Dwelling Approvals Fall In May: Australia

The total number of dwellings approved fell 1.1 per cent in May to 17,019, according to seasonally adjusted data released today by the Australian Bureau of Statistics (ABS).

Daniel Rossi, ABS head of construction statistics, said: 'The fall in total dwellings approved was driven by a 10.4 per cent fall in private dwellings excluding houses, after a 4.0 per cent April rise.

'Private sector house approvals rose 2.8 per cent, to the highest level since September 2021. This is the fourth consecutive month with over 10,000 private sector houses approved.'

The total number of dwellings approved is 5.3 per cent higher in year-on-year terms.

Western Australia and New South Wales drive private sector house rise

Private sector house approvals gained 2.8 per cent to 10,537 dwellings. The May result is 13.2 per cent higher than one year ago.

'Western Australia continued strong growth in detached housing approvals, rising 9.9 per cent, to be up 24.5 per cent compared to May 2025,' Mr Rossi said.

'New South Wales rose 7.8 per cent in May, returning a fourth straight month with more than 2,000 approved private houses. The result is 24.1 per cent higher than one year ago.'

'Meanwhile, private sector house approvals in Queensland fell 3.6 per cent, following its highest result since July 2021 last month.'

Apartment approvals fall in May

Private sector dwellings excluding houses fell 10.4 per cent to 6,034 dwellings. The May result is 8.6 per cent lower in year-on-year terms.

In original terms, apartment approvals fell 30.0 per cent to 2,877 dwellings. This is 29.3 per cent lower than the average of the prior twelve months (4,070 dwellings).

(a) Seasonally adjusted estimates are not published for NT and ACT for all dwelling types. Private sector houses are not published for Tasmania.

Data centre approvals drive value rise

The value of total building approved rose 13.6 per cent, to an all-time high of $21.07 billion, after gaining 7.9 per cent in April.

Approved non-residential building rose 41.0 per cent (to $10.83 billion), following a 22.9 per cent April rise. This was a record high for non-residential building and was driven by a rise in large data centre approvals located in New South Wales and Victoria.

The value of total residential building value dropped 5.7 per cent (to $10.24 billion), comprised of a 6.6 per cent fall in new residential building (to $8.88 billion) and a 0.1 per cent rise in alterations and additions (to $1.35 billion).