The ABS has released dwelling construction data for the June quarter, which recorded rising dwelling commencements and completions.
According to the ABS, the number of dwelling commencements surged by a seasonally-adjusted 23.2% over the June quarter and by 52.8% over the year. Detached house commencements rose by 13.0% over the quarter and by 58.7% over the year, whereas unit commencements rose by 46.0% over the quarter and by 43.2% over the year:
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As shown in the next chart, annual house commencements ran way above long-term average levels in the June quarter, whereas apartment commencements continue to run slightly above average levels:
At the state level, commencements have rebounded everywhere:
Dwelling completions (which lag commencements) rose by a seasonally-adjusted 1.5% over the June quarter and by 1.0% over the year. Detached house commencements rose 5.8% over the quarter and by 4.1% over the year, whereas unit commencements fell by 4.2% over the quarter and by 3.2% over the year:
As shown in the next chart, annual house completions ran at the long-term average in the June quarter, whereas apartment commencements ran above the long-term average:
At the state level, completions are mixed:
Given the strength in dwelling commencements, brought about by the HomeBuilder subsidy, dwelling construction activity should remain strong over the immediate term before softening in 2022 as stimulus fades.