house approvals enjoying an 18.9 per cent lift, while multi-unit approvals surged 34.8 per cent.
"In particular, the 617 detached house approvals in February represent a level not seen since March last year. Since then, approvals for this important segment of the market have remained stubbornly below 600 per month," he commented.
While the recent figures are an encouraging sign for the state's residential real estate market, Mr Harding said the sector still has some way to go before it reaches 'positive territory'.
Low interest rates and government assistance for the construction industry appear to be having an effect, with this likely to become more profound over the coming months, he added.