Consents for new homes remain high

With Covid-19 continuing to impact numbers, new home consents had a minor drop in July but are still producing high numbers since the April fall

The number of new homes consented (3,391) in July decreased 2.4% from June, though this still resulted in the largest three-month rolling total since the 1970s, Stats NZ reported.

The July figure comprised of 1,938 standalone houses; 1,030 townhouses, flats, and units; 288 apartments; and 135 retirement village units.

In the year ended July 2020, the total number of dwellings consented was 37,585 — up 6% from the year ended July 2019.

Covid-19 and building consents

“More than 10,000 new homes were consented in the last three months – the largest three-month rolling total since the 1970s,” said acting construction indicators manager Dave Adair.

“The high number of consents for new homes, as well as additions and alterations to stand-alone houses, is a positive sign for the residential construction industry, but it will take time to see if consents are actually carried through to construction.”

In the regions

Six of the 16 regions consented more dwellings in July 2020 compared to July 2019, led by Auckland (up 115 to 1569; +8%), Tasman (up 29 to 82; +55%), and Hawke’s Bay (up 23 to 106; +28%). Manawatu-Whanganui, Marlborough and Otago also showed increase in consented dwellings.

The ten remaining regions saw a decrease in dwellings consented over the same period, led by Waikato (down 57 to 332; -15%), Wellington (down 48 to 181; -21%), and Canterbury (down 42 to 389; -10%). Northland, Bay of Plenty, Gisborne, Taranaki, Nelson, West Coast and Southland also experienced decreases.

Non-residential building consents

In the year ended July 2020, non-residential building consents totalled $6.7bn, down 11.4% from the July 2019 year. The building types with the highest value were:

• Education buildings —$1.08bn (up 4%)
• Shops, restaurants, and bars —$896m (down 14.6%)
• Storage buildings — $969m (down 3%)