New dwelling consents rebound in May  

The number of new dwellings consented rebounded strongly in May, driven by a near-record number of new houses

Stats NZ’s latest figures show that a total of 2,794 new dwellings were consented in May – up 11% compared to May 2016. That figure includes 2,039 consents for new houses, a 13-year high and fewer than 200 shy of the series record set in March 2004.

Seasonally adjusted*, the number of new dwellings consented rose 7%, following respective falls of 7.4% and 2.4% in April and March. For houses only, the seasonally adjusted number rose 2.8%, following respective falls of 0.1% and 5.4%.

The trend* for the number of new dwellings consented has almost recovered to reach mid-2016 levels, when it hit a 12-year high. The trend for the number of houses is also similarly increasing.

In the regions

 In May 2017 compared to May 2016, the number of new dwellings consented increased in 11 of the 16 regions, led by Auckland (up 153 to 885; +21%), Wellington (up 89 to 227; +64%) and Otago (up 29 to 163; +22%). Hawke’s Bay, Manawatu-Wanganui, Marlborough, Nelson, Southland, Taranaki, Tasman and Waikato were the other regions to record an increase.

Canterbury (down 141 to 477; -23%), Bay of Plenty (down 22 to 220; -9%) and Gisborne (down eight to three; -73%) recorded the biggest decreases. Northland and the West Coast were the only other regions to consent fewer new dwellings in May 2017 compared to May 2016.

The regions with the highest value of non-residential building consents were:

Auckland – $269m (including the New Zealand International Conference Centre).

Canterbury – $119m (including two hotels).

Waikato – $70m (including a factory).

Consents for all buildings total $1.8bn in May

 Including alterations, consents for all buildings totalled $1.8 billion in May 2017:

• $1.2bn for residential buildings.
• $605m for non-residential buildings.

In the year ended May 2017, consents for all buildings totalled $19.3bn (up 12% from the May 2016 year):

• $12.8bn for residential buildings (up 12%).
• $6.5bn for non-residential buildings (up 11%).

*Seasonal adjustments remove the estimated effect of regular seasonal events, such as summer holidays and pre-Christmas purchasing, from statistical series. This makes figures for adjacent periods more comparable. Trend estimation removes the estimated effect of regular seasonal events and irregular short-term variation from statistical series. This reveals turning points and the underlying direction of movement over time.

Both series are re-estimated monthly when each new month’s data becomes available. Figures are therefore subject to revision, with the largest changes normally occurring in the latest months. Revisions to the trend series can be large if values are initially treated as outliers but are later found to be part of the underlying trend.