Consents continue downward trend

July 2023 consents drop across several categories, although remain above historic levels 

In the year ended July 2023, 43,487 new homes were consented – 14% less than in the same period the previous year. Of the new homes consented, there were 25,536 multi-unit homes (-6.4% compared with the year ended July 2022) and 17,951 stand-alone houses (-23%). Of the multi-unit homes, 18,451 were townhouses, flats and units (-11%), 4,070 apartments (+5.4%) and 3,015 retirement village units (+14%).

Despite the overall drop in numbers, Construction and Property Statistic Manager Michael Heslop said it is important to consider the figures based within their historical context.

“The number of homes consented in the year ended July 2023 is still at a higher level than any 12-month period prior to 2021,” Heslop said.

In seasonally adjusted terms, the number of new homes consented in July 2023 fell 5.2% compared with June 2023, following a 3.4% seasonally adjusted rise in June 2023.

Big decline in monthly consents

There were 3,058 new homes consented in the month of July 2023 – a drop of 25% compared to the month of July 2022.

“Fewer new homes [have been] consented in each month of 2023 so far, compared with both 2022 and 2021,” said Heslop.

In July 2023, there were 1,183 stand-alone homes consented; a 32% reduction compared to July 2022. There was also a 21% reduction in the amount of multi-unit homes consented to 1,875.

“The trend for the number of new homes consented peaked in early 2022 and has decreased 25% since then,” Heslop said.

Only two regions consented more dwellings in the year ended July 2023 compared to the previous year, as Nelson (273 vs 252) and Marlborough (281 vs 251) bucked nationwide trends.

The traditional big hitters of Auckland, Waikato, Wellington and Canterbury all experienced declines compared with the year ended June 2022.

Auckland (18,743, -14%), Canterbury (7,650, – 11%), Waikato (4,121, -18%) and Wellington (3,252, -17%) consented less than they did in the year ended July 2022.

Regional decline mirrors nationwide drop

In terms of dwellings consented per 1,000 residents, only three regions – Gisborne 3.6 vs 3.2, Marlborough 5.4 vs 4.8 and Nelson 5 vs 4.6 – consented more in the year ended July 2023 compared to the year ended July 2022.

Canterbury (11.7 vs 13.1) and Auckland (11.1 vs 12.8) maintained high levels of consents per 1,000 residents; however, both experienced downward trends. Nationwide, the number of new dwellings consented per 1,000 residents was 8.4 for the year ended July 2023, compared with 9.9 in the year ended July 2022.